CLS, a financial market infrastructure group delivering settlement, processing and data solutions across the global FX ecosystem, announced today RCBC has gained access to CLSSettlement as a third-party participant. RCBC will access the service through UBS, one of CLS’s 76 settlement members.
The addition of RCBC, the fifth largest privately owned bank in the Philippines and a major regional bank in Southeast Asia, further strengthens the growing community of Asia Pacific banks indirectly participating in CLSSettlement. As a third party participant, RCBC will benefit from industry-standard FX settlement risk mitigation, reduced funding requirements and improved operational efficiency through CLS’s unique payment-versus-payment (PvP) system. PvP is the globally recognized method for mitigating settlement risk, as outlined in Principle 35 of the FX Global Code.1
CLSSettlement is recognized as the global standard in FX settlement risk mitigation across 18 of the most traded currencies, with an average daily settled value of USD7.9 trillion in H1 2025, an increase of 12% year-on-year.
Lisa Danio-Lewis, Chief Growth Officer, CLS commented, “We are pleased to welcome Rizal to CLSSettlement via UBS. Settlement risk continues to be a priority for FX market participants and policymakers alike. Enabling regional banks to access CLSSettlement through CLS settlement members plays an important role in managing this risk. We remain committed to broadening participation in across Asia Pacific, as more institutions look to strengthen settlement risk mitigation for Asian currencies.”
Bennett Clarence D. Santiago, CRO, RCBC, said, “CLSSettlement enables substantial risk mitigation for RCBC, specifically by neutralizing settlement risk in foreign exchange dealings and significantly enhancing operational efficiency of the bank.”
Alberto Magno N. Pedrosa, Treasurer, RCBC, said, “RCBC's integration into CLSSettlement not only strengthens the bank's liquidity but also diversifies its global reach. This access directly fuels the accelerated growth of RCBC's foreign exchange business by opening doors to a wider, more diverse selection of global FX counterparties.”
Sandra Laielli van Scherpenzeel, Global Head of Cash Banks, UBS, commented, “CLS is a cornerstone for reducing settlement risk and liquidity needs through multilateral netting, strengthening resilience across the banking industry. The recent onboarding of Rizal Commercial Banking Corporation to CLSSettlement as a third party underscores CLS’s growing importance in APAC and global markets. UBS remains dedicated to supporting this critical infrastructure and driving innovation for clients worldwide.”
Lilian Chan, APAC Head of Cash Banks, UBS, added, “By joining the CLS community, RCBC has taken a significant step forward in the growth and expansion of its FX business. It is a testament to UBS’ commitment to supporting client implementation, and we look forward to further support this important business in the region.”
1 Principle 35 states, inter alia:
Where practicable, Market Participants should eliminate Settlement Risk, for example by using settlement services that provide PvP settlement.
Where Settlement Risk cannot be eliminated, Market Participants should reduce the size and duration of their Settlement Risk as much as practicable. The netting of FX settlement obligations (in particular the use of automated netting systems) is encouraged.
