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Chronological Analysis of Bank Branch Operating Environment Factors: The Case of the Ortigas Central Business District, Metro Manila, Philippines


The  global  effort  to ensure financial  products  and  services are accessible to  populations in  unserved  and underserved regions has posed inherent difficulties for banks and financial institutions. This challenge arises from inadequate information about suitable locations for establishing physical branch office operations that are both viable and sustainable.Focusing on the  Ortigas  commercial  business  district  (CBD)  in  Metro  Manila,  Philippines,as  the  case  study  area, the key  operating environment factors,particularlythe presence of anchor institutions, land use commercial potential, and fully developed road network,were  identified  through the key  informant  interviews.  A  chronological  analysis  spanning  different periodswas conducted to examine and confirm the influence of thementioned factors on the entry, expansion, and concentration of bank branchesin the  CBD.Additionally, the study  exploredthe contributionof central  bank  policies,  specifically  liberalization measures, tolocation-specific  restrictions  regarding  branch  expansion  in  key  cities  within  Metro  Manila.  The  findings highlight the significance of these location-decision factors and policy interventions in informing the planning of financial districts at the local government unit level, irrespective of their financial inclusion status.Furthermore, the research elucidates the interconnections between these operating environment factors and their role in shaping the urban form of the CBD. The influx of anchor institutions or customers, driven by these factors, serves as primary sources ofbranch deposits, underscoring the  importance  of  strategic  planning  and  policy frameworkdevelopmentin  promoting  financial  inclusion  and  urban development.


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