Malaysia's large banks able to face competition from innovative digital banks


Malaysia's six largest banking groups by assets are well positioned to face competition from innovative digital banks following the announcement of five new digital entrants announced by Bank Negara Malaysia (BNM) recently.



The six banking groups are Malayan Banking Bhd, CIMB Bank Bhd, Public Bank Bhd, RHB Bank Bhd, Hong Leong Bank Bhd and AMMB Holdings Bhd, the holding company for AmBank (M) Bhd.

这六家银行集团是马来亚银行有限公司、联昌银行有限公司、大众银行有限公司、兴业银行有限公司、丰隆银行有限公司和大马银行(马)有限公司的控股公司 AMMB 控股有限公司。


According to Moody’s Investors Service, the new entrants would increase deposit competition in the consumer and small business segments, however the six largest banks will be able to fend off the competition due to their entrenched franchises and ongoing digital enhancements that will increase customer stickiness.



"They have been developing their own versions of ‘super apps’, which now allow customers to access the full suite of financial products and services, including digital payments for a wide variety of transactions using application programming interfaces,” it said in a statement on 4th May.

他们一直在开发自己的‘超级应用程序’版本,现在允许客户访问全套金融产品和服务,包括使用应用程序编程接口进行各种交易的数字支付,”它在5 月 4 日的一份声明中表示.


It said they also benefit from the government efforts to promote payment efficiency and interoperability, which include the implementation of DuitNow and DuitNow Quick Response (QR) code, the country’s real-time retail payment system and standardised QR code respectively.

它表示,他们还受益于政府为提高支付效率和互操作性所做的努力,其中包括分别实施 DuitNow 和 DuitNow 快速响应 (QR) 码、该国的实时零售支付系统和标准化二维码。


On 29th April, BNM announced that five consortia namely Boost Holdings Bhd-RHB Bank Bhd, GXS Bank Pte Ltd-Kuok Brothers Sdn Bhd, Sea Ltd-YTL Digital Capital Sdn Bhd, AEON Financial Service Co Ltd-AEON Credit Service (M) Bhd-MoneyLion Inc and KAF Investment Bank Sdn Bhd won Malaysia’s digital bank licences.

4 月 29 日,国行宣布 5 个财团分别为 Boost Holdings Bhd-RHB Bank Bhd、GXS Bank Pte Ltd-Kuok Brothers Sdn Bhd、Sea Ltd-YTL Digital Capital Sdn Bhd、AEON Financial Service Co Ltd-AEON Credit Service (M) Bhd -MoneyLion Inc 和 KAF Investment Bank Sdn Bhd 获得了马来西亚的数字银行牌照。


"In addition, the entry of digital banks will not materially affect the market shares of the largest incumbents over the next four to seven years because these digital banks will remain small,” Moody’s Investors Service opined.



It said new entrants may take between 12 and 24 months to set up and pass an audit conducted by BNM before starting operations.

它表示,新进入者可能需要 12 至 24 个月的时间来建立并通过国行在开始运营之前进行的审计。


However, it said small incumbents will face greater competition from both the new entrants and the larger banks and due to their limited resources, they will remain burdened by their legacy technology infrastructure.



It added that Malaysia now joins other Southeast Asian countries, including Singapore, the Philippines and Indonesia that have introduced digital banks into their banking systems.