GXBank Berhad, the first of Malaysia’s five digital banking licensees to officially commence operations on 1 September, is now the first to officially launch its beta app to the Malaysian public.

As of 14 November 2023, this inaugural application will be accessible to an exclusive group of 20,000 Malaysian users, following a successful internal testing phase involving the bank’s employees and partners.

GXBank is a subsidiary of GXS Bank Pte Ltd, one of Singapore’s premier digital banks that is a joint venture between Grab Holdings Limited and Singapore Telecommunications Limited (Singtel), along with a consortium of other Malaysian investors, including Kuok Group.

GXBank App Pioneering Digital-Only Banking in Malaysia

Following the internal testing phase between the bank’s partners and staff, and in an effort to distinguish itself as better reflecting the needs of young, underbanked Malaysians, the beta stage of the GXBank app arrives with an interface that is accessible to new users and robust safety features, underpinning the fledgling digital bank’s commitment to user security and trust.

Compliance with regulatory standards and technical requirements of digital banking has been a focus throughout the app’s development, according to GXBank’s upper management, with the target of ensuring the protection of users’ data and finances.

Fadrizul Hasani, the Chief Technology Officer at GXBank, emphasises the app’s creation as a collaborative effort backed by the support, knowledge, and critical feedback from its workforce that is made up of more than 95% Malaysians, from both the finance and technology sectors. He noted,

“We leveraged the combined learnings from our partners, their tech stack and their deep understanding of their customers to develop something we hope will address the needs of Malaysians.”

 

“As a bank built predominantly by Malaysians, we are uniquely positioned to understand and develop financial solutions that address the needs and challenges of the everyday Malaysian,”

added Pei Si Lai, GXBank’s Chief Executive Officer.

Encouraging Savings with Innovative Features

A notable feature during the beta-testing phase is the ability for users to open a GXBank Savings Account and create up to 10 savings “Pockets” to help automate goal-based savings. These “Pockets” are designed to foster a savings culture, with users able to allocate funds for various goals, earning up to 3% p.a. in daily interest.

As seen with international digibanking apps, this feature aids in saving for specific objectives, and will also offer tips to expedite savings growth. The app is powered by technology and user learnings from GXBank parent Grab, and in the future will feature more integrated features with its parent application such as leveraging GrabRewards. The GXBank app can already be accessed through the Grab app itself.

For other whitelisted users, they have to download the app from the Google Play Store or Apple App Store, upload a digital copy of their national identity MyKad (the app is only available to Malaysians at this time), and complete the familiar electronic Know Your Customer (eKYC) to tie the GXBank app to their unique identity and device. 

Users need to deposit a minimum of RM10 from any bank in Malaysia or via DuitNow to begin using the savings features, with the stringent eKYC measures including facial recognition and one-time password (OTP) verification to identify the unique device. With the current beta phase of the app only open to 20,000 Malaysian users, those interested to be part of subsequent testing phases can register their interest with GXBank. 

Assured Security and User Benefits

GXBank, licensed by Bank Negara Malaysia, aims to ensure peace of mind for its users through several security measures, including deposits backed by Perbadanan Insurans Deposit Malaysia (PDIM) up to RM250,000 per each depositor, as well as account locking capabilities if users believe fraudulent or unauthorised transactions are taking place on their account, and daily spending limits to prevent overspending.

Users can also enjoy perks like RM20 cashback on minimum deposits, waived processing fees for cash withdrawals at MEPS ATMs, and unlimited cashback on debit card spending.

“We are honoured to be entrusted by Bank Negara Malaysia to help Malaysians achieve their financial dreams, regardless how big or small – all with a few simple taps on their mobile device, tucked in their physical pockets,”

remarked Pei Si.

Vision for Financial Independence

The GXBank CEO also shared the broader vision of the bank. One of the stated aims of Bank Negara Malaysia in introducing digital-only banks is to bolster economic inclusivity for underbanked Malaysias, and stimulate better financial habits and participation in the local economy.

“As we continue to test the stability of our app and gather feedback from users, we hope to develop a digital banking experience and app that is uniquely tailored to the financial needs of Malaysians of all generations,”

she stated.

GXBank’s commitment to financial inclusivity aligns with Malaysia’s vision of a financially resilient nation, offering easy access to tailored financial products without the complexity of traditional banking processes.

Pei Si concluded,

“We are one step closer to our nation’s vision of a financially resilient country where Malaysians can have equitable access to financial products that cater to their individual needs, without the intimation and hassle of elaborate paperwork, processes and jargon.”