AEON Bank, Malaysia’s first Islamic digital bank, is targeting to achieve break-even within five years, capitalising on its established brand and market reach, as reported by The Sun.
This plan was outlined by AEON Credit Service (M) Bhd at a recent press conference.
Launched on 26 May, AEON Bank is one of five holders of digital banking licenses in the country. It operates under the joint ownership of AEON Financial Service Ltd and AEON Credit, both subsidiaries of AEON Group.
AEON disclosed that the bank has received an unexpectedly positive response from depositors since its launch.
Although the number of deposits was not disclosed, it was noted that it has exceeded expectations and that the bank plans to continue launching new products pending approval from Bank Negara Malaysia.
AEON Credit’s Managing Director, Daisuke Maeda, emphasized the competitive edge provided by AEON Group’s market presence, especially through AEON shopping malls and its strong brand recognition.
He highlighted the bank’s unique offering of AEON points for opening a bank account and additional points for debit card spending, blending financial services with shopping benefits.
AEON Credit Chairman, Ng Eng Kiat, acknowledged the fierce competition in the digital banking sector, noting that GX Bank is also a recent entrant.
He stressed the importance of careful product development, particularly in ensuring robust cybersecurity before launching new products, given the longer gestation period for banking products.
Looking ahead, Maeda announced plans to upgrade AEON Wallet to promote digitalization and enhance customer convenience.
The wallet will serve as a common membership app for AEON Group, featuring enhanced payment and loyalty programs.
The goal is to integrate AEON Bank into their ecosystem to provide comprehensive financial services.
Featured image credit: Edited from Freepik