Author: Fintech News Malaysia

CIMB Bank Berhad and CIMB Islamic Bank Berhad has announced its CIMB CNY Go Digital offers for Small and Medium Enterprises (SMEs). As businesses are still weathering the pandemic and with the recent implementation of the Movement Control Order (MCO), CIMB is strengthening its efforts to provide digital solutions for SMEs. CIMB has partnered with Shopmatic, an e-commerce provider in Southeast Asia, that enables SMEs to increase online sales via the latter’s B2C platform to reach a wider audience. With Shopmatic’s services, SMEs can set up a fully integrated website in 30 minutes and at the same time and receive…

CapBay, a Malaysian P2P supply chain financing platform, announced that it has raised US$ 20 million in its Series A round. The funding comes from existing investor KK Fund, a Singapore-based venture capital firm that invests in startups across Southeast Asia with a strong foothold in Malaysia since 2015. CapBay had previously secured close to US$ 500,000 during a seed funding round led by KK Fund in 2017. Other Malaysian investors include several angel investors with expertise in finance, technology and growing startup companies. CapBay said that the funding will enable more efficient financing and market expansion in order to…

TNG Digital, the e-wallet operator that was formed as a result of a joint venture between CIMB Bank and Ant Financial, is reportedly seeking to raise US$ 150 million according to a Reuters report on Thursday. The report further added that the exercise is expected to provide TNG Digital a valuation of over US$ 700 million and they could potentially end up raising US$ 250 million by end of 2021. If this deal materialises, TNG’s fundraising round will eclipse the current largest fintech funding round of US$ 70 million, a record that is held by its e-wallet competitor, Boost. The…

Split, a Malaysian Buy Now Pay Later (BNPL) platform, announced that it has processed RM 10 million in transactions for Malaysian businesses nationwide within months The platform enables merchants to offer up to 3 interest-free installments to their customers who can use any debit or credit card from any local bank. In their media statement, they added that over 250 Malaysian brands including Dyson, Switch, Lorna Jane and Gamer’s Hideout benefited from the increased traffic, higher sales conversions, and incremental revenue. This news comes off the back of South East Asia’s growing interest in the Buy Now Pay Later space, with…

Payments firm GHL has expanded its service offerings to include road tax and vehicle insurance renewal service with a recent tie up with Loanstreet, a Malaysian financial market place. On the heels of the launch of GROW by GHL, offering a myriad of both financial and non-financial products, GHL Systems adds more value-added services in addition to payment acceptances. In addition to the Road Transport Department (JPJ) and other service providers offering vehicle road tax and insurance renewals, consumers can now also renew online via GHL’s GROW platform and Loanstreet. The company said that this service enables end-to-end road tax…

Touch ‘n Go (TNG) Group’s subsidiary TNG Digital Sdn Bhd (TNGD), has emerged as the first e-wallet to be granted a conditional approval to operate as a Recognised Market Operator (RMO) by the Securities Commission of Malaysia (SC). TNG said that it aims to launch its “financially inclusive investment product in the first quarter of the year, allowing our users to access basic investment services for as low as RM10”. The conditional approval by the SC will enable the company to directly distribute capital market products, including money market unit trust funds, through the Touch ‘n Go eWallet platform, without…

microLEAP, Malaysian platform that offers both Islamic and Conventional Peer-to-Peer (P2P) financing, announced a successful RM3.25 million funding round, made up of RM1.25 million in equity and a RM2 million advance. The RM3.25 million will be used for advertising and promotions, hiring of more staff and tech enhancements. microLEAP is a registered market operator and was granted approval to operate a P2P financing platform by Securities Commission Malaysia in May 20199 Additionally MAA Group has also committed to invest RM10 million in MicroLEAP’s notes. The investments will be spread across microLEAP’s Islamic investment notes up to 30% per investment note…

A new whitepaper by Huawei and the International Data Corporation (IDC) looks at how banks around the world have responded to the COVID-19 pandemic and identifies the way forward in the new normal. In a report titled Banking Industry Rises up to the New Normal, the two organizations share results of the Banking Resilience Index, which aims to act as an indicator of banking operation and capability for recovery amid the pandemic. The index quantifies the current status of banking by region in terms of six key measures, and shows the major regional differences. It evaluates each region’s performance and…

Malaysian fintech startup Soft Space has announced that it has partnered with GMO Financial Gate (GMO-FG), a Japanese payment service provider, to introduce payment solutions within the Japanese market. With this partnership in place, Soft Space will be able to support secure and seamless Europay, Mastercard, and Visa (EMV) transactions, and allow it to introduce its suite of innovative payment solutions into various industry sectors in Japan. In the near future, Soft Space and GMO-FG aim to deploy more acceptance points. Developed by Soft Space’s homegrown technology, these suite of payment solutions capitalise on the convenience of smart devices to perform…

In Malaysia, the gig economy has been growing rapidly, especially at a time when the COVID-19 pandemic is forcing people to turn to temporary work to secure income. Despite this rapidly growing segment, freelancers, self-employed and gig workers are still largely underserved when it comes to financial services, experts said in a panel discussion last week. During a virtual conversation hosted by Fintech News Malaysia, executives from Malaysia Digital Economy Corporation (MDEC), UN Capital Development Fund (UNCDF), Employees’ Provident Fund (EPF), and Grab Malaysia, explained why incumbent financial institutions are failing to design products that match gig workers’ special needs…

Like many other areas of the economy, the financial services sector is undergoing a data revolution. Every day, the global banking industry generates massive amounts of data by processing hundreds of billions of financial transactions as well as through interactions including emails, video communications, call logs and mentions on social media. Banks are using this data to develop new products and services that are more personalized and which better fit customers’ digital lifestyle. COVID-19 has accelerated the digitalization of the banking industry, further increasing the amount of data. This huge growth in data creation is bringing both opportunities and challenges…

Bank Negara Malaysia issued on 31st December 2020 the much anticipated digital banking framework, which followed a six month public consultation period. Plans for a digital banking framework was first announced in March 2019 and were initially scheduled to open for applications in mid-2020 but the development of the framework hit a snag due to disruptions caused by COVID-19. Malaysia joins a growing number of countries in Asia who are each introducing their own version of a digital banking framework. In 2019, Hong Kong announced that they have granted 8 entities licenses to operate a digital bank which includes Chinese…

Fintech News Malaysia would like to take this opportunity to wish all our readers a Merry Christmas and a very Happy New Year. We will be taking a break from the 24th December 2020 to the 3rd January 2021. Until then, you can access some of our year-end articles that may be of interest to you. We look forward to seeing you all again on the 4th January 2021! https://fintechnews.my/25680/editors-pick/5-top-stories-that-shaped-fintech-in-malaysia-in-2020/ https://fintechnews.my/22562/editors-pick/top-20-malaysian-fintechs-in-2020/ https://fintechnews.my/24773/regtech-fintech-regulation-malaysia/banks-should-turn-to-using-ai-in-ekyc-in-the-digital-arms-race/ https://fintechnews.my/25047/various/building-malaysias-first-unicorn/ https://fintechnews.my/24573/various/bnm-director-suhaimi-ali-explains-fintech-regulation-in-malaysia/ https://fintechnews.my/25362/malaysia/wealthtech-in-malaysia-webinar/

It may be a challenge for brands in highly-regulated spaces, but meeting customer expectations is both possible and essential. To get there, marketers need to ensure that they strike the right balance between data privacy/security and innovation. Let’s explore the best practices of how brands in financial services can make the customer engagement journey as smooth and secure as possible. Building out an effective customer journey is an essential part of the long-term success of any brand in today’s increasingly in-the-moment, mobile-first world. For financial services brands, implementing this kind of data-driven customer engagement program requires two key elements: Taking…

If fintech brands aren’t mindful of today’s looming threats, they may find themselves losing out not just to banks, but to non-financial brands. Think Apple’s wildly successful credit card debut, with over $10 billion dollars of extended credit within two months of launch, or how Starbucks holds over $1 billion in customer mobile payments in their app. What does it take to build a powerful, growth-oriented customer messaging strategy? Here are four winning tips to get your messaging right. 1. Know Your Customer—for Real, in Real Time Financial brands can benefit from the rich data they capture from customer transactions.…

CapBay, a Malaysian P2P supply chain financing platform, has provided RM 100 million in funding across 500 investment notes on its platform since its launch 9 months ago in March 2020. This milestone is part of CapBay Group’s strong track record of providing supply chain finance since 2017, facilitating a total of RM 800 million across 9,000 transactions covering underserved SMEs. CapBay was part of the second batch of P2P license recipients last year, while the first batch were announced back in November 2016. CapBay launched its P2P platform amid the COVID-19 situation with the intention of widening access to…

WISE AI, a startup providing eKYC and digital identity solutions, has raised an undisclosed amount of funding from Sun SEA Capital, a venture capital backed by Sunway Group. This news follows Bank Negara Malaysia’s approval of the eKYC framework in June 2020. Without stating names, the startup claims to have secured a sizeable amount of reputable clients ranging from a subsidiary of BNM, core banking system providers, state governments, credit rating agencies and fintechs. “Through Sun SEA Capital’s investment, WISE AI is able to explore collaboration opportunities leveraging Sunway’s vast ecosystem across 13 business divisions as well as Sunway City…

AIA Group has announced a regional strategic digital technology partnership with ZA Tech, a tech venture founded by Chinese digital insurer ZhongAn. The initial focus will be Malaysia, where AIA General Bhd announced a new digital insurance plan sold through Shopee, an online shopping platform in South East Asia. This partnership will see AIA leveraging ZA Tech’s expertise and their “Graphene System” to enable AIA to develop and distribute scenario-based digital products with greater speed. ZA Tech’ said that it will help AIA integrate with its digital partners to instantly issue coverage for individual customer segments based on their lifestyle activities.…

Singapore-based fintech company 360F and Fi Life, a Kuala Lumpur-based insurtech, have collaborated to introduce the new 360-NeedsProfiler to the Malaysian market. This online tool allows users to self-discover their financial needs based on Malaysian demographic and mortality data and 360F’s personalised prediction algorithms which enables data-driven and scalable advisory. Choosing suitable protection and investment products can seem daunting to many consumers. Product comparisons are difficult, especially when protection elements are combined with investment ones. By answering nine non-intrusive online questions, they said users will receive a succinct customised report that quantifies in percentage terms what are the most important…

In financial services, the growing number of fintech startups and incumbents’ late-to-the-game focus on technology has led to some of the fiercest competition of any industry. Banks are throwing multi-billion-dollar technology budgets into digital transformation initiatives, while fintech brands are racing to build out more products. Fintechs still have key advantages over financial services incumbents. They can spin up new experiences at a much faster speed, thanks to modern technology stacks and more nimble team structures. But, many fintechs lack the brand reputation and customer base needed to compete effectively with the giants, which continue to dominate market share. When…