In Focus

The Indonesian rupiah has plunged to a three-year low which might level strain on the banking system.

The sector is poised for profitability as it nears the end of the bad loan cycle.

Banks are pooling resources to break growth ceilings with the planned development of a blockchain-powered trade finance platform.

CAGR from 2009 to 2016 clocked in at 12%.

Amidst tighter regulatory pressures, analysts weigh in on whether Asia is still a market worth conquering.

Mobile banking has grown at least twofold in Emerging Asia to outpace other e-banking types. Smartphone banking is on the rise in Asia as it has outpaced all other e-banking types with digital penetration expanding in both scope and scale particularly in Emerging Asian markets, according to a report from management consultancy firm McKinsey. Digital banking penetration has expanded from 1.5 times to as much as threefold in various Emerging Asian economies since 2014, giving rise to a larger percentage of digitally active customers, accounting for a fourth (25%) of the population in markets like China, India, Indonesia, Korea, Malaysia, Pakistan, Philippines, Taiwan, and Thailand and 85% of the population in Developed Asia. The median for e-banking penetration is at almost thorough at 97 for Developed Asia and more than half at 52 for Emerging Asia. “For banks, these changes represent both a challenge and an opportunity,” said McKinsey & Company partner and head of Asia Pacific digital banking practice Vinayak HV. “What’s clear is that they cannot rely on their existing business models and need to consciously invest to change their businesses in line with rapid changes in consumer sentiment and behaviour.” Major banking players need to fine-tune their digital strategies in an effort to tap the increasingly online audience or risk losing patronage to mobile wallets who are quickly snapping up market share in India and Hong Kong.

New markets and new target demographics may just help banks stay afloat.

DBS stays ahead of the pack after growing its digital team since 2009.

They lead the rest of the world when shares of global banks plunged 17%.

Bank lending to households represent half of GDP and 82% of disposable income in 2017.

The mainland’s deleveraging programme will drive cross-border loan activity but pose risks to LGFVs.

Singapore banks lead the pack as over half pledge to increase investment by over 5%.

The tech giant is in talks with JPMorgan Chase to create a product similar to a checking account.

Consumers are increasingly using e-wallets for their daily transactions like food and transport.

Should banks worry now that they have new competition?

Digital savvy clients may soon prefer to interact more with chatbots.