Malaysian internet banking on the verge of high growth

Mobile banking also set to soar.

Deputy Finance Minister Datuk Ahmad Maslan said the banking sector and the financial system in general requires technological advances to facilitate transactions.

Ahmad said Internet banking has the potential to generate savings of about one per cent of Malaysia’s annual gross domestic product.

Internet banking will become easier in March 2014 when all banks will provide at least one Internet banking kiosk at all their branches. Malaysia has a 49% Internet banking penetration.

As of June 2013, there were 14.6 million Internet banking subscribers in Malaysia: 14.3 million individuals and 300,000 corporate.

The number of mobile banking subscribers stands at 3.3 million or a penetration rate of 10.9%, which also constitutes 7.6% of all mobile subscribers.