It has been six months since The Monetary Authority of Singapore (MAS) announced the four successful applicants for Singapore’s inaugural digital banks.
A Grab-Singtel consortium and SeaMoney (an entity wholly owned by Sea Group) snagged digital full bank (DFB) licenses to provide retail and corporate banking services.
Meanwhile, Ant Group and a consortium headlined by Greenland Financial Holdings secured digital wholesale bank (DWB) licenses to serve the financial needs of small and medium-sized businesses (SMEs).
While the digital banks are only expected to turn operational in 2022, there have been notable developments since the licensing announcement in December last year.
Digital banks are proliferating in Asia on the back of favorable regulatory changes, market liberalization pushes by governments, and enhanced digital penetration by consumers.
In Singapore’s digital banking race, the Monetary Authority of Singapore granted 4 digital banking licenses with SEA Group and the Grab-Singtel consortium securing the full digital banking license.
Just last month, Vietnamese ride-hailing company Be Group launched its digital banking offering Cake in partnership with VPBank. Integrated into the Be app, Cake provides products and services like a traditional bank, including a checking account and its accompanying debit card, money transfers, bill payments and savings accounts. With over 10 million customers, Be claims to account for nearly a third of the Vietnamese ride-hailing market.
Singapore’s fintech industry continued its momentum in 2020 on the back of new regulations, fintech initiatives from regulators themselves and the introduction of the city state’s very first digital banks, according to the Singapore Fintech Report 2021 produced by Fintech News Singapore in partnership with Alibaba Cloud.
The Singapore Fintech Report 2021, released in January 2021, which can be downloaded here, looks at the state of the fintech industry in Singapore, highlighting the key developments made in 2020 that are set to shape the industry for the year to come.
The report indicated that 2020 was a fruitful year for Singapore’s fintech startups which continued to grow and attract funding. Fintech investment in Singapore reached US$346 million in 2020, representing 6.2% of all that was raised in Asia.
streetAsia s premium subscription service Unlock your competitive advantage in a rapidly evolving landscape. Our packages come with exclusive access to archive content, data, discount on summit tickets & more. Be a part of our growing community now. SUBSCRIBE NOW
Singapore Reporter/s
In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digi
2020 Has Sped Up The Adoption Of Digital Banking: Here’s Why The Growth Is Here To Stay
Once you go digital, there is no turning back.
January 12, 2021
This article was written in collaboration with Standard Chartered Bank (Singapore) Limited. All views expressed in this article are the independent opinion of DollarsAndSense.sg.
All information provided is for informational purposes only and is not intended to be construed as advice or an offer for any product or service. Standard Chartered and DollarsAndSense.sg is not liable for any informational errors, incompleteness, delays, or for any actions taken in reliance on information contained herein.