These are the leading countries where new payment options are creating new opportunities and disrupting the incumbents
These are the leading countries where new payment options are creating new opportunities and disrupting the incumbents
Retail banking sector has been the main growth driver for Indian banking sector during the past few years, as banks’ exposure to corporate banking sector has been reduced due to bad loans problems. Their retail lending has grown at a compound annual growth rate (CAGR) of 16.2% over the FY2013 to FY2018 period, making India's retail banking one of the biggest among emerging markets.
The Top 100 banks in consumer banking in Asia Pacific, the Middle East and Africa is the result of The Asian Banker International Excellence in Retail Financial Services Programme, the most rigorous, prestigious and transparent audit programme for consumer banking.
A year after Hong Kong issued eight digital banking licences, Mox and ZA Bank have emerged as the early leaders. Together with WeLab, the three banks account for 86% of all virtual banking deposit in Hong Kong.
Tech giants, which make up some of the world’s largest companies, are muscling into traditional banking spaces. But whether they want to crush the traditional finance players or enable them, they are learning across the globe that disrupting well-regulated banking systems is easier said than done
The inaugural BankQuality™ Consumer Survey and Rankings interviewed 11,000 bank customers in 11 markets across the Asia Pacific region on their engagement, experience and satisfaction with their main retail banks.
The most competitive digital retail financial institutions come all but from China, and the elite club of the top 10, representing all non-bank financial players, are exclusively from China, Korea and Australia
The Internet of Things offers potential opportunities in retail and corporate banking and will fuel the rise of new types of clients in the form of smart cities and autonomous artificial intelligence driven market agents.
Retail asset quality pressure will persist in the Asia Pacific region, due to slower economic growth and worse employment situations. However, the downside risk to banks’ retail asset quality will remain manageable, as regulators and banks continue their efforts to better manage credit risk.
The last four years have been considered the worst for Thai banks in retail banking. Despite a meagre income and loan growth, banks have been working hard to improve operating efficiencies, re-balance portfolios, and build digital platforms to support the country’s next phase in e-payments, internet financing and micro lending.
In the quest to create financial ecosystems, banks believe they can stay relevant to a customer’s financial needs.
As data analytics becomes nearly ubiquitous in most parts of consumers’ digital lives, leading banks are providing digitised solutions that deliver the right offer at the right time, predict fraud so they can reduce risk, and boost cross-sell rates.
Declining profitability from lending is forcing Japanese banks to rethink product and service strategies whilst innovative technology adoption is helping to maintain high service levels
The gross retail banking income for the entire region will grow by 8% by the end of 2017 after showing a year-on-year growth of 7.5% in 2016 and 10% in 2015.
Financial institutions are starting to use APIs to create important linkages between their products and services and their customers and important third party value providers. Early movers to stand to gain mindshare of both customers and the wider application developer community.
DBS Group’s retail and wealth business has been accelerating income generation since 2013. However, the bank continues to face an uphill struggle with some of its overseas retail markets.
While many financial institutions in emerging markets are trying to strike the right balance between their physical footprints and digital presence, leading banks in mature markets are proving that digital transformation can boost profitability and efficiency.
The advent of new technologies is driving rapid upgrading of national payment systems around the world that are enabled with rich data and real-time capabilities.
The Asian Banker recently updated the bank profile of Vietnam Prosperity Bank Joint Stock Commercial Bank (VPBank).
The Asian Banker recently updated the bank profile of Asia Commercial Bank. The bank is focused on boosting its competitiveness in the Vietnamese market.
China Merchants Bank and China CITIC Bank are developing their credit card businesses to stimulate retail income.
Despite current economic challenges, Vietnam’s banking sector has promising longer term potential due to its relatively young and increasingly affluent population.
The contribution of consumer finance to the overall retail loans in Asia Pacific in 2015 ranged from 2% to 56%. Its share to retail loans has increased in markets like Indonesia but has declined in Hong Kong and Thailand. The growth of consumer finance per country also varied, slowing down in Taiwan and growing faster in the Philippines.
While crowdlending in Asia Pacific shows early promise, its fate will be dictated by how regulators and banks respond to the challenges they pose.
Innovations emerging from East and West African banking hubs are enabling the sector to take a lead in reaching Africa’s unbanked population but much remains to be done.
New payment options in the market are creating new opportunities, making competition fiercer, and reducing the use of cash and cheques.
State enterprises form one of the largest customer segments of Krung Thai Bank. But this does not confine the bank, as it enters the nongovernment retail deposit market driven by a mix of competitive pricing and products, process innovation, and a strong branch network.
Formal financial institutions have connected only 22% of the Indonesian population. A huge potential for the financial sector still needs to be explored, and digitised lending, which combines retail banking with financial technology, should be a future solution.
Hong Kong’s economy remains sound but the Hong Kong Monetary Authority is tamping down property loans and issuance of long-term personal loans. With the stricter regulations, the challenge for Hong Kong banks is not asset quality but pricing.
Australian banks are moving towards increased digitalisation, leveraging technological advancements to ensure seamless customer experience in providing better retail banking products and services.
CaixaBank in Spain and South American bank Itau Unibanco topped this year’s inaugural Global Retail Bank Ranking
The failure of Silicon Valley, Silvergate and Signature banks was caused by asset-liability mismatches, interest rate hikes and insufficient diversification, with many other US banks set to crack
Indonesia’s Bank Central Asia, DBS Singapore, South Korea’s Toss Bank, and China’s Alipay were voted the Most Recommended Retail Bank, Most Selected Main Bank, Most Recommended Digital-only Bank and Most Recommended Platform, respectively, in the 2023 BankQuality™ Consumer Survey
Indonesians voted BCA as the Most Recommended Retail Bank, followed by blu as the Best Digital-only Bank and Dana as the Most Recommended Platform in the 2023 BankQuality™ Consumer Survey
Consumers in India rated ICICI as the Most Recommended Retail Bank in the 2023 BankQuality™ Survey with a score of 69%, while Paytm scored 64% and rated as the Most Recommended Digital-Only Bank
Consumers in Thailand voted Kasikornbank as the Most Recommended and Most Selected Main Retail Bank in the 2023 BankQuality Survey; Siam Commercial Bank placed second while Line BK emerged as highly-rated digital-only bank
The current disintermediation in payments and MSME lending marks the tip of the iceberg, and retail deposits may be the next battleground
Disintermediation by digital wallets and decentralised finance platforms is shifting deposit business dynamics, requiring conventional banks to innovate and stay competitive
Taiwanese consumers voted E.Sun Bank as the Most Recommended Retail Bank, giving it a 13% BankQuality™ Score. CTBC Bank emerged as the Most Selected Main Bank, securing 20% of the bankable population for primary relationships
Hong Kong consumers voted Citibank as the Most Recommended Retail Bank with a BankQuality™ Score of 19%, Airstar Bank as the Most Recommended Digital-Only Bank with 12%, and Octopus as the Most Recommended Platform with 14%.
Malaysian consumers voted Maybank as the Most Recommended Retail Bank, while Touch ’n Go emerged as the Most Recommended Platform in the latest BQS™
China’s wealth management market overcame regulatory hurdles and saw renewed investor confidence in the first half of 2023, with mutual funds surpassing the scale of bank wealth management products
China's e-commerce rebounded in 2023, with Pinduoduo's remarkable performance surpassing that of Alibaba and JD.com. Alibaba responded with the 'Year-End Good Price' festival, emphasising a 'low price strategy.'
JPMorgan Chase, China Construction Bank, and Emirates NBD claimed leading spots in this year’s ranking, with JPMorgan Chase standing out in retail financial performance and digital customer base
China’s economy grew faster than expected at the start of the year but it remains to be seen if it signals a solid recovery trend as the crisis-hit property sector bears down on growth