KUALA LUMPUR (Nov 3): Hong Leong Bank Bhd anticipates its digital banking business expanding by 30% to 40% in terms of customer base in the next two to three years, having witnessed “significant” growth in both its mobile and Internet banking users for the past year.
 
“In the last 12 months, we have seen significant growth in both our mobile and Internet banking user base,” its group managing director and chief executive officer Domenic Fuda told reporters, after launching the bank’s flagship brand in Damansara City today.
 
In terms of active users, Hong Leong Bank reported a 28% year-on-year growth for both its mobile and Internet platforms for the month of September. As for total transactions, the group saw an increase of 79% y-o-y.
 
“As we put more products onto our platform, more customers are using them. So what we are hoping to do in the next twelve months is to get more customers, both new and existing, to use our products digitally,” Fuda said.
 
“While BNM’s (Bank Negara Malaysia) regulation is such that KYC (know-your-customer) processes for brand new customers still need to be done face-to-face in the bank, but once that is done, the customers may proceed with their other transactions at home via Internet banking.
 
“In the long run, we hope to see our customers doing things as they like,” he added.
 
When asked on Hong Leong Bank’s outlook on the banking sector, Fuda said prospects for the industry “is buoyant and relatively strong”, anchored by the 5.7% y-o-y growth in Malaysia’s gross domestic product (GDP) in the first half of the year, among other factors.
 
“Malaysia’s banking sector is going to do extremely well. The GDP growth was very robust, and we are seeing quite a bit of activity in both the housing and SME (small and medium enterprises) lending sectors,” Fuda said.
 
“The outlook [for the banking industry] is buoyant…relatively strong, I would say,” he added.
 
As for the bank’s own business outlook, Fuda simply said Hong Leong Bank is maintaining its loan growth target of 5%-6% for the financial year ending June 30, 2018.
 
Hong Leong Bank’s flagship banking branch at Damansara City features wireless terminals and applications, offering customers the flexibility of performing speedy and personalised conventional and Islamic banking transactions anywhere within the premises, to minimise queue lines.
 
“Through optimising the use of digital technologies, we are not only reinventing our branch strategy, but are also redefining the way banking is done,” Fuda said.
 
“We take pride in leading the innovation space within the financial industry. Our revolutionary approach to service delivery provides customers with convenient, secure and efficient banking,” Fuda added.