Next week in BizHive Weekly
The global financial technology (fintech) ecosystem continued to mature at an accelerated pace over the course of 2017. According to research, total global investment in fintech remained steady at over US$31 billion, yearover-year. Meanwhile, a strong 87 per cent of FinTech firms in Southeast Asia and a corresponding 73 per cent in Malaysia are planning to expand their footprint beyond their current markets. Next week, BizHive Weekly delves into the future of fintech:
“Over the last five years, publications of Open Application Programme Interfaces (APIs) in the financial sector have increased exponentially, with an estimated 200 new APIs published every year. In a survey that we conducted earlier this year, more than half of banks and insurers in Malaysia indicated plans to roll out open APIs in the near to medium term. At the industry level, the bank has established an open API implementation group with members drawn from the industry, fintech community and key stakeholders to develop open API standards for the financial sector as part of efforts to broaden access and promote innovation and competition.” Jessica Chew, Bank Negara Malaysia Deputy Governor
“About three-quarters (77 per cent) of the fintechs believe that they will be able to compete internationally, with 87 per cent of the respondents planning to expand outside their home or current market in the next 12 months. Fintechs in Malaysia reveal a similar direction, with 73 per cent of respondents planning to expand beyond their home markets. Outside of Southeast Asia, the preferred destinations for growth and expansion are the US, UK and China.” Shankar Kanabiran, Ernst & Young Advisory Services Sdn Bhd partner and Malaysia Financial Services Banking & Capital Markets advisory leader
“Collaborations are becoming more rampant in Malaysia, not only between organizations within the private sector, but between regulators and non-profit organizations as well. The application of blockchain technology into the financial sector is an excellent example. In the ASEAN region, we are seeing FIs working closely with the regulators to develop a blockchain proof-of-concept aimed at streamlining know-your-customer processes.” Alvin Gan, KPMG Management Consulting in Malaysia executive director