Army co-operative invests RM10m in start-up aiming to be world’s first syariah-compliant digital bank

Army co-operative invests RM10m in start-up aiming to be world’s first syariah-compliant digital bank
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KUALA LUMPUR (Sept 23): Malaysian Armed Forces Co-Operative (Koperasi Angkatan Tentera Malaysia Bhd or Koperasi Tentera) is investing RM10 million in Australia-registered fintech start-up MyMy Holdings Pty Ltd as part of its plans to introduce a number of new digital financial services to its members.

In a joint statement yesterday, MyMy said it aims to become Malaysia’s first unicorn and the world’s first syariah-compliant digital bank.

The firm said with Koperasi Tentera’s latest investment of RM10 million, coupled with existing investments, MyMy’s seed round totals RM12 million.

It said this round values the fintech at over RM50 million and provides it with the regulatory capital required to apply for Bank Negara Malaysia’s (BNM) e-money licence.

Koperasi Tentera chief executive officer (CEO) Brigadier General (Rtd) Datuk Ahmad Zahudi Salleh said the collaboration includes digitising dividend payouts (in lieu of issuing cheques), providing digital accounts and e-wallets.

“We are also looking at offering multi-currency solutions for members travelling outside Malaysia post Covid-19,” he said.

MyMy CEO and co-founder Joe McGuire said with the capital injection from Koperasi Tentera, the firm will seek approval for an e-money licence from BNM to operate in the coming months.

“This is the first step in our journey towards securing one of Malaysia’s highly sought after digital banking licences due to be released in 2021.”

Meanwhile, MyMy chief operating officer and co-founder Kishore Samuel said MyMy is a fintech company which aims to become Malaysia’s first unicorn and the world’s first syariah-compliant digital bank.

He said the firm is reimagining financial services from the ground up, with a core vision of combining modern technology with traditional values often forgotten by technology firms.

“There are many question marks about whether society has sacrificed values and privacy for convenience.

“Our brand stands for My Malaysia, but it is also about giving customers the ability to manage ‘My Money, My Way’,” he said.