This article first appeared in The Edge Financial Daily on January 30, 2019

KUALA LUMPUR: CIMB Group formally launched its banking business in the Philippines yesterday, seeking to become the first all-digital and mobile-first bank in the country.

CIMB Bank Philippines Inc promises to make banking simpler, more convenient and hassle-free, the group said in a statement yesterday.

Deputy governor of the central bank of the Philippines, Chuchi G Fonacier, and CIMB Group chairman Datuk Mohd Nasir Ahmad graced the launch in Manila.

“This completes CIMB’s operating footprint in Asean and we look forward to bringing a truly differentiated and digital proposition to the market,” the group’s chief executive officer (CEO) of group ventures and partnerships, Effendy Shahul Hamid, said at the launch.

Noting that the Internet and mobile penetration in the Philippines remains as one of the highest in the world, Effendy said, “it is a clear sign of the progressive and modern society we hope to serve.”

CIMB Philippines CEO Vijay Manoharan shared details on how the bank aims to provide a new banking experience for Filipinos.

“Consumers of today and tomorrow need innovative financial solutions that are relevant to their needs as well as help them get ahead and advance their financial wellbeing, but they don’t necessarily need a physical bank.

“By offering most of our products via the OCTO app securely, we are offering the next-level any day, any time convenience for our customers by enabling them to effectively ‘carry’ our bank branch in the palm of their hands,” he said.

The OCTO app — which can be downloaded from the Apple App store or Google Play — will aid CIMB Philippines’ retail banking convenience.

CIMB Philippines’ partners include 7-Eleven and DragonPay, with a total of 8,000 convenient customer touchpoints nationwide.

The CIMB Bank VISA-powered debit card is accepted at any of the 20,000 Bancnet, VISA, and VISA Plus ATMs nationwide, and two million VISA and VISA Plus ATMs worldwide.

The bank also offers the UpSave Account which caters to those who wish to start preparing and save for the future, by allowing greater savings with its high interest rate of 2% per annum, which it said is eight times higher than other banks.

In conjunction with the launch of CIMB Philippines, CIMB Group also announced that it had received regulatory approval from the Securities and Exchange Commission of the Philippines for its investment banking joint-venture, CIMB Bancom Capital Corp, in the country.

Effendy said CIMB Bancom “will look to deliver value-added advisory and cross-border capital market services to Philippine corporates looking to expand and grow across Asean, as well as capitalise on CIMB’s strong presence in the region to originate inbound deals to the Philippines.”