Telecommunications conglomerate Axiata Group Bhd is looking to acquire a virtual banking license, further expanding their footprint into the financial services sphere if the conditions are right.
This move would be considered a natural progression for Axiata Digital, well known for its widely popular e-wallet app Boost.
Axiata Digital Services Sdn Bhd CEO Mohd Khairil Abdullah says that “If the conditions are right and they continue to allow us to do what we want to do, then definitely we want to apply for a license. Between now and November, Bank Negara Malaysia is expected to engage with industry players who have expressed interest in it (digital banking) to get some input from them.”
The Malaysian Central Bank, Bank Negara is aiming to make virtual banking licensing criteria available by the end of 2019 but it is still unsure when the license will be issued by the regulator.
This news follows the announcement of a potential alliance between Axiata and Telenor and, if both the merger and banking license are successful, this could mean that the new entity will be a powerful force to be reckoned with.