Setbacks along one’s journey are never easy. As leaders, however, we must stay the course and push through the tough times (and convert the naysayers) to get to the silver lining.

This is where defining a roadmap with incremental wins is so important. None more so for fintechs and banks in their digital efforts during this time.

Let’s take a look at the top stories, plus a piece of good news from Backbase.

1. HOW COVID-19 IS TRANSFORMING THE FINTECH INDUSTRY

Though the disruption caused by Covid-19 is certainly hard on many banks, fintechs aren’t too worried as they are naturally agile and flexible. Dare I say — they’re simply built better to withstand sweeping changes.

“Fintech companies are necessarily fast adapters: from adopting paperless and cashless approaches to implementing new software and cloud-based systems, as well as remote working capabilities.”
– Frank Zhou, CEO, Zeux

The pandemic has been hard on everyone. But it certainly has demonstrated the necessity of digital technology. It’s also an opportunity to prove that people can work as productively and securely at home. In fact, modern digital banking platforms can offer that ease and security, not just externally for consumers, but for their internal staff as well.

2. INCUMBENT BANKS HAVE AN EARLY-MOVER ADVANTAGE IN S.E.A

In Southeast Asia, the imminent entrance of virtual banks is set to shake up the banking industry. These digital banks have articulated their strategies around the large population of the unbanked in the region. Leveraging technology and digital platforms, these digital banks have focused on streamlining onboarding, as well as providing products that cater to the special needs of this population.

But despite this, there is a view that incumbent banks in the long-term will still have a lead in the digital banking race. By teaming up with local partners to gain new customers, introducing innovative features and services, incumbent banks that have launched stand-alone digital outfits are steadily acquiring an early-mover advantage.

3. PHILIPPINES’ FINTECH INDUSTRY GROUP DRIVES CASHLESS INITIATIVE AMIDST COVID-19 OUTBREAK

To combat the increasing risk of local transmission in the Philippines, the Fintech Alliance.ph has heightened its awareness campaign on the use of digital channels. They focus especially on reducing the handling of physical cash, which according to various advisories, may contribute to the spread of the virus.

4. STANDARD CHARTERED DEBUTS BANKING AS A SERVICE

Vietnam is proving that it is just as capable of keeping up with digital advancements with its own array of digital wallets and payment services. ViettelPay, a digital wallet service under the Viettel Group, said in a media statement that it is confident that the company will triple its user base by 2020. According to the company, they now have over 9 million users and are seeing over 40 million transactions annually.

5. VIETNAM’S VIETTELPAY EXPECTS TRIPLE GROWTH OF USERS IN 2020

Vietnam is proving that it is just as capable of keeping up with digital advancements with its own array of digital wallets and payment services. ViettelPay, a digital wallet service under the Viettel Group, said in a media statement that it is confident that the company will triple its user base by 2020. According to the company, they now have over 9 million users and are seeing over 40 million transactions annually.

6. THE JAKARTA POST: E-MONEY TRANSACTIONS IN INDONESIA SKYROCKET 173%

Electronic money (e-money) is on the rise in the country of Indonesia, as non-bank fintechs dominate the industry. As the government continues to push for cashless payment adoption, e-money transactions in the retail market skyrocket 173 percent in January from a year earlier.

Bank Indonesia senior deputy governor, Destry Damayanti, said that the growth of e-money in retail transactions had especially picked up in the past two years, as consumers shifted to the ease of noncash options. And what better testament to this trend than the Central Bank of Indonesia publicly coming out and supporting cashless payments during the trying times the country is facing right now.

7. ONBOARDING & ORIGINATION TO BOOST REVENUES

 

ABOUT THE AUTHOR

Riddhi Dutta is the Regional Head for ASEAN & India at Backbase.

Riddhi oversees Backbase’s sales and go-to-market success for his territory in Asia Pacific. He helps financial institutions turn their digital ambitions into reality, helping them with designing digital transformation initiatives which are feasible, tailored, and creative with instant business value.

Riddhi has an excellent track record of championing legacy modernisation initiatives in several banks across the region, where he consulted and helped banks move to open banking platforms, including modern core banking and treasury solutions. Prior to joining Backbase, Riddhi held several senior roles at Infosys Finacle, Fintellix Solutions and ITC Infotech.

Riddhi earned a Masters of Business Administration in Marketing and Systems from the University of Delhi.