Grab's GXBank to Establish Regional Center of Excellence in Malaysia by Late 2024

Grab-backed GXBank to establish a regional center of excellence in Malaysia, investing $330M and creating 400 roles to transform digital banking in Southeast Asia.

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Mahnoor Jehangir
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Grab's GXBank to Establish Regional Center of Excellence in Malaysia by Late 2024

Grab's GXBank to Establish Regional Center of Excellence in Malaysia by Late 2024

Grab-backed digital bank GXBank has announced plans to establish a regional center of excellence (COE) for shared services in Malaysia. The COE, which is scheduled to be operational by the end of 2024, will serve Grab-led digital banks and provide financial and operational services across the region.

As part of GXBank's MYR 1.5 billion (approximately $330 million) investment plan in Malaysia over the next five years, the COE aims to create nearly 400 roles focusing on core banking activities such as operations, technology, and risk management. This move positions Malaysia as a central hub for transforming the digital finance and banking landscape in the region.

GXBank CEO Pei-Si Lai stated, "The establishment of our COE for shared services is part of our long-term goal to become the digital bank of choice for Malaysians and to cultivate high-value skills that will fuel the digital banking industry in the region." The COE will leverage Malaysia's dynamic infrastructure and progressive policies, aligning with the government's KL20 initiative to elevate the country as an innovation hub.

Why this matters: GXBank's regional COE in Malaysia represents a significant step in the development of digital banking in Southeast Asia. The investment and job creation will contribute to Malaysia's growth as a fintech hub and support the expansion of digital financial services across the region.

In addition to the COE, Grab and GXBank professionals will collaborate with Endeavor Malaysia to mentor local entrepreneurs, helping them develop leadership skills, business expansion strategies, and leverage innovative technology and data to accelerate growth. This partnership aligns with the government's goal to make Kuala Lumpur a top 20 global startup hub by 2030.

GXBank commenced operations in Malaysia on September 1, 2023, as a joint venture between Grab Holdings, Singapore Telecommunications, and other Malaysian investors. The establishment of the regional COE further demonstrates GXBank's commitment to developing the digital banking sector in Malaysia and the wider Southeast Asian region.

Key Takeaways

  • Grab-backed GXBank to establish a regional center of excellence in Malaysia.
  • The COE will create 400 roles in core banking activities like operations, tech, and risk.
  • GXBank's MYR 1.5 billion investment positions Malaysia as a digital finance hub.
  • GXBank, Grab, and Endeavor Malaysia to mentor local entrepreneurs and startups.
  • GXBank commenced operations in Malaysia in 2023 as a Grab, Singtel, and local JV.