Boustead joins forces with ANGKASA’s insurance brokerage division to compete for an ISLAMIC digital banking license.
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KUALA LUMPUR, July 2 – Boustead Holdings Bhd has formed a consortium with Angkatan Koperasi Kebangsaan Malaysia Bhd’s (ANGKASA) subsidiary, MyAngkasa Digital Services Sdn Bhd (MDS), and an independent insurance brokerage firm to apply for an Islamic digital banking license from Bank Negara Malaysia (BNM).
Other strategic partners to join the bid, according to Boustead, include Germany-based core digital banking provider MAMBU, cloud solution specialist Amazon Web Services (AWS), and BNM licensed eMoney player MRuncit Commerce Sdn Bhd, according to a filing with Bursa Malaysia today (MCash).
“During the first foundation period,” it stated, “the MDS consortium is expected to focus on its captive market of seven million individuals, the majority of whom are in the unserved and underserved regions.”
Datuk Abdul Fattah Abdullah, president of ANGKASA and chairman of MDS, is optimistic about obtaining one of the BNM’s five digital banking licenses.
“The pandemic has highlighted the importance and significance of digital banking, and we don’t want to be left behind.”
“To improve sustainable economic growth across the board, MDS will focus on financial inclusion to neglected and unserved market segments, including the B40 and micro, small and medium enterprises (MSMEs), notably within the cooperative movement,” he stated.
The move, according to Boustead group managing director Datuk Seri Mohammed Shazalli Ramly, is in line with the company’s ambition to expand beyond traditional brick-and-mortar operations and would be the company’s first investment under the newly formed Boustead Digital Services./n
