Boost, the fintech arm of Axiata Group, in partnership with RHB Banking Group, has secured regulatory approval from Bank Negara and the Finance Ministry to commence operations as Boost Bank, a digital bank, starting January 15, 2024. The consortium, marking the first primarily Malaysian-owned digital bank, plans to address financial inclusion gaps and will undergo alpha testing before the public launch.
8 January 2024 – Boost, the fintech subsidiary of Axiata Group Bhd, in collaboration with its consortium partner, RHB Banking Group (RHB), has received official approval from Bank Negara and the Finance Ministry to initiate operations as a digital bank, effective January 15, 2024.
In a joint statement, Boost and RHB announced that the consortium has become the first primarily Malaysian-owned digital bank to commence operations, featuring an innovative embedded digital bank app designed to address significant financial inclusion gaps for the underserved and unserved population.
The approval was granted ahead of the scheduled timeline following a comprehensive operational readiness review validated by Bank Negara. Boost Bank by Axiata and RHB, as the digital bank is now formally known, will proceed to the alpha-testing phase involving internal employees, family, friends, and a selected group of customers.
Fozia Amanulla, recently appointed as the Chief Executive Officer (CEO) of Boost Bank, leads the experienced digital bank team, bringing together expertise in technology, information security, product development, risk and compliance. The team leverages fintech talent from Boost, banking knowledge from RHB, and additional capabilities from the broader industry.
The Boost-RHB digital bank consortium, with Boost holding 60% equity and RHB owning the remaining 40%, was one of the five successful license applicants announced by Bank Negara in April 2022. Leading up to the public launch, Boost Bank plans to progressively enhance its product offerings and refine the user experience, aiming to usher in a new era of embedded finance tailored to meet the diverse needs of all Malaysians. – ref: The Star
