Grab-led GXS rolls out Singapore's first digital bank

GXS Bank, the digital bank joint venture between ride-hailing firm Grab Holdings and Singapore Telecommunications, on Wednesday launched Singapore's first digital bank and bundled it with a savings account.

The GXS Savings Account's rollout comes after GXS secured the full digital banking licence from the Monetary Authority of Singapore in 2020, while expanding in other Southeast Asian countries.

A GXS-led consortium in April obtained a digital banking license in Malaysia, three months after its parents bought a 16.3 percent stake each in PT Bank Fama International to pursue banking opportunities in Indonesia.

In Singapore, GXS aims to cater to the under-served population.

"GXS is a homegrown bank on a mission to support the needs of entrepreneurs, gig economy workers and early-jobbers in our community," GXS Singapore chief executive officer Charles Wong said.

"To start, we are challenging the notion of what a basic savings account could do to support their goals and dreams."

GXS Savings Account will be available in Apple's App Store and Google Play Store from Sept 5, and will be rolled out progressively — beginning with selected employees and under-banked customers under GXS, Grab and Singtel, it said.

The account will offer daily interest deposits of up to 1.58 percent per annum and no requirement for minimum deposits, Wong said during the launch of the product.

- Reuters