Digital banks will not affect traditional banks in Malaysia

KUALA LUMPUR: The emergence of digital banks in Malaysia does not significantly impact traditional banks, primarily due to their limited ability to achieve rapid growth within the initial years of operation.

S&P Global Ratings senior analyst, financial institution ratings, South and Southeast Asia (SSEA), Sue Ong said that the five digital banking licenses issued by the Bank Negara Malaysia (BNM) in 2022 do not seem to be a game changer for now.