PETALING JAYA: Boost Holdings Bhd, the fintech arm of Axiata Group Bhd, is eyeing digital banking licences in other markets in Southeast Asia with similar structures and opportunities as that in Malaysia and Indonesia, where it currently operates.
Boost group CEO Sheyantha Abeykoon said it has ambitions to penetrate similar markets with sizeable underserved customers that traditional financial ins-titutions have not been able to service or reach adequately.
“Additionally, if we feel we have a right to play in that market, such as if we have partnerships on the ground. As and when opportunities arise in the markets, we will look at that,” he told a press conference at the Boost Refreshed Brand reveal today.
Following the recent digital bank licence award from Bank Negara Malaysia, the CEO said it is on track for the launch although there is no specific timeline.
“Our building blocks are in place, so we feel that we will be ready in the timeline that we set for ourselves,” he added.
Boost’s four building blocks encompass lending (ecosystem lending, buy-now-pay-later, straight loans, fee-based (insurance), payments (loyalty, billing, offline and online payments) and fund mobilisation (securitisation, wallets).
In the coming months, Boost customers can expect enhanced consumer lending propositions, savings and investment solutions along with a venture into a new market, while doubling down in Indonesia as building blocks in preparation for the digital bank launch.
“In Indonesia, we are expanding our proposition by partnering with ecosystem players in industries like FMCG (fast moving consumer goods), telco and direct-to-home content.
“We are also looking to see how we can transition our fintech lending model into value-added merchant solutions and products, similar to what has taken hold in Malaysia.
“We will also be entering into partnerships to further mobilise funding for loan book growth via banking and non-conventional sources,” Sheyantha said.
Meanwhile, the CEO said Boost remains in the red but losses have been trending downwards since 2019. It expects revenue growth to moderate to 35% this year from 111% in 2021 and 52% in 2020 as consumer behaviour normalises in the endemic stage of Covid-19.
Year-on-year, it doubled its loan value disbursed region-wide, 43.1% increase in merchant touchpoints to over 500,000 across Malaysia and Indonesia, as well as 10.5% increase in userbase to over 10 million.
Boost revealed new product line-ups for users and merchants scheduled to be released throughout 2022 and 2023, including bigger wallet sizes.
Among its recent launches is Biz Booster for merchants, a data-as-a-service analytical tool.
