CEO Conversation Show: Unified Banking Platforms in Southeast Asia

Introduction

• Exploration of unified banking platforms in Southeast Asia
• Guest: Kalidas Co, Chairman of Uno Asia Private Limited and Uno Digital Bank
• Co-presenter: Asalan Oz AED, founder of one of Malaysia's first digital banks, Rise

Overview of Uno Digital Bank

• Kalidas Co's Background:
  • Extensive experience in consumer banking (City Group in India, Southeast Asia)
  • Built multiple consumer finance businesses in India, Vietnam, and the Philippines
  • Developed the largest consumer finance business in Vietnam before starting Uno Bank
• Uno Digital Bank:
  • Founded with a focus on digital banking
  • First fintech in the world to be incorporated as a bank
  • Launched in October 2021, reaching 1.7 million customers in 15 months
  • Aims for 2 million customers by year-end
  • Operates with under 200 employees

Unique Selling Proposition

• Competing against established banks without large parent support
• Focus on serving the unbanked and underbanked populations
• Customer-centric approach rather than merely selling products
• Unified banking concept to embed banking in daily lives of customers

Unified Banking Concept

• Modular technology platform
• Customer journey integrated with various services (e-commerce, transportation, etc.)
• Development of products across five categories:
  • Transactional
  • Savings
  • Borrowing
  • Investment
  • Insurance
• Targeting specific segments (e.g., OFWs—overseas foreign workers)

Technology Stack

• Front-end customer app developed in-house
• Proprietary orchestration layer for customer interactions
• Integration with third-party tools for core banking functions
• Continuous upgrades to technology for better service delivery

Safety and Security Measures

• Comprehensive cybersecurity strategies
• Biometric authentication and enhanced KYC processes
• Regular evaluations against global standards

Financial Inclusion and Credit Bureau Development

• Importance of establishing a comprehensive credit bureau for better credit access
• Challenges faced: Lack of national ID, underdeveloped credit reporting systems
• Uno Digital Bank's approach to using alternative data for credit scoring
  • Rapid document processing through the app
  • Decision-making within 10 minutes

Non-Performing Loans (NPL)

• Current NPL rate: 3.5% to 4.5%
• Industry standard for unsecured lending may be higher
• Objective to reduce NPLs over time as the portfolio stabilizes

Funding and Growth Plans

• Raised $75 million, including $32 million in pre-series rounds
• Investments directed towards customer acquisition and technology upgrades
• Aim for profitability within the next 6 to 9 months

Final Thoughts

• Kalidas Co emphasizes the importance of financial services for underserved populations
• Invitation for partnerships to enhance service offerings
• Commitment to innovation and customer-focused solutions

Conclusion

• Interview hosted by Brian Fernandez and Asalan Oz Ahmed
• Broadcasted on multiple platforms