Grab, in partnership with Singtel, the largest telecom company in Singapore, has invested an additional S$145.1 million (US $109 million) in GXS Bank, its digital bank.
Following the super app’s July 2023 US$ 101 million infusion into GXS Bank, the investment happens. To become a fully operational digital bank, a company needs to demonstrate that it can raise a minimum paid-up capital of S$1.5 billion (US $1.1 billion), according to the Monetary Authority of Singapore.
Competitors of GXS include Trust Bank, a joint venture between Standard Chartered Bank and FairPrice Group, and MariBank, a division of Sea Group. But in contrast to the other two, the latter functions as a full bank rather than a digital full bank, which enables it to be free from a deposit cap.
Muthukrishnan Ramaswami, a seasoned banker, was named group CEO of GXS last year to oversee operations in Singapore and Malaysia.
GXBank, a GXS Bank subsidiary, made its formal debut in Malaysia in November 2023, becoming the nation’s first digital bank.
