GXS is currently allowed to serve retail and corporate clients and is now adding a savings account that does not require a minimum sum, as traditional lenders do, alongside interest that will be earned daily.
Singapore’s first digital bank, bundled with a savings account, has been launched by GXS Bank, the digital bank joint venture between Grab Holdings and Singapore Telecommunications.
The latest savings account rollout from GXS comes after the bank secured the full digital banking license from the Monetary Authority of Singapore in 2020 while expanding in other Southeast Asian countries.
The bank joined tech giant Sea, whose digital bank is MariBank, as the two corporations to obtain a digital full bank license granted by the Monetary Authority of Singapore.
A GXS-led consortium in April obtained a digital banking license in Malaysia, just three months after its parent companies purchased a 16.3% stake each in PT Bank Fama International, in a bid to explore banking opportunities in Indonesia.
GXS is currently allowed to serve retail and corporate clients and is now adding a savings account that does not require a minimum sum, as traditional lenders do, alongside interest that will be earned daily.
Customers can set up to eight savings compartments under the GXS account if they want to save money for specific purposes like schooling or vacations.
The GXS Savings Account is the bank’s first financial product and will be available in Apple’s App Store and Google Play Store from September 5, and will be progressively rolled out, starting with a select group of GXS, Grab, and Singtel employees and underbanked customers.
The account has no minimum deposit requirements and offers daily interest deposits of up to 1.58% annually.
“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 stated. “To start, we are challenging the notion of what a basic savings account could do to support their goals and dreams,” he added.
Wong also revealed that the bank aims to support the needs of entrepreneurs, gig economy workers, and first jobbers. Wong further stated that the digital bank will adjust the terms, including the deposit cap, based on consumer demand and behavior.
“Over the coming months, we will also tackle other obstacles that hinder consumers and small businesses from reaching their goals sooner, such as growing their wealth or accessing credit,” he stated.
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