SCBX teams up with KakaoBank to Launch Virtual Bank in Thailand

Partnership between SCBX and KakaoBank will be launched to Thailand as a virtual bank, using digital only banking models to increase financial inclusion and access in the region.

KakaoBank Corp, the most prominent digital bank in South Korea, is venturing into a new partnership with SCBX of Thailand to form a virtual bank. The purpose of this new undertaking is to adopt the digital only banking system of South Korea which offers and sells all banking and finance services through the internet with no need of physical branches.

The Bank of Thailand closed virtual bank license registrations, but still granted one to SCBX in September. The project is very quick with Thai virtual banks supposed to start operations within a year of obtaining a license.

In recent years, SCBX has become one of the largest banking and finance groups in Thailand and owns eleven other banks with Siam Commercial Bank, one of the largest in the country. Managers of both companies have personally voiced their intentions to make all financial services more available and to improve digital banking services in Thailand.

The partnership between KakaoBank and SCBX is expected to transform the competitive landscape of the Thai banking sector by promoting innovation and expanding financial services to underserved populations. Within the finance industry, this collaboration will dramatically change the region’s picture by introducing a cutting edge virtual banking solution to meet the ever changing needs of Thai consumers.

This signifies the ever growing acceptance of digital banking modes into the continent of Asia as well as importantly the shift in financial banking and services, making this feel with the users.