CIMB is one of the first banks to leverage blockchain technology to tap into region’s USD120 billion remittance business
SAN FRANCISCO–(BUSINESS WIRE)–Nov. 15, 2018
CIMB Group (“CIMB” or “the Group”) and Ripple have entered into a strategic collaboration to enable instant cross border payments across its various markets. On the back of this partnership, CIMB will join Ripple’s network (“RippleNet”), which will facilitate access to other RippleNet members and allow CIMB to grow its cross border payments business.
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Ripple's CEO Brad Garlinghouse and CIMB Group's CEO Tengku Dato’ Sri Zafrul Aziz celebrate their partnership. (Photo: Business Wire)
Ripple’s blockchain-based solution has been deployed to enhance Speedsend, CIMB’s proprietary remittance product. This will expand CIMB’s Speedsend network and open new payment corridors to improve consumer access to cross-border remittances, both inbound into ASEAN and outbound to other countries. The solution is now live on Speedsend, enabling remittances via corridors such as Australia (in partnership with InstaReM, also a member of RippleNet), USA, UK and Hong Kong.
“We are delighted to be part of RippleNet and look forward to a fruitful partnership with Ripple by leveraging each other’s strengths and capabilities. This innovative blockchain solution will revolutionise international cross-border remittances, and is a testament to CIMB’s ongoing efforts to enhance its digital banking proposition by providing speedy and cost-efficient solutions to our customers across ASEAN,” said Tengku Dato’ Sri Zafrul Aziz, CEO, CIMB Group.
As part of the overall partnership roadmap, CIMB intends to extend the solution to other use cases across the Group. There is a growing demand for cross border payment solutions, with the World Bank projecting that remittances to Southeast Asia will grow to USD120 billion by the end of 2018.
“We’re seeing banks and financial institutions from across the world lean into blockchain solutions because it enables a more transparent, quicker and lower cost payments experience,” said Brad Garlinghouse, Ripple CEO. “CIMB’s network already spans 15 countries, nearly 800 branches and offers Speedsend – one of the best solutions in the ASEAN region. Now, by integrating Ripple’s blockchain technology, they will enable their customers to send vital funds to family, friends and loved ones more efficiently. With its focus on innovation, CIMB will continue to be a dominant force in the region for years to come.”
Ripple provides one frictionless experience to send money globally using the power of blockchain. By joining Ripple’s growing, global network, financial institutions can process their customers’ payments anywhere in the world instantly, reliably and cost-effectively. Banks and payment providers can use the digital asset, XRP, to further reduce their costs and access new markets. With offices in San Francisco, New York, London, Luxembourg, Mumbai, Singapore and Sydney, Ripple has more than 100 customers around the world.
About CIMB Group
CIMB Group is one of ASEAN’s leading universal banking groups and is Malaysia’s second largest financial services provider, by assets. It offers consumer banking, commercial banking, investment banking, Islamic banking and asset management products and services. Headquartered in Kuala Lumpur, the Group is now present in 9 out of 10 ASEAN nations (Malaysia, Indonesia, Singapore, Thailand, Cambodia, Brunei, Vietnam, Myanmar and Laos). Beyond ASEAN, the Group has market presence in China, Hong Kong, India, Sri Lanka, Korea, the US and UK.
CIMB Group has the most extensive retail branch network in ASEAN of around 800 branches as at 30 September 2018. CIMB Group’s investment banking arm is also one of the largest Asia Pacific-based investment banks, offering amongst the most comprehensive research coverage around 700 stocks in the region.
CIMB Group operates its business through three main brand entities, CIMB Bank, CIMB Investment Bank and CIMB Islamic. CIMB Group is also the 92.5% shareholder of Bank CIMB Niaga in Indonesia, and 94.1% shareholder of CIMB Thai in Thailand.
CIMB Group is listed on Bursa Malaysia via CIMB Group Holdings Berhad. It had a market capitalisation of approximately RM 56.3 billion as of 30 September 2018. The Group has around 36,000 employees located in 15 countries.
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