Grab said to eye Singapore banking licence as regulator studies virtual banks in city state
- The Monetary Authority of Singapore has said it is studying the potential for allowing “digital-only banks with non-bank parentage” into its market
Grab, Southeast Asia’s most valuable start-up, is exploring a move into Singapore banking as regulators in the Southeast Asian city state consider allowing online-only banks, four people with knowledge of the process said.
Grab is close to hiring a consultancy to advise it on its banking potential and is gearing up to apply for a digital-only bank licence in Singapore if the banking regulator decides to open up the sector, said the people, who declined to be identified as they were not authorised to speak to the media.
Singapore-headquartered Grab’s interest in what would be its first foray into banking has not been reported before.
Grab declined to comment.
When asked for a response, the Monetary Authority of Singapore (MAS) referred Reuters to its comments issued last month when it said it was studying the potential for allowing “digital-only banks with non-bank parentage” into its market.
Hong Kong, Singapore’s fierce financial centre rival, began issuing licences earlier this year.