OCBC to invest $260 million to grow tech capabilities, office space in Greater China

OCBC to invest $260 million to grow tech capabilities, office space in Greater China

HONG KONG – OCBC Bank is ramping up its investments in Greater China as it caters to businesses that are rapidly growing their footprint in South-east Asia.

Singapore’s second-largest bank will pump in HK$1.5 billion (S$260 million) to shore up its tech platforms and grow its office space over the next three years. It will also hire 300 software engineers in Greater China in the same time.

Group chief executive Helen Wong said at a media briefing in Hong Kong that the bank hopes to seize opportunities from companies such as big manufacturers, as well as e-commerce, e-sports and fintech firms that are increasingly looking to South-east Asia.

Her bank, which counts Singapore, Malaysia, Indonesia and Greater China as its key markets, saw a 45 per cent surge from 2022 to 2023 in the number of Greater China companies it serves in Asean.

China still presents vast opportunities despite the challenges it is facing, said Ms Wong. The world’s second-biggest economy is dealing with uneven economic recovery amid a deep property slump and slowing consumer spending.

China grew by a better-than-expected 5.3 per cent in the first quarter, and the country is setting its sights on 5 per cent growth for the whole of 2024.

Ms Wong told reporters at Regent Hong Kong on May 29: “That’s an impressive volume of money… If China grows faster, the whole of Asia benefits.”

A key part of growing the business further involves shoring up the bank’s tech capabilities in Greater China, or mainland China, Hong Kong and Macau.

Earlier in May, the bank launched a digital solution that allows its small and medium-sized enterprise (SME) customers in Hong Kong to set up an account in as quickly as one working day, without having to visit a branch – a process that usually takes up to two weeks.

It has also made progress in other areas, such as standardising half of its systems and extending its enterprise data platform and fraud management system to Hong Kong.

OCBC is investing HK$1 billion (S$173 million) to further modernise its technology platform in Hong Kong, with a target to standardise 90 per cent of its systems within three years, in areas such as trade finance, cards and regulatory reporting.

It will also use HK$500 million (S$86 million) to set up a new office in Kowloon, which will be its third in Hong Kong in addition to two on Hong Kong Island.

Wealth management is another area where OCBC is eyeing further growth, as more companies from Greater China set up shop in South-east Asia.

Ms Wong said: “Some bring along their family wealth and have already established themselves in Hong Kong, and are picking Singapore as a further development opportunity.”

The bank aims to grow its assets under management by 50 per cent by 2026.

Its plans are part of a broader goal, announced in 2023, to deliver $3 billion in incremental revenue by 2025, on top of its current growth trajectory. It said in May that it has made progress to the tune of $500 million.

OTHER NEWS

37 minutes ago

Reece Gold Flies Off Track After Contact in Indy NXT Race

37 minutes ago

Forrest’s Indigenous foes call for inquiry into Fortescue mining

37 minutes ago

Goldie Hawn thinks it would be 'so fun and crazy' to star with her family on screen

37 minutes ago

Proteas drop easy World Cup catch

37 minutes ago

Energy prices will fall when Australia ‘increases supply’

37 minutes ago

Dries Van Noten Showed Furry Sandals, Flip-Flops and More Standout Men's Shoe Styles at Final Show in Paris

37 minutes ago

Guzman y Gomez ASX pop won’t stop super funds from looking offshore

37 minutes ago

Ex-Liberal minister to lead Climate Change Authority

37 minutes ago

Grounded flights rearranged after airport chaos

37 minutes ago

Cathie Wood says she’ll vote for Trump because he would ‘do the best job for our economy’

37 minutes ago

Labor makes ‘juvenile memes’ about Coalition’s nuclear policy

37 minutes ago

Washington Post’s editor drama only exposes it’s lack of ‘ethics’ after debasing Trump for years

37 minutes ago

Canada Basketball announces star-studded training camp roster for Olympics

37 minutes ago

Teams The Kraken Must Compete With In The Trade Market This Offseason

37 minutes ago

Check out 'The Bikeriders' Custom Leather Jacket Designed by Schott NYC

39 minutes ago

Final tests as launch nears for major under-city metro

41 minutes ago

Tommy Paul's influencer girlfriend Paige Lorenze slammed over 'cringe' antics after American tennis star's win at Queen's: 'Like she won the trophy'

41 minutes ago

Shock new development in case of man from one of the AFL's most famous families after he was charged with rape

41 minutes ago

Video: Scotland fans rage as they crash out of Euro 2024 branding their performance against Hungary a 'f***ing joke', as one supporter claims he 'spent f***ing TEN GRAND to go to Germany' to watch his side have one shot on target

41 minutes ago

Video: Horrifying moment panicked sunbathers run from debris field of Ukrainian missiles after it exploded over a Crimea beach

45 minutes ago

Scotland boss Steve Clarke claims nationality of Euro 2024 referee behind penalty refusal

45 minutes ago

We gave up city life and moved to Bali. It was a lot more challenging than we expected.

45 minutes ago

Walmart Just Announced a Big Change in Pricing, and Employees Will Be More Productive

45 minutes ago

Hungary snatches 1-0 win over Scotland to leave it with chance of making last 16 at Euro 2024

45 minutes ago

Aileen Cannon Halts Stephen Miller's Request

45 minutes ago

Labor energy policy will cost ‘$1.5 trillion’: Liberal Senator

45 minutes ago

Travis Kelce joins Taylor Swift on stage in surprise Eras Tour performance

45 minutes ago

After Damar Hamlin snub, NFL Comeback Player of Year qualifications clarified by AP

45 minutes ago

An investigation by Australia’s anti-doping watchdog found the AFL didn’t breach the WADA code

46 minutes ago

Lyles advances to 100m final at US Olympic trials

46 minutes ago

IReit Global loses main tenant of Berlin Campus

47 minutes ago

US military leader warns Israel of military offensive in Lebanon, saying it could trigger broader war

49 minutes ago

Anti-Israel vandals target Congressman Gregory Meeks’ Queens home

50 minutes ago

Glasnow strikes out 10, Ohtani homers against his old team in Dodgers’ win over Angels

50 minutes ago

Potential Boston Bruins Free Agent Target: Tyler Bertuzzi

50 minutes ago

Strange, Raiders show some fight

50 minutes ago

Sharks acquire Afanasyev from Predators for Wiesblatt

51 minutes ago

'Top Gun!' Cruise Hangs With Kelce at Taylor Swift Concert in London

51 minutes ago

“Inside Out 2 ”surpasses “Dune: Part Two” as the highest-grossing film of 2024 with over $724 million worldwide

51 minutes ago

Pulisic shines as USA sink Bolivia in Copa America