RHB looks to expand Asean footprint

KUALA LUMPUR: RHB Bank Bhd hopes to operate in all Asean countries within the next 24 months in a bid to expand its regional footprint.

"It is much easier to name the countries we have not landed in as opposed to the ones we already had," RHB Capital Bhd group managing director Kellee Kam said after RHB Bank's partnership renewal with Tesco Stores (Malaysia) Sdn Bhd, here, yesterday

Kam said the bank has applied for licences in the Philippines and Myanmar.

"We are also looking at expanding our reach across China as now we only have our investment and stockbroking branches operational in Hong Kong," he said, while expressing hopes that this will take place in the next 24 months, pending regulatory red tapes and approvals.

On the banking business, he said RHB Bank is targeting 12 per cent growth for 2014.

"We are looking at 12 per cent growth in the banking sector, which is over the projected nine to 10 per cent growth of the domestic banking sector due to stable capital and ample liquidity," said Kam.

RHB Bank and Tesco are aiming for 100,000 cardmembers for new Tesco-RHB debit and credit cards within 12 months, on the back of 1.5 million existing Tesco club card members.

The new partnership is operating on a one-on-one duration from its previous five-year parnership that saw 300,000 of take-up.

"The 100,000 take-up target for the cards is a conservative target because of our existing clientele and the enhanced benefits of the cards," said Tesco Malaysia chief executive officer Georg Fischer.

"The potential for these cards are immense as it offers 3x points and five per cent cash-back returns," he said.

Tesco Malaysia currently holds 11 per cent of the counter market share, while RHB Bank has a total of 2.3 million credit and debit cards incirculation, which translates into eight per cent of credit card market share.

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