Research, analysis and opinions from Wendy Weng
Is consumer finance becoming a larger part of retail banking?
The contribution of consumer finance to the overall retail loans in Asia Pacific in 2015 ranged from 2% to 56%. Its share to retail loans has increased in markets like Indonesia but has declined in Hong Kong and Thailand. The growth of consumer finance per country also varied, slowing down in Taiwan and growing faster in the Philippines.
Chinese banks continue strong growth amid concerns over NPL
China accounted for 44% of total assets of top 500 banks in APAC, however growing bad debt poses potential risk to banking sector.
Asia Pacific bank M&A transactions totalled $13.9b in 2013
Domestic deals dominated bank merger and acquisition activity in the region in 2013, while intra-regional and inter-regional deals also saw a significant increase.
“No technology is going to replace the inquisitiveness of the regulator”
Mike Bodson, CEO at DTCC, discussing new threats facing the financial system at Sibos 2013, feels that while the global financial community is in a safer environment today, it can ill afford complacency.
Hang Seng Bank tops AB500 rankings; AP banks generally well capitalised
Asian banking industry’s aggregate strength declined in 2013, as performance in key parameters such as profitability growth, liquidity and asset quality moderated.