Philippines

As part of its pursuit to become a digital bank, Union Bank pioneered ‘selfie banking’ in the country.

Thanks to robust economic growth and low interest rates.

Consumer loan growth will outpace corporate loans.

Banks' large stock of investments in government bonds is one factor.

But analysts say it's not a cause for concern.

Find out how selfie banking invigorated UnionBank’s EON Prepaid Account. When UnionBank thought of a strategy to double the sign-ups for its EON Prepaid Account debit card in the Philippines — notably the social media capital of the world — it leveraged the irresistible urge of people to take self-portraits or better known as selfies. UnionBank went to work, harnessing the latest in biometrics technology, to come up with a selfie banking feature that enables clients take pictures of themselves with their smartphones to log in securely to their online accounts. The bank then re-launched the EON Prepaid Account, an electronic money account, with this cool feature at the forefront along with other snazzy upgrades. The gambit has paid off for the bank, the seventh biggest in the country: Selfie banking has been doubling client sign-ups for UnionBank’s EON Prepaid Account Visa debit card since the re-launch in March. Not only has the feature generated buzz among debit card users, but it has also thrilled existing users by making account management more convenient and adding another security layer. Biometric facial authentication, the security technology on which selfie banking runs, has been praised by security experts to provide stronger protection in age of rising cyberattacks. “With selfie banking, customers can log in to their account by doing what they’ve always loved to do — posing in front of a smartphone and taking a selfie,” says Paolo Eugenio J. Baltao, senior vice president, EON banking group at Union Bank of the Philippines. “By adding face recognition, EON attains the gold standard in security — something you know, something you have, and something you are — a multi-factor authentication process to protect customers from the escalating threats to cybersecurity.” The Ericsson Mobility Report says there were 40 million smartphone users in the Philippines in 2016, and this will more than double to 90 million by 2021, as smartphones become more affordable and mobile telecommunications technology further evolve. This bodes well for mobile banking in the Philippines and UnionBank’s prospects of drawing in more EON Prepaid Account users. Stronger security against cyberattacks Selfie banking was one of the ways UnionBank rebooted its EON Prepaid Account to shield banking clients from cyberattacks. “EON uses state-of-the-art face recognition technology. It is the same technology being used by the US and other countries for border control, immigration, and securing critical infrastructure,” says Baltao.

Customers report losing money in their accounts.

The bank's credit cost is expected to be 41bps in FY17.

ANZ announced the appointment of Anna Green as CEO Philippines, reporting to David Green, CEO Singapore and Head of South East Asia, India and Middle East. Ms Green, who joined ANZ in 2004, is currently CEO for ANZ Laos. Prior to this she has held senior risk and regulatory roles with ANZ across the region, and also practiced international banking and finance law in Sydney and London. David Green said: “We have a strong franchise in the Philippines where local corporate and financial institutions are increasingly looking for business opportunities across ANZ’s network in Australia, New Zealand and Asia. “Anna’s country leadership experience and strong connections across the ASEAN region make her the ideal candidate to lead the team here. Her skills and experience will be extremely valuable in driving our business in the Philippines,” said Mr Green. Subject to regulatory approval, Ms Green will commence in the role on 1 August 2017. 

Interest income on loans also increased 22.7%.

Thanks to strong economic growth in the country.

And check out other pertinent issues the Philippine healthcare industry faces.

Find out what bankers have to say about fintech disruption, online banking, and digital KYC.

Key executives from the country's major banks graced the event.

He always tells clients to "think broadly, look far".

Find out more about Sujatha Venkatramanan and Burak Alper.