KAF Investment Bank’s digital transformation aims to streamline operations, enhance customer experiences, and respond adeptly to massive shifts in the banking environment.

Rafiza Ghazali, the bank’s director of digital banking, said that the bank’s primary goal is to revolutionise Islamic banking with innovative technology. Emphasising the crucial role of a robust partner, she said: “Choosing a strong partner to start small and scale is crucial.”

Leveraging technology to reshape Islamic banking

The bank aligns its strategy with Temenos to modernise banking by delivering advanced, accessible, and secure financial solutions nationwide. This collaboration spans digital lending solutions and the Transact core banking system.

Ghazali said: “Building a new bank from scratch is a significant investment. We chose the solution for its agility, scalability, and alignment with our strategic vision. It allows us to start small and scale rapidly, ensuring a seamless transition into the digital banking landscape.”

During the launch phase, Ghazali stresses the initial focus on basic services with iterative enhancements over time. KAF’s strategy emphasises collaboration and banking-as-a-service partnerships to address the complex needs of customers.

KAF secures digital licence, plans retail bank launch in two years

KAF has secured a digital banking licence from Bank Negara Malaysia, and highlighted the challenge of meeting the central bank’s tight timeline. She explained: “We have been given two years to launch a retail bank. So, if we want to meet that deadline, the best commercial decision is to go with a strong partner.”

This pragmatic approach calls for a focus on functional stability, operational readiness, and security. By embedding banking facilities within consortium partners’ platforms, KAF aims to address customer pain points and enhance the overall financial ecosystem with timely and relevant services.