Future-proofing Fraud Prevention in Digital Channels
APAC FI Study
Download the market research to find out how financial institutions in APAC are creating longevity in insulating their digital products and channels against emerging and existing financial crimes
52%
of APAC FIs budgeted for a digital fraud management platform in 2020-21
90%
of FIs in APAC would offer e-wallet by 2020-21
32%
more FIs are looking at engaging the Unbanked segment
APAC FIs to spend USD83.3 million on average on new fraud prevention technology
GBG’s report titled "Future-proofing Fraud Prevention in Digital Channels: APAC FI Study", which analyses the impact of fraud on financial institutions (FIs) across six countries and the technologies they are planning to invest in to mitigate today's fraud threats and scale to address emerging fraud patterns.
The research unveils trends and priorities of APAC FIs in the digital age, key fraud and risk management challenges in digitalisation, and technology investment plans to enable fraud insulated digital products and channels. The report analysed a survey of 324 respondents from financial institutions in Australia, China, Indonesia, Malaysia, Thailand and Vietnam, conducted by The Asian Banker.
Findings
Instant gratification for finance & banking products (e.g. instant bank account application, instant loan, and instant credit card application) is seeing greater demand and rollout by financial institutions in APAC
Device integrated financial products like e-wallet are becoming hygiene offerings for financial institutions keen in expanding to digital channels
The unbanked segment has pivoted to be a mainstream focus as fraud technology advances
End to end fraud management platform readiness is a key differentiation to driving digital product preference for 66% of APAC financial institutions. Vertical silos are still seen in 43% of APAC financial institutions, and most prevalent in digital banks.
Social engineering crimes in particular to scams continue to be the top challenge in 2020-21
Upgrading to fraud management platform solutions is a work in progress for 57% of the respondents
Budgeted investment in digital fraud management platforms by at least 52% of respondents, and are a key priority in 2020-21
Thailand, China, and Indonesia have estimated fraud prevention budgets higher than the APAC average budget baseline