trending Market Intelligence /marketintelligence/en/news-insights/trending/6KWkU94pG6JsvBExl9voQQ2 content esgSubNav
In This List

Australia, Canada ink fintech deal; Far Eastern International Bank fined

Podcast

Street Talk Episode 87

Blog

A New Dawn for European Bank M&A Top 5 Trends

Blog

Insight Weekly: US banks' loan growth; record share buybacks; utility M&A outlook

Blog

Banking Essentials Newsletter 2021: December Edition


Australia, Canada ink fintech deal; Far Eastern International Bank fined

GREATER CHINA

* The China Banking Regulatory Commission approved Industrial & Commercial Bank of China Ltd., Agricultural Bank of China Ltd., Bank of China Ltd. and China Construction Bank Corp. to set up branches in Xiong'an New Area in Hebei province, Caijing reported. The process of establishing the branches is expected to be completed in six months.

* Three of China's four major insurance companies — Ping An Insurance (Group) Co. of China Ltd., China Pacific Insurance (Group) Co. Ltd. and China Life Insurance (Group) Co. — reported year-over-year increases of insurance premium income in the 11 months ended November at 29.73%, 20.38% and 18.77%, respectively, while New China Life Insurance Co. Ltd. registered a yearly decline of 3.45%, the Securities Times reported.

* Taiwan's Financial Supervisory Commission said the island's life insurers had NT$1.55 trillion invested in Taiwan's stock market at the end of October, up from NT$930.7 billion invested at the end of 2016, Central News Agency reported. Life insurers' investment totaled NT$623.2 billion in the ten months ended October, marking the highest such level compared to prior-year periods.

* The FSC imposed a penalty of NT$8 million on Far Eastern International Bank Ltd. due to deficiencies related to a hacking incident targeted at its SWIFT system, Central News Agency reported. Hackers transferred US$60.1 million from the bank between Oct. 3 and Oct. 5, with the eventual loss totaling up to US$160,000.

JAPAN AND KOREA

* Collaboration among Japan's securities companies and regional banks is increasing, The Nikkei reported. Tokai Tokyo Financial Holdings Inc. is partnering with six regional banks through the establishment of co-parent companies with total assets under management reaching ?1.45 trillion as of the end of September. Aizawa Securities Co. Ltd. and Dai-Ichi Kangyo Credit Cooperative recently formed the first-ever comprehensive agreement between a securities company and a regional bank.

* Japan's Financial Services Agency will review a post-merger integration of recent large-scale overseas M&A by life and general insurers, including Dai-ichi Life Insurance Co. Ltd. and Tokio Marine Holdings Inc., The Nikkei reported.

* Development Bank of Japan, together with Frontier Management, a "corporate revitalization" consultant, formed a fund with an initial capital of ¥5 billion to support local small and medium-sized companies, The Nikkei reported.

* Hyundai Life Insurance Co. Ltd. is expected to receive 300 billion South Korean won worth of capital from major shareholders including Hyundai Mobis, Hyundai Commercial and Taiwan's Fubon Life Insurance Co. Ltd., the Korea Economic Daily reported.

ASEAN

* Siam Commercial Bank PCL said it was not charging fees for its QR code-based payment services despite instances of transactions exceeding 5,000 baht, Post Today reported. The lender is looking to increase the number of merchants accepting such payments via QR codes to 700,000 in 2018.

* Porametee Vimolsiri, secretary-general of Thailand's National Economic and Social Development Board, cited a study by the World Bank Group, which says Thailand and Malaysia have begun to "escape from poverty" and are progressing toward prosperity, Manager Daily reported. He said the Thai government has been attempting to eliminate poverty for 20 years, with the number of people living below the poverty line decreasing to 7 million from 11 million during the period.

* The profitability ratio of the Indonesian banking industry may likely decrease due to a lower net interest margin and more competition from financial technology companies, Bisnis Indonesia reported, citing Halim Alamsyah, chairman of the Deposit Insurance Agency.

* Rizal Commercial Banking Corp. said it was being made a scapegoat in an US$81 million cyberheist and accused Bangladesh's monetary authority of downplaying its own negligence, Reuters reported. Earlier, Bangladesh Bank was reportedly planning to file charges against the Manila-based lender.

SOUTH ASIA

* Securities and Exchange Board of India Chairman Ajay Tyagi said the regulator is investigating seemingly prescient messages sent by "market insiders" on WhatsApp containing accurate company results that have not been disclosed to the public, Reuters reported.

* Syndicate Bank Ltd. said its board approved a qualified institutional placement of its shares with a floor price of 88.57 Indian rupees per share. The lender will raise up to 12 billion rupees from the QIP, Reuters reported, citing sources with direct knowledge of the matter.

* The All India Bank Employees Association said it may stage protests if the government passes the Financial Resolution and Deposit Insurance bill, calling it wrongly timed and "unwarranted," The Hindu Business Line reported. The group claims the bill could result in deposits being used for "bailing-in" failing banks.

* Canara Bank said its board approved raising 18 billion Indian rupees through Additional Tier 1 bonds in one or more tranches to ensure a healthy capital-to-risk-weighted-assets ratio. The bonds will be issued domestically.

AUSTRALIA AND NEW ZEALAND

* The Australian Securities & Investments Commission said it signed a fintech cooperation agreement with Canadian regulators to expand its existing information-sharing framework.

* Australia & New Zealand Banking Group Ltd. CEO Shayne Elliott said the company will have slightly lower earnings in the future due to the sale of "peripheral" wealth units following a deal to sell its life insurance unit, The Australian Financial Review reported. The lender hopes to maintain its dividend and may launch a share buyback program if conditions are conducive once the transaction completes.

* Online retailer Kogan.com inked a three year deal with Medibank Pvt. Ltd. to offer health insurance products under the Kogan Health brand. The insurance underwriting will be provided by Medibank Group while branding, marketing and customer acquisition will be carried out by Kogan.

IN OTHER PARTS OF THE WORLD

Middle East & Africa: Iran vows to prop up banks; Fitch downgrades Oman

Europe: Zurich buying ANZ's life insurance biz; Spain sells 7% stake in Bankia

Latin America: Proposed bankruptcy law to give Brazil banks more power; S&P cuts Colombia

North America: TriCo Bancshares to buy FNB Bancorp for $315.3M; Clayton urges caution on ICOs

North America Insurance: House GOP urges individual mandate repeal in tax bill; Enstar may buy Novae book

R Sio, Sally Wang, Sarun Saelee, Cathy Hwang, Emi White and Aditya Suharmoko contributed to this report.

The Daily Dose has an editorial deadline of 6:30 a.m. Hong Kong time. Some external links may require a subscription.