Malayan Banking Berhad (Maybank) has announced on Thursday announced a strategic collaboration with Chinese lender Bank of Hangzhou to enhance cross border financing and advancing artificial intelligence (AI), Digital innovation.
Maybank said in a statement that the duo have taken a significant step in strengthening their financial ties through the signing of a memorandum of Uuderstanding (MOU) aimed at enhancing customer services and supporting cross-border business initiatives.
This collaboration coincides with the upcoming 50th anniversary of diplomatic relations between China and Malaysia, highlighting the commitment of both institutions to fostering closer economic ties.
The collaboration was formalized following the recent signing of a Letter of Intent (LOI) by Kuala Lumpur City Hall (DBKL) with the Hangzhou Municipal People’s Government for the “Smartup City Connect” initiative.
This partnership represents a commitment to fostering economic growth and technological innovation in the region.
According to the statement, the collaboration will focus on enhancing cross-border business and advancing digital innovation.
This partnership aims to facilitate services such as cross-border financing, interbank cooperation within China, and the clearing of Southeast Asian currencies, while also connecting Chinese enterprises to a broader business ecosystem in the region.
Additionally, both banks will explore opportunities in digital banking, including data governance, analytics, and Fintech product innovation, fostering joint product development, knowledge sharing, and talent development initiatives to enrich customer offerings in both markets.
Yu Liming, President of Bank of Hangzhou, said the strategic partnership highlighting the strong ties between the two nations and their commitment to the “Belt and Road” Initiative.
“This collaboration aligns with the Global Digital Trade Conference’s goals of fostering international cooperation and enhancing global digital trade,
“We look forward to impactful outcomes that will advance economic and trade relations between our countries,” Yu added.
Khairussaleh Ramli, President and Group Chief Executive Officer of Maybank, said this collaboration would create a lot of opportunities to both banks by leveraging their strengths of extensive footprint and experience in ASEAN.
“We aim to provide comprehensive financial services as one stop centre to support the Chinese enterprises expanding into Southeast Asia,” he added.
Dr. Siew Chan Cheong, Group Chief Strategy and Transformation Officer of Maybank, stated this partnership will expand their financial products and services for their customers while driving economic growth in the region.
“Together, we will be involved in co-development of AI and digital offerings to facilitate the ‘going global and bringing in’ of businesses from both countries,” he added.
According to the statement, this strategic cooperation not only signifies the establishment of a more stable and closer partnership between Maybank and Bank of Hangzhou but also represents an important milestone in their joint efforts to support the “Belt and Road” Initiative and empower high-level openness through capital collaboration.
It will further promote friendly relations between Hangzhou and Kuala Lumpur, as well as strengthen the broader China-Malaysia relationship, it said.
Bank of Hangzhou, established on the shores of West Lake, is a leading commercial bank in Zhejiang Province with 28 years of growth.
It boasts over RMB 2 trillion ($284 billion) in assets and operates more than 200 branches across key economic hubs in China, covering developed regions such as the Yangtze River Delta, the Pearl River Delta, and the Bohai Economic Rim.
The bank aims to support Chinese enterprises seeking to expand into Southeast Asia, particularly in Malaysia and Indonesia.
Maybank is Malaysia’s largest banking group by market capitalization and total assets, with key operating in Malaysia, Singapore, and Indonesia.