Digital banks should not compete on rates but focus on products, customer base: Expert

SINGAPORE - Digital banks here should avoid engaging in a battle to win customers by offering them interest rates that are beyond what they can afford in the long term, said Mr Simon Loong, founder and chief executive of Hong Kong digital bank WeLab Digital.

Instead, the banking industry's newest players must select their customer base carefully and offer products that differentiate them from traditional banks. This will help ensure long-term profitability, said Mr Loong, who spoke to The Straits Times during the Forbes Global CEO Conference at The Ritz-Carlton, Millenia Singapore on Sept 26.