How UOB’s Wee Ee Cheong masters the long game

SINGAPORE – Mr Wee Ee Cheong, the third-generation UOB chief, recently posed a question to artificial intelligence (AI): What will UOB’s market capitalisation be in 10 years’ time?

The year 2025 marks UOB’s 90th anniversary, and it will reach its centenary in 10 years’ time. AI predicted that relative to its current $57.5 billion market capitalisation, UOB, Singapore’s third-largest bank, will be worth between $90 billion and $100 billion then. Mr Wee’s response to that answer? “Too conservative!”

In a recent exclusive interview with Lianhe Zaobao, he said: “This figure did not factor in South-east Asia’s growth potential or geopolitical risks, but it is a good reference point.”

As at the end of 2024, UOB accounted for about 21 per cent of Singapore-dollar deposits and about 25 per cent of Singapore-dollar loans in the local market. The bank aims to accelerate its business expansion in South-east Asia, targeting to increase the share of revenue from the region’s market to 30 per cent in 2026 while maintaining Singapore’s share of revenue at 50 per cent.

South-east Asia: Economic sweet spot

As companies are forced to relocate amid global economic restructuring and increasing trade barriers, Mr Wee considers South-east Asia as an attractive region and the current sweet spot for growth. He said that UOB, with its established regional presence and networks, is well positioned to ride this wave.

In Malaysia, where UOB is already the largest foreign bank, Mr Wee sees huge growth potential. UOB’s credit card data shows that Malaysia is Singaporeans’ top destination for overseas spending, with 50 per cent being spent in Johor Bahru. “While this is good news for individual consumers, it could mean pressure for Singapore’s retailers, and we need to find a balance,” he said.

Mr Wee pointed out that UOB has seven branches within the Johor-Singapore Special Economic Zone (JS-SEZ) that can help Singapore companies expand across the Causeway to operate in both markets. “This might be the best option for our clients,” he said.

Mr Wee cautioned that if the JS-SEZ develops too rapidly, Singapore’s small and medium-sized enterprises and some retailers may be affected. The process must be orderly and gradual, and “overthinking it serves no purpose”.

He also believes that breakthroughs are needed in Singapore’s economy, which is currently undergoing transformation. “We must capitalise on our advantages, stay flexible and never become complacent, believing we are the best. On the contrary, we need a sense of crisis; otherwise, many things will end up costing us more than they cost others.”

Despite South-east Asia’s promising long-term outlook, UOB’s recent performance has faced headwinds.

In November, UOB reported a 72 per cent year-on-year drop in third-quarter earnings to around $400 million, below market expectations. The bank also announced a pre-emptive additional general provision of some $600 million, a stark contrast to the other two major local banks’ stronger-than-expected earnings.

UOB’s share price has fallen by more than 5 per cent so far in 2025.

This too shall pass

Analysts generally regard the additional provision as the shock of the earnings season. UOB has explained that it has been set aside to address issues in the commercial real estate sector in Greater China and the US, including the quarter-on-quarter 13 per cent increase in non-performing loans in Greater China.

This interview took place just prior to the earnings release. Commenting on business cycles, Mr Wee said: “The storm will pass. We must learn when to hold on and when to let go. There is no need to worry too much.”

He acknowledged that the current market conditions were not ideal, with falling interest rates affecting UOB’s profits. Its exposure to Hong Kong’s property market has also had some impact. Nevertheless, Mr Wee believes that Hong Kong has the support of mainland China’s economy, so overall it is not a major concern.

On UOB’s position, Mr Wee said: “There is no cause for alarm, even with some bad debts, as UOB has strong profitability and sufficient reserves.”

He said that three years ago, UOB acquired Citigroup’s consumer banking businesses in Indonesia, Malaysia, Thailand and Vietnam for $4.9 billion, which strengthened its profitability.

“We have strong profitability. Even if earnings decrease from $100 to $80, that is fine. We keep moving forward,” he said.

Meanwhile, UOB is also developing non-interest income businesses, such as wealth management and private banking businesses, attracting family offices from mainland China, Taiwan, Hong Kong and South-east Asia. The bank aims to increase its non-interest income contribution to 37 per cent of total revenue in 2026.

Regarding this, Mr Wee believes UOB has certain advantages. “You know, we use chopsticks for our meals. Beyond banking infrastructure and systems, this sense of cultural familiarity is very important too,” he said. “If I were running a foreign bank, it would be entirely different, as this sense of familiarity would not be so evident.”

Successors do not appear overnight

With Ms Tan Su Shan succeeding Mr Piyush Gupta as group chief executive of DBS in March, and Ms Helen Wong retiring from the position of group CEO of OCBC at the end of 2025, to be succeeded by deputy CEO Tan Teck Long in January, the market’s attention is naturally drawn to when UOB might refresh its leadership team.

The 72-year-old Wee does not shy away when it comes to succession and the next generation of leadership. When asked, “you must be tired of this question by now”, he replied that he was not, noting that the successor would become clear in the coming years.

But he admitted that “this is not something where you can decide today and have it in place tomorrow”. He believes that the younger management team also needs five to 10 years of development and grooming.

In terms of approach, internal selection is his first choice. According to UOB’s corporate culture, this is considered the most prudent method. “Unless, of course, there is absolutely no one suitable internally. However, if that was the case, then it would be my failure as CEO,” he said.

Mr Wee emphasised that his successor must not be egotistic or individualistic. Instead, “the person must use their influence to lead the team and take responsibility. If the team is willing to follow him, then that is his success”.

In terms of corporate culture, he values steady renewal on a stable foundation, as well as keeping intact UOB’s family-like atmosphere and the employees’ sense of belonging. “Many large companies have longer histories than ours, but their values shift with the renewal of their people. Therefore, stability really matters,” he said.

On the low turnover in UOB’s senior management, he described his management team as a “nice blend”. He elaborated: “Some have worked with us for 20 or 30 years; others joined five or 10 years ago. This balance is our strength. We cannot rely solely on veterans, nor only on the young. Balance is essential.”

When asked whether stability could lead to groupthink, Mr Wee said: “The most important thing is that this cat can catch mice. If it can’t catch mice, then talking about groupthink is meaningless.”

He acknowledged that companies must constantly renew themselves and let employees tackle new challenges. “It is like bonsai, which must be uprooted every few years to trim its roots. It stops growing if the roots are overcrowded. Renewal works in the same way,” he said.

As AI transforms industries, many companies have been uprooted, leaving employees uncertain about the future. “It is not possible to thump your chest and promise that AI will not cause layoffs. Life is not black and white, and the whole world is changing. However, we can first help our employees to prepare. That is our responsibility,” Mr Wee noted.

Perhaps for Mr Wee, who has witnessed Singapore’s banking sector evolve from the “Seven Warring States” (referring to the seven local banks in the 1980s to the early 2000s) to today’s “Big Three”, seeing UOB face yet another new challenge is in itself the best testament.

“This year marks UOB’s 90th anniversary. To have weathered so many storms is something special. I feel very blessed,” he said.

A close-knit family

Mr Wee is wistful when speaking about his late father Wee Cho Yaw.

As UOB’s second-generation leader, Dr Wee helmed the bank for more than five decades before passing away peacefully in February 2024 at the age of 95. Mr Wee is the eldest son. He has an elder sister, Ms Wee Wei Ling, two younger brothers, Mr Wee Ee Chao and Mr Wee Ee Lim, and a younger sister, Ms Wee Wei Chi.

Speaking in Mandarin throughout the interview, Mr Wee reflects quietly on the gap left by his father’s passing. “We worked together for over 40 years. His office was just across from mine and only a few steps away,” he recalled. “For so many years, it was natural for me to consult him even when I was confident in my own decisions. Suddenly, he was no longer there, and I no longer have these opportunities.”

According to past reports, Dr Wee firmly believed that frequent family gatherings build close family ties. When he was alive, the family’s four generations would gather for weekly meals. To foster interactions among family members, he even arranged for his children to live nearby. With their homes separated by only a fence, visits were effortless and frequent.

Mr Wee shares that this longstanding family tradition remains till today. Since his father’s passing, he has often had his 96-year-old mother Chuang Yong Eng visit his home for meals. With age, she has become a little forgetful and still occasionally asks, “Where is your father?”

Mr Wee said that the late Dr Wee was not particularly strict with him and that he was open-minded. As for his own temperament, he said with a laugh: “You will know just by looking at me. I am not that kind of person.”

He described himself as someone who rarely loses his temper and who does not yell at or scold others. Occasionally, he gets impatient because he wants efficiency, but he quickly puts it behind him.

Few people know that Mr Wee has family ties in Shanghai. His wife Chang Kung Ling is Shanghainese and his mother-in-law is from Ningbo. Ms Chang was born in Singapore and educated in the US. They belong to the second or third generation of Singaporeans and still have relatives in Shanghai. When visiting Shanghai with his wife, Mr Wee can even understand some of the local Shanghainese.

Mr Wee travels to UOB China’s headquarters in Shanghai for business two to three times a year, and Ms Chang joins him whenever her schedule allows.

On UOB’s China strategy, he said: “In China, we do not pursue scale and cannot compete with Chinese banks; the focus is on marketing and bringing Chinese clients into South-east Asia.

“We can support South-east Asian clients looking to expand into China, as we are familiar with the markets there. Our strength in China lies in acting as a bridge.”

Grandchildren: My role is to play with them

Although he does not speak much about his family, Mr Wee’s expression softens when the conversation turns to his grandchildren.

He was surprised one day when his grandson, who is still in primary school, asked to see UOB’s annual report and wanted to know “the bank’s net interest income”.

In June, in celebration of its 90th anniversary and Singapore’s 60th year of independence, UOB transformed the 280m-tall UOB Plaza 1 at Raffles Place into a canvas for a dazzling light show projection. Mr Wee and his wife watched the world’s tallest projection show together with their grandson.

But Mr Wee said he does not need to cultivate his grandchildren; his role is to play with them.

He does not want to push his grandchildren to follow his path, believing that telling them, “your grandfather did this, so you must do the same”, would backfire. “If they love to paint, it is next to impossible to force them to become musicians. There’s no need to interfere or push them too much,” he said.

Mr Wee encourages his grandchildren to explore a variety of interests while they are young, rather than focusing too narrowly on one pursuit. After all, some people discover what they truly enjoy only later in life. He drew on his own experience as a former national tennis player: He spent years playing tennis in his youth, but it has since lost its appeal.

“If you focus on just one thing from the start,” he said, “you may later realise you no longer want to do it and want to try something else. Of course, some may stick with it, but trying new things is only natural.”

Nowadays, Mr Wee’s favourite physical activity is pilates. “I’ve been practising it for 20 to 30 years,” he said. “At first, I found it boring, but now I see its value. It’s great for flexibility. As I reach a certain age, I find myself wanting to do things I didn’t care for in my youth.”

Career-wise, he has remained steadfast. Since joining UOB in 1979 and becoming CEO in 2007, leading the bank for 18 years, Mr Wee has accompanied UOB through over half of its history since its founding.

When asked how he managed it, Mr Wee attributed it to a sense of responsibility. “The key is steady progress. Our three generations have weathered many storms, and if young people can inherit this steadiness, it’s enough – just like taking care of a bonsai,” he said. “There is always more to learn, and I have also learnt a great deal from my colleagues.”

Art as nourishment for the soul

Beyond banking, Mr Wee has a deep appreciation for the arts. He said that he has “relatively good taste” in aesthetics, which includes his hobbies such as rearing fish, savouring tea and collecting antiques and watches.

Coincidentally, UOB also has strong ties with the arts. UOB Plaza at Raffles Place features bonsai, paintings, sculptures and other works of art at every corner.

Started in 1982, the annual UOB Painting of the Year (POY) is Singapore’s longest-running art competition. It has expanded regionally to Indonesia, Malaysia, Thailand and Vietnam, uncovering more than 1,000 artists across the region, including nine recipients of the Singapore Cultural Medallion.

Mr Wee said that although he did not start the competition, it has been sustained for more than 40 years and has indirectly influenced him as well. He believes that the value of art should not be measured solely in monetary terms, and that sometimes the innocence in a child’s painting is what is truly moving.

“Being an artist is a very lonely profession. Regardless of the artwork’s excellence, it is meaningless if no one appreciates it. When we display artists’ works in the bank’s lobby, it gives them a sense of achievement,” he said.

Today, UOB owns more than 2,800 works of art, many acquired through the POY competition. The bank also hires specialists to maintain and curate this extensive collection, with about 70 per cent of it displayed and stored in Singapore.

Exhibiting the works also carries another meaning. Mr Wee believes that nourishing the soul through art is important, as such an environment allows employees to calm their minds and focus on their work.

When asked whether he would one day open his own art museum, he said: “No, and there’s no need to. Some things don’t have to be owned.”

This article, translated by Yuen Kum Cheong, was first published on

ThinkChina.sg

, an English-language digital magazine under Lianhe Zaobao.

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