A Hong Kong birthing station for budding fintech firms is moving to Malaysia. The key Asian market and center of Islamic finance is seen as fertile ground.
«SuperCharger,» a Hong Kong-based incubator backed by British bank Standard Chartered, said on Friday it will expand to Kuala Lumpur.
Partnering with insurer Allianz Malaysia and the Malaysian government, the move reflects SuperCharger's success in fostering fintech in Hong Kong, and its desire to expand to a key Southeast Asian market.
Two Fintechs Advance
A program launched in 2015 has brought two firms into a proof-of-concept phase: robo-adviser Bambu and KYC Chain, a regtech start-up which uses distributed ledger technology.
SuperCharger is soliciting applications to foster fintech companies in Kuala Lumpur in wealthtech, insurtech, payments and alternative lending, and techfin, including artificial intelligence, distributed ledger and cloud-based applications.
Firms accepted are granted a free 12-week fostering by SuperCharger. The program will accept applications until August 18 and run from September 25 through December.
Malaysian Sandbox
«Malaysia is a key market for us and has established itself as a global centre for Islamic finance,» Standard Chartered data, technology and innovation head Shameek Kundu said in a statement.
Sixteen firms have undergone the rigors of SuperCharger. In Malaysia the central bank has admitted start-up firms into a so-called sandbox, or regulatory light-touch regime where firms can experiment without applying for a full license.
Islamic Finance Surge
Malaysia has also seen a surge in Islamic finance in recent years, and it is home to a university specifically dedicated to the discipline.
«Many [financial institutions] are still lagging behind and they need to change and embrace disruption,» said Malaysian government official Dato’ Ng Wan Peng.
«We are confident that our partnership with Standard Chartered and Allianz Malaysia will drive the country’s transition towards a digital economy.»
