The Global wallet uses HSBC’s global payment network and it is fully integrated with the bank’s existing business banking platform, thereby letting its customers pay like local. In a press release, HSBC USA said that their new multicurrency wallet is a groundbreaking move that launched in the US, UK, and Singapore. It covers a wide range of currencies like Euros, U.K. Pounds, and Malaysian ringgit, along with Hong Kong, Canadian, Singapore, and Australian dollars.

Drew Douglas, HSBC’s head of liquidity and cash management, US and Canada told the media, “We are excited that the US is one of the first markets in which we are launching HSBC Global Wallet. As we continue to focus on making international business easier and more efficient, this innovative solution will allow our commercial U.S. clients to more effectively manage their foreign currency balances locally and to pay internationally like a local.”

HSBC said that their digital wallet is primarily targeted at small to medium-sized businesses with an international supply chain. HSBC’s digital wallet launch comes at a time when mobile wallets or tap-and-pay plastic cards are taking over cash payments. According to a recent study, the cash flow transactions only account for 20 percent of in-store payments worldwide and it also recorded a 32 percent drop since 2019.

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An international study on senior professionals from banks, lenders, retailers and personal finance management tools found that open banking technology might be important to their businesses in the post-pandemic recovery. The study was published by a leading open banking provider Yolt Technology Services. 

Leon Muis, Chief Business Officer at Yolt Technology Services, said in a report, “Many businesses already understand the potential of open banking and use it to great effect, yet a significant portion still hold misconceptions about the technology, with many unclear on the requirement for customer consent. It is this knowledge gap that is the biggest barrier to truly widespread adoption. Advocates of open technology must highlight that regulation aims to provide consumers and businesses with more control over their financial information, not less, while demonstrating the value it can bring to everyone involved in the transaction process.”

The research showed that 48 percent of respondents believe Covid-19 has not disrupted their open banking adoption plans while 12 percent of them are inclined to adopt the technology due to the pandemic.

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The bank has reportedly signed a deal with Amazon Web Services for its cloud requirements and 10x Future Technologies for its digital infrastructure. In recent years, the number of digital banks in the country have significantly increased. With that, JP Morgan’s proposed challenger bank will face significant competition from new and existing digital banks in the country. 

Previously, Goldman Sachs had launched Marcus in the UK and now comprises more than 500,000 customers. In June, it closed its saving account for new customers after a surge in deposits during the coronavirus pandemic, media reports said. 

More recently, JP Morgan set aside $10.5 billion of reserves to cover an increase of loan defaults as a result of the pandemic. The bank reported a 51 percent drop in profit for the second quarter. The bank is coping with the protracted coronavirus pandemic in the best way possible. It is one of the big four US lenders. 

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Monzon reported an annual post-tax loss of £113.8 million, which is up from £47.1 million it lost last year owing to investments in US expansion, hiring and marketing. The loss was reported despite the neobank’s revenue more than tripling to £67.2 million from £19.7 million.

Monzo said in its report, “Our revenue streams have been significantly impacted by the COVID-19 pandemic and resulting macro-economic uncertainty. Regulatory reviews will also lead to stricter financial crime requirements. This may result in lower forecasted customer numbers and revenues, along with increased costs associated with correcting areas of concern. This increases the risk that the Group will not be able to execute its business plan, which could adversely impact its ability to generate a profit or raise sufficient capital to meet future regulatory capital requirements.”

The pandemic has had a significant impact on the banking sector at large. Last month, Monzo said that it might lay off 120 employees to cope with the crisis. The bank is now trying to avoid further redundancies,  media reports said. Its revenue streams have been drastically impacted by the pandemic.

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It is reported that deposits worth $5.1 billion flooded the account, with Marcus now holding an approximate total of $27 billion. Since 2018, more than 50,000 customers have opened an account with the high-yield savings accounts.

Goldman Sachs had had to effectively halt new deposits to avoid reaching $31.8 billion threshold — a circumstance under which the Bank of England would consider the money to be held in a ringfenced separate financial institution, media reports said. With that, Marcus would become a new legal entity having its own board and the money will be kept separate from the bank’s investment arm.

Sarah Coles, a personal finance analyst at Hargreaves Lansdown, told the media, “The savings market has been engulfed by waves of cuts over the past few months and Marcus’s easy access account has been washed ashore. These waves are self-perpetuating. The most competitive account attracts too much money, so the bank cuts back. This puts a new account in the frame, which attracts more money and then makes a cut, and so it continues.

It is reported that Marcus’ interest rate is low from 1.5 percent during its launch in 2018.

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It is true that both organisations have demonstrated sustainability commitment over the last few years, however. Their financing roles in fossil fuel companies have been quite prominent. In light of the current circumstances, Barclays has pledged net-zero climate policy by 2050 including operations and investments and HSBC is committed to provide $100 billion in sustainable financing by 2025.

In fact, the Bank of England thinks climate change is a liability because it could impact the UK economy in so many ways. However, developing strategic responses to the anticipated financial risks that stem from climate change can help British banks and financial services organisations to maintain monetary and financial stability in the coming years.

Last year it was reported that the Bank of England might force British banks and insurers to discuss how vulnerable they are to the climate change crisis and how they might respond to the effects of rise in temperature up to 4 degree celsius under its first climate stress test.

British banks including HSBC, Barclays, Standard Chartered, Royal Bank of Scotland, Santander UK, Lloyds and Nationwide will be subject to the test which is expected to be released in 2021.

In theory, the test will take into account three possible scenarios: early policy action, late policy action and failed attempts to address climate emergency resulting in rise in temperature. The first scenario is focused on transitioning to a carbon-neutral economy while the second scenario is where the country might achieve global climate targets but the transition will be delayed by 10 years. The final scenario will arise when stakeholders do not change their behaviour and government policies fail to address the climate change issue.

The risk of climate change is already affecting the financial companies in the country. It appears that British banks are extremely vulnerable on the back of having established their presence in certain regions like Southeast Asia which is highly exposed to climate change. According to a joint study published by University of California, Berkeley and Stanford University, unmitigated global warming could result in a loss of 23 percent in per capita earning globally by the end of the century.

If there is a bright side to all of this, it is that the fossil fuel industry is slowly deteriorating. This is not only because of the recent revolts against fossil fuel financiers which has now pronounced the effects of climate change, but fossil fuel companies are also sensing that investors want to put their money into renewables.

The situation looks much the same around the world. So it is not too late to start asking what the UK financial industry can do to fight against the overwhelming climate change. And one answer states the obvious that all industry stakeholders should become more responsible in their acts. It turns out that the UK is actively working to further cement its position as a global climate leader. Last year, the UK government announced the Green Finance Strategy—a landmark move aimed to increase investments in sustainable projects and infrastructure. In a nutshell, the Green Finance Strategy is an addition to the country’s efforts to tackle climate change. That said, it is also the first country in the G7 to pass net zero emissions law last year.

Against this background, Ian Bradbury, CTO for financial services at Fujitsu UK, in a interview with International Finance, further explains how the UK is beginning to promote a culture of green finance—in addition to the short and long-term implications of climate change for banks and financial services organisations in the country.

Q. How are British banks and financial services responding to purpose-led financing in the country?
There is a growing shift across the financial services industry towards purpose-led business. Financial services organisations need to build a brand that goes beyond simply providing and protecting assets. This is especially important in a digital world where there is more choice, greater competition and less customer lock-in. The organisations that will thrive in this new environment are those that recognise what is important and valuable to their collective customers and society as a whole; perhaps even strengthening those opinions over time through clear statements and ‘doing the right thing’. Right now, climate change is a high priority for many customers, with its visible impacts now occurring and deniability becoming less plausible.”

Q. The unprecedented rise in fear about climate change is slowly marking a shift in financing. What is the approach taken by the UK financial industry to fight this issue?
As financial services businesses begin to move toward being more purpose-led, helping to combat climate change is becoming a major opportunity to improve brand value and generate customer loyalty. Sustainable and ethical investment funds have been around for many years as niche portfolio holdings but they are now seen as mainstream funds, generating high returns and good investor interest. The way that businesses operate is also under more scrutiny than ever, with sustainability metrics beginning to be viewed as a critical measure of business performance and future success for all stakeholders.

Q. What is the role played by climate activist groups in promoting a culture of financing in renewable portfolios?
Climate activist groups are no longer seen as ‘fringe’—they increasingly represent mainstream public opinion, with more visibility of the potential impact of climate change and, subsequently, a better idea about the need for change in society. These groups are also benefiting from new technologies that allow them to quickly develop ideas, grow in size and take visible action, which is having a far greater impact on societal views than ever before. ‘Naming and shaming’ about poor attitudes to climate change is just part of this—in the digital age financial services organisations should be more aware of how their businesses can be impacted by changing public perceptions.

Q. British banks like RBS are increasing restrictions in line with climate action policies. How should the UK government and financial regulators step up actions to further support banks’ efforts?
Many national governments are also setting an agenda that is driving business change. For example, the UK government recently published its ambitions for Decarbonising Transport: Setting the Challenge. In the opening, the following intent is outlined: ‘public transport and active travel will be the natural first choice for our daily activities. We will use our cars less and be able to rely on a convenient, cost-effective and coherent public transport network.’ This scheme provides a huge opportunity for financial services organisations to invest, partner, visibly champion and support the government in its fight against climate change.

Q. Should British banks treat risks rising from climate change as a financial risk, and not just a reputational risk? Why?
Climate change poses a significant financial risk to both the short and long term success of financial services businesses. This is already being felt by the insurance industry, as the impact of flooding and extreme weather events drive up the cost of claims. The long-term underlying financial stability of economies is also already recognised as a major future risk. Climate change potentially affects population migration, security of water and food and the geographical location of valuable assets (as we move away from a hydrocarbon driven economy). All of these challenges have led to economic instability in the past, and in some cases major wars. Climate change must not be underestimated as a major global economic risk, and the financial services industry needs to plan for it.

Q. Why is adoption of the Task Force on Climate-related Financial Disclosures initiative important for banks globally?
With all of the reasons above there is perhaps enough stimulus for financial services businesses to act on both the challenge and the opportunity of climate change without the need for the involvement of central banks and regulators. Having said that, central banks and regulators do need to act on major policies and direction set by the government, and in the interests of the populations which they support and represent. For these reasons it is appropriate for both central banks and regulators to be seen to be encouraging this change.

Q. How do you foresee British banks and financial regulators actively driving sustainability banking over the next five years?
The way banks approach climate change over the coming months and years may be influenced by the short and long term uncertainties around Covid-19. From a positive perspective we can already see that we can be more ambitious with our drive to reduce climate change. Home working for many has proved to work better than expected, and we have moved quickly to enable it; in turn, it has significantly removed the need for much of our hydrocarbon driven transport. In the long-term the outlook is more challenging. Experts are predicting a recession in many economies, with the loss of many traditional businesses and jobs. With the right leadership, the damage could be mitigated and they could see an opportunity to reshape the economy much faster to be zero carbon. But the climate change imperative could be overtaken by the quick-fix stimulation to the economy that hydrocarbons have been able to generate in the past.

Bio
Ian has been with Fujitsu for over 15 years, having worked his way up from Solution Design Manager to the CTO for financial services for the company in the UK and Ireland. Working with some of the UK’s largest banks, he has helped to develop the digital systems for leading financial services institutions in the country.

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Fitch in its report titled Large UK Banks’ 1Q20 Credit Losses Surge Under Wide Rane of Assumptions observed that the country’s five largest banks raised  GBP7 billion of expected credit losses during the first quarter of 2020. The raised amount is higher than GBP6.1 billion for the whole of 2019.

It is reported that the UK banks will consume 45 percent of the banking system’s available capital buffers but would continue to operate and provide lending as usual.

According to the Bank of England, the UK is facing its harshest recession in 300 years. In fact, the central bank estimates that the GDP will dive by 25 percent this quarter. Also, unemployment is anticipated to reach 9 percent on the back of suspended economic activities.

In fact, the central bank has warned that the UK economy could shrink by 14 percent in 2020. The Bank of England Governor Andrew Bailey, told the media, “The scale of the shock and the measures necessary to protect public health means a significant loss of economic output has been inevitable in the near term.”

The UK banks are expected to increase lending by £55 billion backed by government-aided guarantees during the pandemic, media reports said.“It is in the collective interest of the banking system to continue to support businesses and households through this period,” he said.

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According to a study by market research firm Propeller Insights nearly three-quarter of UK consumers engage in online banking, 77 percent of them are considering switching over to a neobank and only 21 percent of them might continue to visit a bank branch.
“In the UK especially, where the financial services market is quite developed, consumers are more willing to at least test banking alternatives. The culture of the UK consumer is vital to the success of new digital banks, says Koen Vanpraet, who is the CEO of PXP Financial, a complete end-to-end payments provider. To second Vanpraet’s view, Propeller Insights’ statistics showed that 65 percent of the country’s younger demographic between 18 years and 34 years use neobanks as alternate banking avenues.

As it appears, neobanks have changed the era where retail consumers traditionally preferred to visit bank branches for paperwork. “Over the past two years, we’ve seen an influx of consumers choosing neobanks or challenger banks as an alternative to traditional banks that we are all so familiar with,” Ian Wright CEO of SmallBusinessPrices.co.uk tells in a statement given to International Finance.

Perhaps the growing popularity of neobanks suggest that they are filling the digital expectations gap in the country. “They are helped by the fact that many of their consumers fall under the bracket of ‘digital natives’ — those who have grown up using technology. And their digital services go a step beyond what many of the traditional banks are offering,” says Ian Bradbury, CTO for Financial Services, Fujitsu UK, in an email interview with International Finance.

A study conducted by Finder on digital banking in the UK on how people might perceive banking in the future, found over one in 10 Brits have fully switched over to a neobank and 47 percent of them keep less than £1,000 in a neobank. Also, two-thirds of consumers have expressed interest to fully adopt neo banking services in the future. Certainly, the numbers highlight that neobanks are doing things differently. “They have agile ways of working, relatively cheap, stable to run and equipped with the latest technology,” Bradbury says.

Digital innovation: The hallmark of digital banks in the UK

Last year The Forrester Banking Wave: UK Mobile Apps, Q3 2019 report reviewed four traditional banks and three neobanks, which attest to Bradbury’s view. The report found that neobanks are competing with traditional banks on the back of intuitive services and retail consumers are experiencing a paradigm shift in the country’s financial landscape.

The first approach that neobanks have taken is to determine what financial tools and services consumers actually need, and then to find more meaningful ways to deliver on the potential. For example, Monzo, Revolut and Starling are making an impact on older consumers and those left vulnerable by bank branches closing down in the country. Starling and Monzo have partnered with the Post Office and PayPoint respectively to allow consumers to deposit cash in person. Here the idea is to equally serve those who find it cumbersome to use digital technology. Revolut has launched a Plain English customer contract to ease the signing up process.

For businesses, Amaiz is targeting sole traders and small business owners underserved by the banking industry. “Our research shows that this group has particular needs and we want to focus on that,” Steve Taklalsingh, managing director of Amaiz tells International Finance.
While traditional banks are busy carrying big trading assets on their books, neobanks have become more consumer-centric across demographics and are fixated on technology innovation. “Ultimately, digital innovation will be crucial in an increasingly competitive market and neobanks will have to stay ahead of their rivals on this front,” Bradbury says. “So their overall success lies on how well they can innovate — and those who attract the most consumers are those who can differentiate their products in the most creative ways.”

Simplicity and transparency is what these neobanks have been tapping into in the last two years. Amaiz has developed a mobile banking app that provides a 24/7 phone service — a unique selling point in the market today. The app uses smart analytics to manage and track all payments. “We do that because our customers are not typically people who sit in front of a computer all day. They are serving their customers — and therefore, are more likely to want to talk to someone,” Taklalsingh says. “We’ve integrated voice recognition software for top level security and to give our customers the best experience.” Neobanks integrating human touch into their sophisticated digital services have an important stronghold that is missing from much of the traditional banks’ offerings.

Gen Z wants speed and convenience

But what might seem like a quick win for startups is often a lot more to do with hype than substance, Vanpraet explains. The continuous and often advanced neo banking services are changing the traditional understanding of retail banking, but they have a long way to go. “This comes down to the majority of customers who are still sticking with traditional banks. When a new digital bank is introduced, those interested in the industry may look at what they offer and switch services if they think it is beneficial, but the vast majority of ‘casuals’ will stick with what they know.”

PXP Financial carried out a research on Gen Z payment habits in the high street and their top requirement was convenience. Today, customer experience necessitates transaction methods that are the most convenient and fastest. The research highlights that personal data security is of utmost importance for UK consumers. “Despite challengers providing a speedy and slick user experience through digital apps, many consumers still do not feel they are secure,” Bradbury says. This observation is compatible with statistics showing that 40 percent of UK consumers don’t trust neobanks to keep their data safe, and a further 49 percent plan to bank only with a traditional bank unless neobanks can demonstrate they have the right technology to protect them.

This point is debatable. Globalwebindex’s survey last year found that neobanks are more likely to be used by the country’s top income groups. The UK consumers who have used at least one service of Monzo, Starling, Revolut or Atom increased by 83 percent — an impressive growth rate since the third quarter of 2018.

Together, the neobanks in the country are expected to triple customer count to 35 million over the next 12 months, compared to 12 million users last September, according to an Accenture report. In the first half of 2019, five million consumers opened an account with them — resulting in percentage gains in primary account holders. The average account balances increased five-fold to $422 in the first half, from $84, the report noted.

Arguably, this trend could work against traditional banks if they are too slow in rendering advanced digital services. In fact, Vanpraet points out that “change can be slower for traditional banks.” The past two years have seen neobanks demonstrate robust financial performance broadening the competitive playing field of banking in the UK.
Neobanks create significant cost advantage with the average operating cost per customer ranging between £20 and £50, compared to over £170 with a traditional bank.

Performance analysis of top neobanks in the UK

Last year Monzo surpassed 2 million total users — and is expected to add 200,000 new accounts every month, compared to 60,000 a month in the previous year. Monzo crossed £40 million of annual run-rate revenue last May.

Another top neobank Starling aims to break-even by 2020 — targeting 6.7 percent share of the UK SME banking market in the next five years. Since November 2018, it has seen a rise of 110 percent in customer numbers and 200 percent in deposit base.

Revolut, one of the world’s biggest fintech unicorns, was valued at £1.3 billion last year. In 2018, it recorded £58.2 million revenue and cost of sales grew at 247 percent, improving the gross profit margin. Recently, it raised $500 million in a series D funding with a $5.5 billion valuation — and has set an ambitious goal to onboard 100 million customers in the next five years.
Revolut’s global expansion testifies the success of neobanks business model designed to take on big players in the industry, Bradbury says. “But they have a challenging future ahead of them — and it’s certainly an interesting space to watch.”

Neobanks are fighting layers of complexities

Despite the numbers, their market share is low as they are relatively new. Consumers still require their banks to have a physical presence. In fact, 56 percent of consumers show concerns over bank branches closing down in the next five years, says Bradbury, reinstating that neobanks are under strain to build trust and value.

The challenges for neobanks are not subtle. Many of them struggle to churn revenue from existing customers who are used to free services. Following that is their greatest test to prove to investors their ability to make profits — or they might not reach the level of funding received by traditional banks, Bradbury says.

Traditional banks versus neobanks: Threat or hype?

The creation of neobanks has the potential to challenge traditional banks, but for now, “they are still being seen as an add-on service, rather than a primary service,” Vanpraet says. It is impossible to turn a blind eye to the credibility and trust that traditional banks have established over the years. This should be worrying for neobanks, says Vanpraet, pointing to the fact that they are often used for smaller, less important payments. However, “neobanks proving themselves over a sustained period of time will lead to consumer trust on par with traditional banks,” Bradbury says.

The allure of going digital has increased among UK traditional banks. “As neobanks become more popular, traditional banks will hit back,” Bradbury explains. And the big news is “traditional banks already see neobanks as competitors, and this competition will only grow as more UK consumers start to use them as their main current accounts,” he adds.

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The Access Bank UK leverages specialist skills in trade finance and is in a strong position to support companies all over the world in their trade financing activities into Sub-Saharan Africa. The bank’s team of experienced trade experts work closely with corporate customers to understand their trade flows in order to propose solutions appropriate to the target country, leveraging on the bank’s extensive network of banking relationships on the African continent. 

The bank also offers correspondent banking services to a number of financial institutions across Sub-Saharan Africa supporting their international trade flows.  An important factor is that the bank regularly leads and partners with peers in the area of risk participation as a way to maximise its trade capacity. In addition, The Access Bank UK also collaborates with development financial institutions on a regular basis to support appropriate medium to long term projects on the continent.

DIFC branch the geographical hub between the East and the West

The bank’s regulated branch in Dubai International Financial Centre is ideally positioned as the geographical hub between the East and the West and Africa, to harness the growing appetite among the established economies of China, India, and Singapore for developing stronger trade links in the MENA region and Sub-Saharan Africa.

The Dubai team at the DIFC branch offer bespoke services tailored to meet customer business requirements. The strong links that the DIFC branch has with the UK and Sub-Saharan Africa ensure that it has an in-depth knowledge of the marketplace and is able to assist customers with their transactions and investments. 

The Access Bank UK Dubai branch offers a broad range of products and services to assist customers with trade and investment needs in Nigeria and Sub-Saharan Africa. The DIFC Branch is committed to building a long-lasting relationship in the region in line with the approach that has proven so effective for The Access Bank UK. The combination of the Dubai office together with our presence in the UK and Nigeria delivers a wealth of expertise that significantly benefits our customers. 

Access Private Bank offers in-house approach

Many high net worth customers who utilise The Access Bank UK for trade finance and commercial banking services also use its asset management and private banking services for their personal financial interests in the UK. 

Access Private Bank offers in-house investment approach and a commitment to understanding customers and their needs to offer tailor-made investment solutions. Its dedicated and experienced private bankers use a range of investment products including both discretionary and execution only portfolios. Access Private Bank provides updates on portfolio developments on a regular basis. Customers have instant access to their discretionary investment portfolios through the bank’s online valuation facility.  Access Private Bank also supports UK Investor Visa applications by working closely with the UK Investor Visa specialist to provide facilities or to create a bespoke discretionary managed investment portfolio. In addition, the bank offers loans secured on UK properties or the value of investments that can be used to secure a loan. 

The Access Bank UK records strong results

The Access Bank UK has recorded yet another year of significant all-round growth in 2018, achieving and exceeding its targets for all the main growth strategies. Operating income was up 47 percent year-on-year to £53 million, with all four strategic business units performing well. Pre-tax profits overall grew significantly by 50 percent to £33 million and the pre-tax return on equity rose to 18.3 percent, up from 16.6 percent in 2017. 

The bank’s trade finance operation continues to be its largest strategic business unit. Income at the unit grew by 20 percent year-on-year to £23.7 million, of which £9.3 million was accounted for by correspondent banking, representing annual growth of 45 percent. 

Commercial banking had another strong year, with income growing by 90 percent to £21.9 million while asset management income rose by 13 percent to £1.7 million. 

The bank achieved the return of the initial investment to establish the operation in Dubai a year earlier than anticipated. The income of £2.1 million represents year-on-year growth of 213 percent in what was only its second full year of operation, and reinforcing the fact that the Dubai market offers considerable potential.

Measured expansion into Sub Saharan Africa

The bank recorded across-the-board growth during 2018, a year which was also notable for its measured expansion in Sub-Saharan Africa and for recouping the investment in its key Dubai operation in only its second full year of operation. 

The provision of trade finance solutions continues to be the bank’s largest business activity. In addition to its role as confirming bank for Access Bank Plc, one of the year’s highlights was the continued development of correspondent banking activities more broadly within Sub-Saharan Africa. This included expanding the bank’s reach to a number of other African countries, in particular in Ghana, Kenya and Tanzania, with its proven correspondent banking offer.

The successful introduction of a number of innovative products, tailored specifically for corporate customers, and organic growth among its existing customer base, contributed to the growth of the bank’s trade finance offering.

Jamie Simmonds, chief executive officer and managing director of The Access Bank UK commented on the results: “The bank’s growth has flowed naturally from the strength of dynamic customer relationships and the trust that comes from the continuity of delivery by the same team.”

International Finance Corporation awards The Access Bank UK confirming bank status

The Access Bank UK provides a number of services to support business activities in Sub-Saharan Africa and across the world. The bank was awarded confirming bank status by the International Finance Corporation (IFC) as part of their Global Trade Finance Programme, thereby strengthening its trade finance capabilities further. The bank was also the first Nigerian Bank in the UK to be appointed as correspondent bank to the Central Bank of Nigeria to undertake infrastructure work on behalf of the Nigerian government. It also issues letters of credit on behalf of the Nigerian government and the Nigerian National Petroleum Corporation (NNPC).

The Access Bank UK was the first UK based Nigerian bank to become an IFC confirming bank.  This partnership enables the Bank to develop low-risk solutions for a range of its customers. 

The Access Bank UK works closely with the Central Bank of Nigeria (CBN), the MDAs (ministries, departments, and agencies), the World Bank and other funding banks, and the government contractors to support medium to long terms infrastructure projects with the objective to develop infrastructure in Africa. Projects supported by The Access Bank UK in the last decade include but are not limited to: the Niger Delta Power Holding  (NDPHC), National Integrated Power Project (NIPP), Nigeria Electricity and Gas Improvement Project, PHCN PMU (funded by the World Bank), electrification projects under the Rural Energy Agency (REA) Tanzania (funded by Rural Energy Fund (REF)), engineering, procurement and construction (EPC) contracts under Electricity Company of Ghana, and the power generation project under the Liberia Electricity Corporation (LEC), among many others. 

The Access Bank UK is a wholly-owned subsidiary of The Access Bank, a Nigerian Stock Exchange listed company. In addition to providing trade finance, commercial banking, private banking and asset management products and services for customers in their dealings with Organisation for Economic Co-operation and Development (OECD) markets, the bank also supports companies that seek to invest in and trade in Sub-Saharan Africa, MENA and Asian markets. 

The bank is authorised by the Prudential Regulation Authority (PRA) and regulated by the Financial Conduct Authority (FCA) and the PRA. The Access Bank UK Limited – Dubai Branch, situated in the iconic Gate Building of Dubai International Financial Centre (DIFC), is regulated by the Dubai Financial Services Authority (DFSA). 

Committed to developing a sustainable business model 

Like Access Bank Plc, The Access Bank UK is committed to developing a sustainable business model for the environment in which it operates. This is reflected in the bank’s moderate appetite for risk, its dedication to customer service, as well as commitment to build long-term relationships by working in partnership with its customers. 

The Access Bank UK drives the development and growth of The Access Bank Group’s international business interests, through four strategic business units supported by its treasury team. Each of the units are charged with increasing its international reach, using a combination of outstanding service and innovative products, to leverage already strong customer relationships while maintaining the bank’s moderate risk appetite. 

The Access Bank UK’s relationship-based philosophy continues to drive the growth being delivered as part of the bank’s third five-year plan. The bank is confident that this strong focus on relationships will enable the bank to build on the achievements delivered to date, despite the current challenges resulting from the headwinds in some global markets.

Herbert Wigwe, chairman and non-executive director said, “The Access Bank UK was founded to establish a credible, sustainable OECD hub for The Access Bank Group. This was achieved with commendable efficiency while also becoming a successful and profitable business on its own right.” 

In 2018 the bank became a direct member of the three key UK payment clearing systems: Bacs (Bankers’ Automated Clearing Services), C&CCC (Cheque and Credit Clearing Company’s Image Clearing System) and Faster Payments. In this regard, The Access Bank UK’s Managing Director and Chief Executive Officer, Jamie Simmonds said: “This is a great landmark for us, enabling us to build a sustainable platform with direct entry into the UK payment clearing system. This will enable us to enhance the level of service our customers receive. We have a clear commitment to strong customer service and we anticipate and respond quickly to market needs with the right technology, products, and services. Joining the UK payment clearing system is a clear example of meeting the needs of our customers.”

The Access Bank UK’s commercial banking team offers relationship-based services for corporate and individual customers. It offers a wide range of products and services with a choice of competitive rates, market leading systems, and top-quality service. 

The Access Bank UK takes time to build long-term relationships and works closely with its customers to understand their goals in order to create a strategy designed to meet their needs. The bank provides constant support and development opportunities for its employees, that reflects in their dedication and professionalism. The bank is led by a team of accomplished individuals determined to deliver superior financial solutions for business and individuals. The Access Bank UK staff are highly experienced and many have spent time working in the Sub-Saharan, West African, and international marketplaces. 

Jamie Simmonds added: “Our people are fundamental to our bank’s continued development. They provide the skills that deliver our focus on service and customer relations. Reflecting this, during the year, we selectively recruited additional members to the team and also invested more in professional development. We were the first Nigerian bank to achieve Investors in People accreditation. We have now advanced our status to Gold. We believe that our consistently low staff turnover rate reflects in part the advances that we have made in training and development. The bank is currently working in partnership with BPP professional apprenticeships and the Chartered Institute of Personnel & Development (CIPD) programmes”. 

 “The completion of The Access Bank UK’s first decade of trading was one of the year’s major milestones. It has been a period during which the bank earned a reputation for innovation and flexibility, outperformed its own targets and, thanks to the enduring strength of its customer relationships, has built the foundations for its continued progression,” Herbert Wigwe added.

The post The Access Bank UK Ltd: Winner of International Finance Awards 2019 appeared first on International Finance.

Contour, which is based in Singapore, recently rebranded itself. The company was earlier known as Voltron.

Contour, in which Standard Chartered has recently invested, aims at digitalising the letter of credit process. So far, the company has already carried out tests in 14 countries by collaborating with more than 50 banks and corporates.

Reportedly, Contour managed to reduce the processing times for letters of credit significantly by over 90 percent. While the process earlier took five to 10 days to be completed, it can be done under 24 hours through Contour’s platform.

The company was formed by a consortium led by R3. Other members to have invested in Contour include Bangkok Bank, BNP Paribas, CTBC, HSBC, ING, Standard Chartered and SEB.

Carl Wegner, who serves as R3’s head of Asia, is taking the role of chief executive at Contour. Aaron Seabrook, R3’s director of services, on the other hand, will serve as the COO.

Carl Wegner recently said in a company blog post, “The opportunity cost in trade finance is huge. Trillions of dollars in commodities, products, and services are transacted daily, but the sector is still characterised by slow, duplicative and expensive processes. Contour delivers a network where trusted information is shared in real-time, effectively digitising letters of credit across all users in the transaction.”

According to media reports, Contour will make its product commercially available during the second half of 2020.

Recently, Standard Chartered also invested in Linklogis, a blockchain-based supply chain platform in China.

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