Al Rajhi Bank Malaysia (ARBM), a wholly-owned subsidiary of one of the world’s largest Islamic banks in terms of assets, Al Rajhi Bank of the Kingdom of Saudi Arabia (KSA), has chosen Thought Machine, the Cloud native core banking tech company, in order to power their upcoming virtual bank while strengthening their position as a key player in Islamic banking.
As mentioned in the announcement, Al Rajhi Bank Malaysia set out on a multi-year digital transformation in 2021 and the Bank will be deploying Thought Machine’s core banking engine, Vault, in order to “launch a new digital bank in 2022 with a range of sophisticated retail and SME financial services, such as savings and financing products.”
As explained in the update, the design of the Vault platform will “enable Al Rajhi Bank Malaysia to deliver on their ambitions and launch an end-to-end next-generation bank.” The bank will harness Vault’s Universal Product Engine to “design, launch and manage a full suite of products on a single, clear architecture.”
As noted in a release, Al Rajhi Bank Malaysia is creating a complete suite of Shariah-compliant products and Vault’s product building capabilities will “be instrumental in allowing the bank to build and offer services tailored to their customers’ individual needs.”
Thought Machine has been chosen by a number of tier one and large retail banks and the company also “works with smaller, agile fintechs and challengers.” Clients reportedly include JPMorgan Chase, Lloyds Banking Group, Standard Chartered, ING Bank and SEB.
In 2019, Thought Machine opened its APAC HQ in Singapore and was “selected by Standard Chartered Bank to power their greenfield digital banking service, Mox.” Across Asia Pacific, Thought Machine has over 50 workers and continues to “execute its growth strategy to supply more banks with cloud native core banking technology in 2022.”
Arsalaan Ahmed, CEO of Al Rajhi Bank Malaysia, stated:
“We are launching a state-of-the-art digital bank which will be differentiated by its high levels of innovation, customer convenience and reliability. We are tapping into the vast potential in technology offered by our key partners to help advance towards our vision of becoming the #1 Islamic finance innovation bank in Malaysia.”
“Thought Machine has demonstrated that its highly competitive services are supported by exceptional technology and engineering. We are confident that Al Rajhi Bank Malaysia’s partnership with Thought Machine is a strategic decision for the future as we set out to build a digital bank unrivalled in its design and usability.”
Paul Taylor, CEO and founder of Thought Machine, remarked:
“We are delighted that Al Rajhi Bank Malaysia has selected us to power their new bank. As a leader in Islamic banking, Al Rajhi Malaysia Bank has a considerable opportunity to launch an exceptional next-generation banking service – and we have no doubt they will succeed. We look forward to working together to deliver on their ambitious and exciting vision.”