Articles and opinions by Wendy Weng
Asia Pacific banks remain unfazed by asset quality pressure
Retail asset quality pressure will persist in the Asia Pacific region, due to slower economic growth and worse employment situations. However, the downside risk to banks’ retail asset quality will remain manageable, as regulators and banks continue their efforts to better manage credit risk.
Capital and liquidity improved in the Middle East
Although Middle Eastern banks experienced a contraction in profitability, their overall capitalisation and liquidity improved with the gradual adoption of Basel III regulations. In Africa, asset quality and capitalisation are the key concerns.
Stronger balance sheets, weaker profits
Despite the strength of their balance sheets, Asia Pacific banks continue to face massive challenges in growing profits, a conundrum created by modern capital rules.
An unrelenting lack of normality
The annual Asian Banker 500 largest banks ranking does not only measure and track the numerical changes in asset size but also the fundamental transformation of these institutions as they confront an unprecedented level of disruption on various fronts; regulation, technology, competition and customer.
Mobile banking seen to overtake internet banking
Asia Pacific markets have seen a shift towards digital banking during the past few years. Nowadays, banks are placing more effort on mobile banking, such as improving security and convenience of their applications and enhance the user experience to drive engagement in the channel.
The following sections outline our proprietary methodology, which subscribers can use as a guide to understand the various research notes and analysis.
One Big Question
The Asian Banker One Big Question is a debate held as part of our effort to solve practical problem that bankers across the region are facing.