Alibaba's financial affiliate Ant Financial Services Group and Malaysia's second-biggest bank, CIMB Group Hildings Bhd, will form a joint venture to provide mobile wallet and related financial services in the southeast Asian country.
CIMB's payment service subsidiary Touch'n Go Sdn Bhd (TNG) and Ant Financial yesterday signed an agreement in which TNG will be the majority shareholder, according to a joint statement yesterday.
"The capital injected by both parties will go toward the creation of a world-class online and offline payments provider, delivering superior mobile wallet solutions and other related financial services," CIMB said in the statement.
Ant Financial CEO Eric Jing said the company will tap TNG's leading position in the market and vast customer base to "help it to offer exciting and innovative products to Malaysian consumers."
Ant Financial, the parent company of Alipay, has been teaming up with local partners in India, South Korea and southeast Asia by leveraging its technology expertise to help overseas companies provide digital payment and innovative financial services to local users.
Malaysia is the first country to join the Electronic World Trade Platform (eWTP), a scheme initiated by Alibaba Group executive chairman and founder Jack Ma to help small to medium-sized enterprises expand their trading capabilities worldwide through digital platforms.
Alibaba Group signed a memorandum of understanding in May this year with Malaysia Digital Economy Corporation, a digital economy development agency, and the Hangzhou government to connect the first e-hubs in the two countries under eWTP.