MUFG Expands Lending Business in Thailand With Grab’s Big Data
(14 July 2020 – Thailand) Mitsubishi UFJ Financial Group will begin lending to Grab’s users and drivers in Thailand through its local partner Bank of Ayudhya as growth in its home market slumps.
The bank plans to monetise its US$706 million investment in the ride-hailing firm made in February by starting either a scoring model-based lending program or AI laboratory with Grab.
“I believe finance and other businesses will be fused in the future... I will use Grab's data to establish new credit models and provide financial services through the super-app,” said MUFG Chief Executive Hironori Kamezawa.
“Since our investment phase is over, we are not considering making a big acquisition of commercial banks immediately but will harvest profits from the investments," he added.
MUFG has previously made large investment in Southeast Asian banks as part of its overseas strategy, including Bank Danamon, Bank of Ayudhya, Security Bank and VietinBank.