The days of aggressively buying Southeast Asian banks appear to be over for the nation’s biggest lender, which is now focusing on digital investment to reach new customers and streamline operations.
Mitsubishi UFJ Financial Group Inc. is seeking to spend money on startups like Grab Holdings Inc. rather than purchase more brick-and-mortar financial institutions, according to Chief Executive Officer Hironori Kamezawa. "We’re always looking for such opportunities” to invest in tech firms, he said in an interview.
The novel coronavirus outbreak has provided a fresh impetus for banks worldwide to digitize their operations, as social distancing deals a further blow to the viability of their branch networks. Kamezawa, who was chief digital transformation officer until becoming CEO in April, spearheaded MUFG’s deal to invest $700 million (¥75 billion) in ride-hailing giant Grab earlier this year.