SINGAPORE (Aug 30): DBS Bank has launched its digibank by DBS app, a new-era, paperless mobile banking solution, in Indonesia.

This comes as part of the bank’s strategy to capture new market share from a growing base of Internet-savvy banking consumers by offering a digital solution to the old physical limitations of traditional banking.

The launch in Indonesia follows DBS’ roll-out of the app last April in India, where it has been able to win over 1.5 million new customers thus far with its new approach to banking.

“Over the past few years, Indonesia has seen a rapid growth in the number of Internet and smartphone users. Along with this, we’ve witnessed a change in customer behaviour and people increasingly want a simple, fast and effortless way to bank,” says DBS Indonesia’s President Director, Paulus Sutisna.

DBS CEO Piyush Gupta, who has been driving the bank to go digital in a big way, observes that just a few years ago, it would have been difficult to imagine that an entire bank can be launched in a mobile device.

Through the digibank app, customers can enjoy features such as a 24/7 artificial intelligence (AI) driven virtual assistant that can help with queries. There is also a financial planning and monitoring feature that can help customers keep track of their spending – especially during festive seasons.

Noting that the cost structure of running digibank is lower than traditional brick-and-mortar branches, DBS is offering digibank customers perks such as 3% interest with no minimum balance required. This allows enables customers in Indonesia transfer up to IDR200 million and withdraw up to IDR500 million from ATMs at no additional cost, and without administrative fees.

In addition, digibank customers can make cash withdrawals when they visit Singapore, via the bank’s ubiquitous network of DBS and POSB ATMs.

“With digibank, we’ve built a bank that pulls together the power of biometrics, natural language, artificial intelligence and in-built security in one offering. We believe this mobile-led offering represents the future of banking, and are excited to introduce this in Indonesia, a core market for us in Asia,” he adds.

As at 11.26, shares in DBS are trading 8 cents higher at $20.57.