APAC banks pursue growth with digital adjacencies

Summary

Banks across the Asia Pacific are shifting away from a business model built primarily on interest income toward one that leans more heavily on non-interest, fee-based revenue streams. Pressure to sustain profitability, manage cost-to-serve, and grow low-cost current and savings account balances is pushing banks to expand well beyond core lending and deposit products.

The rise of platform banking models and accelerating digitalization means banks now compete for wallet share not just against each other, but against fintechs and technology platforms offering embedded financial services. Delivering a seamless, largely invisible banking experience has become central to how banks acquire, retain, and deepen relationships with customers over the long term.

Five growth adjacencies stand out as the primary avenues banks in the region are pursuing: banking-as-a-service, super apps, data monetization, financial marketplaces, and buy-now-pay-later. Each represents a different way of extending the bank's role beyond its traditional core, and each carries a distinct set of technology, partnership, and regulatory considerations that shape how quickly a bank can realistically move into the space.

• Five adjacencies: BaaS, super apps, data monetization, financial marketplaces, and BNPL
• Digital economy drivers underpinning adoption across APAC banking markets

Which of the five growth adjacencies will define how APAC banks compete for wallet share beyond core lending?