Tagged as the country’s Best Digital Bank, Union Bank of the Philippines recently launched UBX – the arm that houses its technology initiatives, platforms and investments in fintech companies.
Foreseeing the exponential growth of opportunities as UBX ushers the development of new opportunities, which includes the expansion of e-commerce access for the unbanked and underbanked, by seamlessly connecting these communities with extensive and “embedded” financial services.
UBX goals to create a world where financial services are invisible, flawlessly blended into the experiences and activities that truly matter to businesses and people.
Officially registered with the Securities and Exchange Commission last December 2018, UBX is focused on embedded banking; ecosystems and platforms – collaborating with experts and building the best experiences, with the vision towards financial inclusion of those who are unbanked.
What is embedded banking?
Embedded banking refers to banking that is made through a platform other than a bank – such as mobile apps and the internet of things (JOT) – which are expected to replace traditional banking channels in the next few years. Because its effortless and very simple for consumers, this is also expected to dramatically reduce the number of the country’s unbanked in a short period of time.
Investment platforms are already underway. This will allow others to gather together and innovate, adding value whether they collaborate or compete.
“UBX is a manifestation of Transformation B of UnionBank’s Dual Transformation Roadmap, where we want to co-create businesses and financial services that technology will unlock,” said UBX president and CEO John Januszczak, referring to UnionBank’s transformation journey started in 2016.
“It’s a new entity that operates separately from UnionBank and is designed to be like a fintech company. With UBX, we want to usher in the age of embedded banking in the Philippines, where banking services are woven into the very fabric of eweryday life,” Januszczak added.
UBX believes the future of financial services provides opportunity and access for all, and vows to bring more financial services to a broader community physically, logically and economically.
At its onset, UBX will leverage on two products incubated in UnionBank. These are:
- UnionBank GlobalLinker – a B2B networking platform
- Project i2i – a blockchain – supported platform that connects rural banks and cooperatives to other financial institutions in the country.
Meanwhile, UBX also inked its first investment deal with technology solutions firm Shiptek Solutions Corp. recently. Shiptek is the developer of end-to-end digital logistics platform known as XLOG and is owned by the Ynion Group which has been in the logistics business for over two decades.
UBX’s expertise in technology development and blockchain is seen to further power XLOG’s end-to- end supply chain solution that consolidates shipping, warehousing, trucking, and customs brokerage.
Januszczak said they will endeavor to co-create innovations with like-minded companies who are obsessed in forging transformative experiences for customers.
“Apart from developing platforms to go to market with business models that are beyond banking, we will also invest in capabilities and platforms that share the same objective,” Januszczak said.
For more information, visit UBX on Facebook or www.ubx.ph.