Asia-Pacific (APAC) Regional Retail Banking Analysis by Country, Consumer Credit, Retail Deposits and Residential Mortgages, 2023

This report analyzes the Asia-Pacific retail banking sector from a comparative perspective, highlighting key similarities and differences across markets within the region. The largest banks in each market are discussed alongside macroeconomic forecasts, giving a feel for the composition of a given country's economy and retail banking sector. The report also examines product holding across key banking, insurance, and investment products.

Inflation rates across the region are expected to level off post-COVID-19, although food and oil prices are set to remain high as the Russia/Ukraine conflict affects India and other major exporters. India has the highest unemployment rate in the region due to its large informal workforce, although unemployment rates are set to decrease across the region. The exception is Australia, which continues to struggle with long-term unemployment. New Zealand has the highest retail deposit and residential mortgage market concentrations due to stringent entry requirements and consumers' strong relationships with the top five banks. Meanwhile, Singapore is seeing the largest increases in its cost/income ratio and average return on assets, highlighting that its markets are efficient and profitable. In turn, this means the city-state is a good place to invest in for banks.

Scope

• GDPs across the region are set to continue growing, with nations such as India, Vietnam, and the Philippines experiencing the fastest growth. There is notable GDP variation across the region, with China having a significantly higher GDP than New Zealand
• The development of emerging economies such as Indonesia, Thailand, Malaysia, Vietnam, and the Philippines will inevitably expand the region's competitive landscape
• India and Vietnam have the highest proportion of customers using mobile and online banking channels. Emerging economies are becoming more technologically advanced, which provides opportunities for fintech companies and digital-only banks

Reasons to Buy

• Keep up to date with the macroeconomic trends impacting the retail banking sector in Asia-Pacific
• Understand where the best opportunities exist by comparing countries based on factors ranging from average net interest margin to market concentration
• Develop an understanding of the differences between consumer research methods, average tenure, and channel usage across different Asia-Pacific countries.