KAF Investment Bank’s digital transformation aims to streamline operations, enhance customer experiences, and adeptly respond to the fast-evolving banking environment.

Rafiza Ghazali, the bank’s director of digital banking, said that the bank’s primary goal is to revolutionise Islamic banking with innovative technology. Emphasising the crucial role of a robust partner, she said: “Choosing a strong partner to start small and scale is crucial.”

With this in mind, the bank aligns its strategy with Temenos, aiming to modernise banking by delivering advanced, accessible, and secure financial solutions nationwide. The collaboration with Temenos spans digital lending solutions and the Transact core banking system, empowering KAF to enhance operations and customer experiences, and drive sustainable digital growth.

Ghazali explained the rationale behind selecting Temenos, saying: “Building a new bank from scratch is a big investment. We chose Temenos for its agility, scalability, and alignment with our strategic vision. With Temenos, we can start small and scale rapidly, ensuring a seamless transition into the digital banking landscape.”

During the launch phase, Ghazali stresses the initial focus on basic services with iterative enhancements over time. KAF’s strategy emphasises collaboration and banking-as-a-service partnerships to address the increasingly complex needs of customers.

KAF has secured a digital banking licence from Bank Negara Malaysia and highlighted the challenge of meeting the central bank’s tight timeline. She explained: "We have been given two years to launch a retail bank. So, if we want to meet that deadline, the best commercial decision is to go with a strong partner.”

This pragmatic approach necessitates a focus on functional stability, operational readiness, and security. By embedding banking facilities within consortium partners’ platforms, KAF aims to address customer pain points and enhance the overall financial ecosystem with timely and relevant services.