• Digital transformation efforts kept customers served and staff safe during the COVID-19 pandemic
• A task force was established to respond to drastic changes in risks
• Helping customers and communities tide over tough times

Morris Li, chairman of CTBC Bank, received Leadership Achievement Award for Best COVID-19 Response in Taiwan at the Leadership Achievement Awards Virtual Ceremony 2020 presented by The Asian Banker. CTBC Bank was awarded Best Managed Bank during COVID-19 in Taiwan during the ceremony. 

Digital transformation efforts kept customers served and staff safe during the COVID-19 pandemic

Under Li’s leadership, CTBC Bank accelerated the digital transformation of its services and implemented major digital technology initiatives to bring operational efficiency and customer satisfaction to the next level. Its digital transformation efforts proved critical in keeping its customers served and its staff safe during the pandemic. The bank added 450 new functions and features to its retail banking app, Home Bank, in 2019 and led the industry in the introduction of responsive web design. The user-friendly functions have enabled 3.2 million users to have complete access to all key financial services during the pandemic. 

A task force was established to respond to drastic changes in risks

A task force was established under his leadership to help the bank respond to drastic changes in liquidity, credit, and market risks. Other than increasing the frequency of relevant risk examinations and requesting front-desk operations to make timely responses, the middle office risk unit is also tasked with conducting stress tests by simulating risk impacts under different contexts to ensure stability in its operations. Due to its careful planning during the expansion of its business, risks and sources of profit were relatively more diversified. 

Helping customers and communities tide over tough times

In response to the pandemic, the bank provided a three-to-six-month deferral period for personal, credit card, mortgage, and car loans to existing retail customers. Late fees were waived and interest deferred. It also reduced interest rates for personal loans and mortgages for new and existing retail customers. As of 2 April, it allowed more than 600 individuals and small and medium enterprises (SMEs) to defer payments, totalling $66 million. In addition, it was the first bank in Taiwan to offer a full rebate on the purchase of face masks.

It was the only bank in Taiwan to provide the applicants for Worker Relief Loans with a complete one-stop application service. From 30 April to 3 June, the bank approved 25.7% of the 1.15 million applications, more than any other financial institutions’ accomplishment in the same period. Meanwhile, 97% of these applications were made via the digital platform developed by the bank within just two days.

Li in his acceptance speech said, “COVID-19 has changed how we work and live, but it has also pushed us to figure out new business models and to set up digital infrastructure. CTBC is ready to meet the challenges of the post-COVID world”.

For video of the Leadership Dialogue and Leadership Achievement Awards Virtual Ceremony, please click here.

About Leadership Achievement during COVID-19 Awards

The Asian Banker conducts the annual Leadership Achievement Awards programme that focuses on the performance of CEOs/chairmen and boards in the financial services industry in Asia Pacific, the Middle East and Africa. This year, the Awards are specifically aimed at evaluating the performance and response of CEOs/chairmen and the banks that they lead during the COVID-19 pandemic as well as the initiatives implemented to help customers and society at large through the crisis. Shortlisted candidates and institutions were evaluated on the level of digitalisation of operations and processes; risk management capabilities, especially around credit and liquidity risk management; how they deploy their own funds in a manner relevant to the societies they serve; and how they create social capital, the means by which they justify their value through the contributions to the communities they serve.

To see the full list of winners click here