June 14, 2019
On May 30, 2019 , CIBC announced that it is building upon its existing partnership with Bank Leumi of Israel and National Australia Bank (NAB) to launch a new digital platform developed to drive innovation by facilitating collaboration between the banks and financial technology (fintech) firms. CIBC had originally formed a strategic alliance with Bank Leumi and NAB in September 2016.
The Global Alliance FinTech Link will enable fintech firms to pitch their services directly to the partnered banks by highlighting the customer experience challenges banks are currently facing, and propose solutions for these challenges. “In big and complex banks like NAB, CIBC, and Bank Leumi, it can be challenging for fintechs with good ideas to find the right path to the right people, where their concepts can be appropriately considered,” said Jonathan Davey, Executive General Manager of Digital and Innovation at NAB, “This new platform provides a simple and easy process for fintechs to help connect them into the bank where we can connect that idea to the right people who may be interested in what they have to offer and how we might be able to work together, no matter where they are based.”
The announcement highlights a recent trend among large banks of seeking partnership and co-development opportunities with fintech firms, in contrast to the more oppositional stance that some fintech firms have taken with the major banks. Earlier this month, HSBC launched a Global Data and Innovation Lab to harness machine learning in an attempt to improve customer experience. As CIBC Vice President of Enterprise Innovation and Wealth Digital stated, “Transformative innovation is key to meeting the ever-evolving needs of clients.”
The platform is currently in a pilot state and will continue to evolve as additional challenges are added.
Author: Adam Voorberg