Hong Kong's best bank for SMEs 2023: Ping An OneConnect Bank
Ping An OneConnect Bank
In an era where financial inclusion has become the battle cry for socioeconomic development, Ping An OneConnect Bank (PAOB) has emerged as a top-notch service provider in Hong Kong. The bank's strategic focus on micro, small and medium-sized enterprises and its innovative approach have consolidated its leadership in the traditional SME financing landscape, warranting its nomination for the best bank for SME award.
Hong Kong has more than 360,000 SMEs, accounting for an astounding 98% of total enterprises. However, traditional banking constraints around cost-effectiveness and credit-risk management have left these businesses largely underserved.
PAOB, seeing this gap, chose to confront these challenges head-on, positioning itself as a champion of financial accessibility and efficiency.
PAOB's ground-breaking application of alternative data in its loan-approval processes has been a game changer. In partnership with Tradelink Electronic Commerce Limited, a leading provider of government electronic trading services, PAOB crafted a credit-scoring model for its inaugural product, the Trade-Connect Loan.
This model expedited loan approvals, broadening its lending reach to include those SMEs with insufficient credit history. This innovative use of data analytics has disrupted traditional norms of lending, re-defining efficiency and minimizing human errors.
In a sector that often clings to age-old practices, PAOB has distinguished itself by revolutionizing the loan process through the first document-free loan in Hong Kong, thereby disrupting the customary drawn-out loan approval process that is often a barrier for many SMEs.