Revolut is setting its sights on becoming the first global digital bank to secure a banking licence in New Zealand.
The UK-based fintech and challenger bank is on a mission to take on capabilities and responsibilities traditionally held by retail banking companies by leveraging its fintech and next-generation payment capabilities.
It has submitted an application to become an official registered bank in New Zealand and is working with the country’s central bank to achieve this. The company is already active in the country, having first set up shop in 2023.
Reovlut’s NZ activities have been limited to fintech and payments processing, but this has not stopped its bundling up significant momentum – the firm states that it has launched 18 products and features to the market over the past 17 months, processing over NZ$350m in transactions to date.
Matt Baxby, Australia and New Zealand CEO of Revolut said, “Revolut exists to help people get more out of their money, and today’s announcement is another step in our journey of delivering that.
“Since launching in New Zealand last year, we have experienced strong growth and we’re just getting started. It’s clear that the market is primed for disruption and Kiwis are seeking innovative solutions that meet their needs.
“Becoming a bank will allow us to fulfil our purpose of being ‘one app, all things money’, while ensuring we continue to maintain the highest regulatory standards.”
Revolut was founded in 2014 and has emerged as one of the world’s largest fintechs and a prominent neobank, challenging the dominance of traditional retail banks alongside the likes of Monzo.
It notably became Europe’s most valuable fintech this year while also securing a long-awaited UK banking licence. Despite becoming one of Britain’s biggest and most valuable fintechs, securing a banking licence in its home country was a long and difficult task for Revolut.
With banking licences in jurisdictions like the UK, Mexico and the European Economic Area (EEA) now under its belt and applications underway in more markets like New Zealand, Revolut is firmly focused on taking on more banking activities.
Late last month, the firm unveiled a 2025 roadmap which includes setting up its own network of ATMs and launching a digital mortgage product starting in Lithuania, and then Ireland and France.
In New Zealand, a banking licence will enable the company to offer interest-bearing savings products and credit options. The company states it will tailor the latter to New Zealanders’ consumer needs, and believes that the population has ‘long been underserved by traditional banking players’.
Georgia Grange, Head of New Zealand at Revolut, said: “Underserved for decades, Kiwis have had to put up with a lack of innovation, core functionality and high fees. Revolut is here to change that.
“We don’t limit our thinking to traditional banking products and are committed to enhancing the hauora (well-being) of Kiwis and providing them with innovative solutions to manage their money.
“Receiving a banking license will allow Revolut to become the first global digital bank in New Zealand and will drive much needed competition across the industry. We look forward to working with the Reserve Bank of New Zealand on our application.”
