Revolut Applies for Swiss Banking License, Plans Major Investment in Switzerland
Revolut's Expansion and Swiss Market Strategy
Application for Swiss Banking License
ZURICH, Sept 16 (Reuters) - British digital bank Revolut has applied for a Swiss banking licence and unveiled plans to invest more than 150 million Swiss francs ($183.31 million) to expand in the lucrative Swiss market.
The company has applied for a banking license with the Financial Market Supervisory Authority (Finma), Revolut said on Wednesday.
Potential Services and Market Impact
Broader Range of Services for Swiss Customers
Getting the green light will allow Revolut to offer its customers in Switzerland a broader range of services, including salary accounts, access to Swiss deposit insurance, and local IBAN account numbers.
Revolut's Position in Europe
Approval would make Revolut's Swiss business the fourth standalone bank it operates in Europe, after Britain, Lithuania, and France, said Chief Commercial Officer, David Tirado.
"This reflects the importance we give to this market," he told Reuters.
Current Limitations and Growth Expectations
Existing Service Restrictions
Until now, the fintech has been limited in Switzerland by the fact that it cannot offer any salary accounts or investment accounts denominated in francs.
Customer Base and Future Projections
"In Switzerland, we have 1.3 million customers, which corresponds to a penetration of around 24%," said Tirado. "In two to three years, we would expect to surpass 40%."
Global Expansion Strategy
License Applications in Other Markets
The license application in Switzerland is part of the company's expansion strategy.
Recent Approvals in the United States and Europe
Earlier this month, Revolut received preliminary approval for a national banking license in the United States. It gained banking licenses in Britain and France earlier this year.
Additional Information
Currency Exchange Rate
($1 = 0.8183 Swiss francs)
Reporting Credits
(Reporting by Oliver Hirt, writing by John Revill, editing by Linda Pasquini)
