CASE STUDY
Building Raees App
Malaysia has one of Southeast Asia’s most mature digital financial ecosystems, but the digital lending sector has not yet grown to fully match the vast opportunity available. Koperasi Tentera partnered with Codebase Technologies to modernize cooperative financing through Raees, a fully digital financing application powered by Digibanc, delivering a faster, paperless, and Shariah-compliant borrowing experience.
Project Overview
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Malaysia has emerged as one of Southeast Asia’s fastest adopters of digital financial services and a prime market for digital lending. Over 90% of Malaysians have access to banking services and more than 80% actively use online banking for daily transactions. Electronic payment transactions surged to 18.6 billion in 2025, a 28% increase from 14.7 billion the year before. The country’s stable economy, an A- credit rating from S&P, GDP per capita of USD 11,892 in 2024, and average monthly salaries exceeding USD 800 support the viability of digital lending solutions tailored to salaried workers and civil servants. Internet penetration stands at 98%, with mobile connections exceeding 122% of the population, while the digital financing platform market was valued at USD 46.6 billion in 2024 and is projected to grow at a 13.2% CAGR through 2030. Despite this momentum, many traditional financial institutions still rely on legacy systems and manual processes that limit the speed, accessibility, and flexibility of their financing services.
Koperasi Tentera (KT) has served Malaysia’s financial cooperative sector since 1960, originally founded as a thrift and financing cooperative for the Malaysian Armed Forces. Today, it serves more than 156,000 members, including military personnel, civil servants under the Ministry of Defence, retirees, and volunteer corps, with Shariah-compliant personal financing, tailor-made takaful insurance, Islamic pawnbroking through Ar-RahnuKT, and Shariah-compliant digital gold investment. To future-proof its operations, KT partnered with Codebase Technologies as its strategic technology partner, combining advisory and boutique consulting services with the Digibanc platform. The first initiative was Raees, a digital financing application built to digitize the entire financing journey, from customer onboarding and identity verification to application, approval, disbursement, and account management. The platform was also designed to extend KT’s services to all government workers, an addressable market of approximately 1.6 million people across Malaysia.
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Client's Mission & Expectations
Koperasi Tentera’s mission has always been to uplift the financial well-being of its members by evolving with their needs and market trends. Moving into the digital space required rethinking how financing services could be delivered in a fully digital environment without compromising the trust KT has built over six decades, a business challenge as much as a technology one. Research shows that 70% to 80% of digital transformation efforts fail to meet their objectives, often due to weak planning and misaligned execution.
This is why Codebase Technologies’ engagement started from the conceptualization stage, through structured discovery sessions with KT’s leadership and product teams, to clarify business objectives, identify value drivers, and define the product proposition for Raees, aligning it with KT’s member base, regulatory considerations, and organizational priorities.
“Our mission has always been to uplift the financial well-being of our members by evolving with their needs and market trends. As we step into a new era of digital transformation, partnering with Codebase Technologies allows us to tap into deep fintech expertise and a proven technology stack to bring our vision to life. Raees is just the beginning – we’re building a future where our services are more accessible, faster, and fully aligned with the digital expectations of today’s government workforce.”
Chief Executive Officer (CEO), Koperasi Tentera
How Codebase Technologies Made It Possible
With the fundamentals well established, Codebase Technologies moved into implementation, bringing deep expertise across digital lending, Islamic finance, product engineering, customer experience design, and large-scale systems integration. The team leveraged Digibanc’s ready-to-deploy Islamic financing capabilities, including digital onboarding, eKYC, credit risk scoring, financing origination, and end-to-end financing lifecycle management, tailoring each capability to Koperasi Tentera’s operational requirements.
Built on a microservices-based, API-first architecture,
the platform integrated seamlessly with KT’s internal systems and third-party services, enabling rapid implementation, greater operational flexibility, and a scalable foundation for future innovation.
“The Raees App is a testament to our commitment to putting our members first – making everyday banking simpler, faster, and more accessible, wherever they are. Our collaboration with Codebase Technologies and their Digibanc platform has been pivotal in delivering a customer experience that rivals the best in the market, allowing us to anticipate our members’ needs and offer them the convenience, security, and service they deserve in this digital era.”
Head of Customer Banking, Koperasi Tentera
What Digibanc Delivered at Commercial Go-Live
Seamless digital onboarding & authentication
Dual onboarding pathways for new applicants and existing KT members. Supports full eKYC, eligibility checks, profile migration, legacy credit history synchronization, salary deduction mandates, subsequentlogins, forgotten PIN recovery, account migration, and new-device verification.
Digital identity verification (eKYC)
Leveraged Digibanc’s eKYC module for real-time identity verification through ID document scanning, facial recognition, and liveness detection. Compliant with Bank Negara Malaysia’s eKYC framework, supporting AML and counter-terrorism financing (CTF) requirements.
Credit and blacklist checks
Integrated Digibanc with Experian’s Central Credit Reference Information System (CCRIS) to retrieve real-time credit history across multiple financial institutions. Also implemented automated blacklist screening through the TCS compliance module to identify defaults, regulatory restrictions, and high-risk flags during onboarding and financing application processing.
Salary deduction eligibility (SOLA)
Integrated Digibanc with Experian’s Central Credit Reference Information System (CCRIS) for real-time credit history retrieval. Automated blacklist screening through the TCS compliance module identifies defaults, regulatory restrictions, and high-risk applicants during financing origination.
Loan application & digital signature
Integrated with Malaysia’s Salary Deduction Management System (SOLA) to validate available salary deduction capacity before financing approval, ensuring repayment commitments remain within regulatory thresholds and supporting responsible financing decisions.
Proprietary credit scoring
Leveraged Digibanc’s proprietary credit risk scoring engine, customized to KT’s financing policies, member segmentation, employment tenure, repayment behaviour, existing obligations, and cooperative membership history for real-time creditworthiness assessment.
Debt Service Ratio (DSR) calculation
Implemented automated Debt Service Ratio (DSR) calculations using live SOLA and Experian CCRIS data, providing Koperasi Tentera with an accurate view of applicants’ existing financial commitments before financing approval.
Tawarruq trading automation
Integrated with BURSA – Malaysia’s Islamic Commodity Platform, to automate Tawarruq trading, executing commodity buy-and-sell contracts behind every financing transaction and ensuring fully Shariah-compliant financing without customer intervention.
Core disbursement
Integrated Digibanc with KT’s TCS Core Banking System to automate financing disbursement following verification, approvals, and digital agreements, completing a fully digital financing journey directly into the applicant’s designated account.
Built-in communications & dashboard
Implemented a communication module delivering real-time SMS and email notifications throughout the financing journey, alongside a centralized dashboard for account overview, profile management, financing status tracking, and repayment visibility.
Outcomes
The impact of Raees extends well beyond digitizing financing services. It has strengthened Koperasi Tentera’s operational capabilities, redefined how members access Shariah-compliant financing, and contributed to the ongoing evolution of Malaysia’s digital financial ecosystem.
For Koperasi Tentera
The launch of Raees has shifted the cooperative from labor-intensive, paper-based financing workflows to a streamlined digital infrastructure, cutting processing times and operational costs, lowering the risk of human error, and improving auditability and compliance across key workflows. Digibanc’s composability means KT can configure, extend, and scale new capabilities without overhauling its core architecture.
For KT's members
Most of whom are Armed Forces personnel, civil servants, retirees, and volunteer corps – Raees replaces manual forms, in-person visits, and waiting periods that once stretched into weeks with real-time credit checks, salary deduction validation, and application tracking through a single, intuitive digital interface.
For Malaysia's financial sector
KT has shown that digital transformation doesn’t have to be led by startups or digital-native challengers. Legacy institutions with trust and purpose can modernize too, extending inclusive, Shariah-compliant financing to a large base of public-sector workers and reinforcing national goals around digital inclusivity and responsible lending.
“Our journey building the Raees App forms a strong foundation for our ongoing digital transformation mission, and we are proud of the impact we are already witnessing. The product has helped us redefine our service delivery model, which has had a ripple effect on operational efficiency, customer experience, and our ability to scale beyond our traditional base. Partnering with Codebase Technologies and leveraging their Digibanc platform has been instrumental in turning our vision into reality.”
Head of Information Technology, Koperasi Tentera
Frequently Asked Questions
What is Raees?
Raees is a Shariah-compliant digital financing application by Koperasi Tentera developed by Codebase Technologies, powered by Digibanc™. It digitizes the complete financing journey, including onboarding, eKYC, financing application, credit assessment, approval, Tawarruq automation, disbursement, and account management.
What platform powers Raees?
Raees is built on Codebase Technologies’ Digibanc platform, using ready-made onboarding, eKYC, credit scoring, and smart lending components on a microservices, API-first architecture.
How does Raees verify borrower identity and creditworthiness?
Raees uses digital eKYC (ID scanning, facial recognition, liveness detection) alongside real-time integration with Experian’s CCRIS for credit history and a TCS compliance module for blacklist screening.
Is Raees Shariah-compliant?
Yes. Raees automates Tawarruq trading through Malaysia’s Islamic Commodity Platform, BURSA, ensuring every financing transaction is backed by real trade in line with Islamic finance principles.
Who partnered with Koperasi Tentera to build Raees?
Koperasi Tentera partnered with Codebase Technologies to design, build, and launch Raees App, the digital financing solution. The engagement spanned business strategy, product design, implementation, and systems integration, delivering a fully digital financing experience for KT’s members.
