Banking Sector in Malaysia: 9-10% Growth
The banking sector is Malaysia is very stable and growing steadily. We expect growth 9-10% this year. The regulatory framework is very good: the Islamic Financial Services and Financial Services Acts of 2013 were passed last year, taking into account all that has happened in the West in 2008. Assessment of the banking sector and economy by Tan Sri Dr. Mohd Munir Abdul Majid, Chairman of Bank Muamalat and Chairman of ASEAN-BAC Malaysia.
Tan Sri Dr. Mohd Munir Abdul Majid, Chairman of Bank Muamalat and Chairman of ASEAN-BAC Malaysia talks about the banking sector and the economy.
He says, “The banking sector is Malaysia is very stable and growing steadily. We expect growth 9-10% this year. The regulatory framework is very good: the Islamic Financial Services and Financial Services Acts of 2013 were passed last year, taking into account all that has happened in the West in 2008, so the regulatory system in respect of risk management and capital adequacy are very strong.”
“However, the environment apart from the regulatory [functions] in the underlying economy environment is stable (interest rates are relatively low and the last increase was in July 2014). There was a lot of expectation about another increase, but it’s not likely that there will be an increase because there are still problems in Europe and the US. Whether or not the US increases rate will be critical; Japan, on the other hand, is easing up,” he said.