Malaysia fines AmBank for investment transaction breaches

AmBank failed to obtain approval for the transactions, the BNM said.

Bank Negara Malaysia (BNM) has imposed a compound of MYR875,000 on AmBank Berhad for failure to obtain approval before facilitating two investment transactions in a foreign currency.

AmBank specifically facilitated two investment transactions in foreign currency assets by a resident with domestic ringgit borrowing, according to a central bank post on 28 Janaury 2025.

In doing so, the Malaysian bank breached section 214(6) of the Financial Services Act 2013 (FSA).

AmBank has since taken appropriate measures to strengthen its internal practices and procedures pertaining to foreign exchange policy, BNM said.

This includes providing appropriate training for staff and improving internal information flow to ensure compliance with applicable domestic laws and regulations.

AmBank paid the compound on 6 December 2024.