Malaysian banks' loan growth 'significantly slower'

Growth slowed to 2.3% as at end-September 2016.

Maybank Kim Eng notes that cumulative gross loan growth for the seven banks saw a significant slowdown to 2.3% YoY end-Sep 2016 from 5.8% YoY end-Jun 2016. The numbers were still weak, even after stripping out the forex impact. CIMB’s 3Q16 loan growth ex-forex was also slower at 2.2% YoY and this compares against 3.9% YoY in 2Q16. Maybank’s 3Q16 loan growth ex-forex was flat YoY versus 1.6% in 2Q16.

Still leading the pack but at a noticeably slower pace, is Public Bank with loan growth of 7.5% YoY, while Maybank’s group loans contracted 0.7% YoY due mainly to chunky corporate loan repayments across its key markets.

Here's more from Maybank Kim Eng:

On a QoQ basis, cumulative loans growth was 1.7% versus 1.9% end-Jun 2016, with slightly better momentum for Maybank, AMMB and AFG – the latter saw its SME loans segment resume growth after a contraction the previous quarter.

Cumulative domestic loan growth for the seven banks eased to 4.7% YoY end-Sep 2016 from 5.6% YoY end-Jun 2016. This was slightly faster than the industry’s loan growth of 4.2% YoY.

Also Read

Tighter money supply strains Indonesian banks’ margins

BNPL provider Atome Finance doubles operating income in 2023

Since you're here...

...there are many ways you can work with us to advertise your company and connect to your customers. Our team can help you dight and create an advertising campaign, in print and digital, on this website and in print magazine.

We can also organize a real life or digital event for you and find thought leader speakers as well as industry leaders, who could be your potential partners, to join the event. We also run some awards programmes which give you an opportunity to be recognized for your achievements during the year and you can join this as a participant or a sponsor.

Let us help you drive your business forward with a good partnership!

I want to download the media kit