Maybank gains from concentrating on domestic growth

The lender’s strong deposit franchise seen as an advantage if funding remained tight.

Malayan Banking Bhd (Maybank), the country's largest bank by assets, is benefiting from a re-focus to domestic growth for both corporate and consumer amid a volatile global market, Citi Investment Research said.

In a research note last Friday, Citi said the bank's strong deposit franchise was an advantage if funding remained tight, plus good fee income from transactional banking and insurance.

"Limited small and medium enterprise growth reduces non-performing loan risks, while government-linked companies link will help corporate lending and investment banking opportunities," it said.

However, for CIMB, Citi said, the bank's regional growth story was at risk.

"Its Indonesian unit, CIMB Niaga, faces stiff competition and net income margin pressure, while domestically they are behind in loan/deposit growth targets," it said.

Citi said the uncertainty over Indonesia ownership impacted CIMB more given that CIMB Niaga contributed 30 per cent of the group's pre-tax profit.

View the full story in Bernama.

Follow the link for more news on

Also Read

VPBank’s asset quality at risk amidst housing slowdown

Thailand’s Kiatnakin Phatra Bank’s loan portfolio to benefit from rising car prices

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