Recommend Us | About Us | Back to

News | Financial Calculator | Home Financing | Archived News |


  Welcome to Bernama Banking & Finance Special Page     
Net Financing Growth Remains Supportive Of Economic Activity, Says BNM
Last update: 29/09/2017

KUALA LUMPUR, Sept 29 (Bernama) -- The outstanding†loan growth of the banking system increased to 5.8 per cent in August 2017, compared with 5.6 per cent in July,†driven by businesses†with an expansion in the construction, and finance, insurance and business†services sectors.

In its Monthly Highlights†August 2017 released here, Bank Negara†Malaysia (BNM) said the†net financing growth was sustained at 6.6 per cent in August as against†6.8 in the previous month while†growth in net outstanding issuances of corporate bonds moderated to 9.0 per cent from 10.6 per cent previously.

The central bank said asset quality of the banking system remained sound with the†level of impaired loans remaining†stable at 1.2 per cent of total loans net of†individual impairment provisions.

It added banks†continued to maintain sufficient buffers for potential credit losses, with the loan loss coverage ratio currently at 81.4 per cent.

Meanwhile,†in August, domestic financial markets were mainly supported by positive sentiments arising from both external and domestic factors.

"Globally, concerns on softening inflation in the US led to a broad†weakening of the US dollar and increased appetite for regional financial†assets, including those in Malaysia.

"While domestically, better-than-expected Gross Domestic Product in the second quarter of 2017 and corporate earnings provided additional support to sentiments," said BNM.

However, investors remained cautious during the month amidst escalating geopolitical tensions, it added.

On exports, BNM†said the†growth in†exports accelerated to 30.9 per cent in July 2017 (June: 9.9%), †driven by electric & electronics,†petroleum products and†chemicals & chemical products.

"Moving forward, export growth will remain supported by the favourable global growth prospects," it said.



GST ends on AIBIM Bank services & products
RHB Islamic Bank CEO is new AIBIM President

Islamic Financial Institutions should adopt IIFM standards

Zero GST for life, general insurance and Takaful products
Takaful Malaysia converts composite licence to single licences

Taiwan's Shinkong Insurance company gets excellent ratings

US 3.9960/9990
S'pore 2.9580/9611
100 Yen 3.6147/6177
Sterling 5.2935/2979
Euro 4.6342/6384
Source: Bank Negara Malaysia

Starting April the banks have imposed a 50 sen processing fee on top of the 15 sen stamp duty on each cheque. The fee also applies to those applying for a Bankerís Cheque, Bank Draft and Cashierís Order. Do you think this additional charge is justified?

  Main | News | Insurance

© 2018 BERNAMA. All Rights Reserved. Disclaimer | Privacy Policy| Security Policy
This material may not be published, broadcast, rewritten or redistributed in any form except with the prior written permission of BERNAMA.
Best viewed in Firefox 8.0 & Internet Explorer 8.0 with 1024 x 768 resolution