PETALING JAYA: Malaysia Building Society Bhd (MBSB) aims for loan growth of 8-9 per cent this year compared to 12 per cent in 2014, on expectations of a more challenging financial and economic landscape than last year.
This year, retail and corporate loans remained the key driver of MBSB’s loan growth, its president/chief executive officer Datuk Ahmad Zaini Othman said.
“We have also embarked on plantation and industrial equipment financing to expand our corporate portfolio.
“These two new areas are quite stable and safe,” he told reporters at the signing ceremony for loan facilities between MBSB and China Railway Engineering Corporation (M) Sdn Bhd (CREC) here today.
He said the company has recorded RM4.8 billion in financing approvals for corporate mortgage and property development financing.
It encompasses several key property developments and the government’s private initiative projects, including the financing for education hubs and campuses in the country.
At the event today, MBSB agreed to provide an Islamic financing facility of RM476 million to CREC for the development of the D’Rapport Residence in Ampang, Kuala Lumpur.
Earlier, Acmar Group inked a contract with CREC and Bismark Construction & Engineering Sdn Bhd to appoint them as main contractors for the development of the D’Rapport Residence project worth RM1.065 billion.
Ahmad Zaini said MBSB would continue to support the country’s housing and residential development by providing financing for construction projects of between RM60 million and RM80 million.
In another development, he said the company would re-look its plan to be a commercial bank in one or two years, after talks on the proposed merger with CIMB Group Holdings Bhd and RHB Capital Bhd were aborted recently.
“Maybe in one or two years we will look at other options. This time around, don’t know yet, let the dust settle,” he said, adding that the company has learnt a lot from the whole merger exercise.
– BERNAMA
MI MI WGM 11/02/2015 18-36ST