KUALA LUMPUR: Malaysia Building Society Bhd (MBSB) is ramping up preparations to become a fully fledged banking institution in the upcoming future.
However, its president and chief executive Datuk Ahmad Zaini Othman said MBSB is not looking to apply for a banking licence at this stage.
"Our aspiration to become a bank is still on, but we have to tackle all the four major components to become a fully-fledged bank first and I'm sure that we are able to do that," he told reporters at a press conference after MBSB's 46th annual general meeting (AGM) and extraordinary general meeting (EGM) today.
According to Ahmad Zaini, the four components include beefing up MBSB's capital, managing its credit risks and operations as well as continue to implement its corporate governance plans which mirrors a financial institution.
He said there is no specific deadline for MBSB to apply for a banking licence as the decision is up to its shareholders.
The Employees Provident Fund (EPF) is MBSB's largest shareholder. On Tuesday, EPF chief executive Datuk Shahril Ridza Ridzuan said it has not applied for a banking licence.
Shahril said the non-bank financial provider is working with the Central Bank to revamp itself up to bank standards and is looking at a solution towards entering into the mainstream market.