KUALA LUMPUR: Malaysia’s largest Islamic bank in terms of assets, Maybank Islamic Berhad, has emerged as the Asia-Pacific winner of the Banker’s Islamic Bank of the Year 2017.
It also received accolades in the Country Awards category for Malaysia.
The recognition came following what the London-based publication, The Banker, described as “(Maybank Islamic’s) set of impressive performance indicators” in 2016, coupled with a steady regional growth story.
In a media statement to announce the winners of its annual Islamic Bank of the Year Awards 2017, the financial publication acknowledged Maybank Islamic’s leadership in Malaysia’s Islamic finance market where it claims top position among Shariah-compliant financiers in the country.
By total assets, total financing and total funding, including deposits and investment accounts, Maybank Islamic’s dominance has translated into a strong set of financial results, it noted.
“Tier 1 capital and total Shariah-compliant assets also enjoyed notable growth, climbing by 12 per cent and 16 per cent, respectively. Maybank Islamic’s return on equity for the year was 15.4 per cent, while its cost-to-income ratio was a respectable 36 per cent and non-performing financing was just 0.8 per cent.”
For the financial year ended Dec 31, 2016, Maybank Islamic’s net profit rose 10 per cent to RM1.34 billion and total assets grew 16 per cent to RM181.8 billion.
The bank’s steady growth pace in Singapore and Indonesia also contributed to its recognition as the best in Asia Pacific.
In Singapore, Shariah assets experienced 73 per cent growth in total between 2010 and 2016, with total financing growing by 61 per cent year-on-year last year; while in Indonesia, financing and deposit grew by 61 per cent and 71 per cent, respectively, in 2016, as profit before tax jumped by 62 per cent over the same period.
“Though the collective contributions of these two markets to Maybank Islamic’s total assets are still small, at just 6.4 per cent, their growth trajectory remains overwhelmingly positive,” said The Banker.
Maybank Islamic chief executive officer Datuk Mohamed Rafique Merican credited the achievements to the bank’s dedicated employees and sound risk management practices across the Maybank Group.
“We are honoured to be recognised as the Islamic Bank of the Year not just for Malaysia, but the Asia Pacific. This is testimony to our commitment and capability to effectively leverage on our position as the leading Islamic bank in the region to deliver value to our customers and communities across the region and beyond,” he said.
“Going forward, we intend to further enhance our global brand visibility, while continuing to deepen our existing regional presence, and taking a more leading role in promoting Islamic Social Finance via our Zakat and Waqf initiatives, in line with Maybank Group’s mission of humanising financial services,” said Mohamed Rafique.