Page 28 - Bank-Muamalat-AR2020

26 BANK MUAMALAT MALAYSIA BERHAD About Us Our Leadership Our Strategy
ANNUAL REPORT FY2020

CHIEF EXECUTIVE OFFICER’S

STATEMENT

Disciplined Balance Sheet Management Digital Transformation

We aimed to optimise balance sheet expansion while We aimed to create a digital economy through various
maximising returns, and implemented an intensive recovery collaborations and automate internal processes for smoother
plan to improve asset quality. operations and services.

What we did What we did
• Continued to focus on current and savings account • Actively pursued collaborations on digital platforms.
(“CASA”) growth as source of low cost deposits.
• Enhanced structure and process flow for SME approvals.
• Collaborated with government agencies, associations and • Provided ease of usage and simplify financing application
cooperatives.
process through digital innovation.
• Continuous monitoring of market sentiments to assess • Improved services and innovated products via digital
availability of liquidity throughout the crisis to ensure platform.
ample demand and supply.

• Launched aggressive recovery plans especially for accounts
in arrears. Achievements
• Performed Rescheduling and Restructuring of accounts that • Established an SME helpdesk at all branches with regional
were affected by COVID-19 and MCO. and branch managers appointed as contact points for
SMEs. This has sped up SME financing approval to within
Achievements three (3) days.
• Launched the Muamalat Application Platform (“MAP”)
• CASA recorded 31.5% y-o-y growth to register RM7.76 in October 2020. This is a financing application platform
billion as at end of December 2020. that allows customers to apply for financing online as
well as monitor and manage their finances anytime and
• Gross impaired financing (“GIF”) improved from 1.31% in from anywhere. Through MAP, more than 500 financing
FY2019 to 1.07% in FY2020.
applications have been approved.
• Introduced the Ar-Rahnu online auction in July 2020 -
a first of its kind in the Ar-Rahnu industry. The online
auction uses an open tender system to public bidders where
unredeemed gold items will be sold to the public and the
surplus returned to customers if the sale price exceeds
the remaining debt. A win-win solution that significantly
reduced RM3.8 million of the Bank’s Ar-Rahnu impairment
in FY2020.
• Introduced e-Jamin, an online bail payment service to
facilitate and expedite bail transactions for all courts. The
e-Jamin channel contributed 50% of total Wang Jaminan
Mahkamah collected for the year.

• Collaborated with US-based Shariah compliant digital
investment platform, Wahed Inc. to gain a competitive edge
in achieving the perfect balance in customer relationship
management and wealth planning.

• The Bank’s Trade Finance System was enhanced with
integration to the core banking system.