Page 78 - Bank-Muamalat-Annual-Report-2021

76 BANK MUAMALAT MALAYSIA BERHAD
ABOUT US OUR LEADERSHIP OUR STRATEGY OUR PERFORMANCE

SUBSIDIARIES

Profit Before Tax (RM’000) Revenue (RM’000)
235 664 737 935 628 910 4,664 4,594 4,081 4,510 4,546

Mar 2017 Mar 2018 Mar 2019 Dec 2019 Dec 2020 Dec 2021 Mar 2018 Mar 2019 Dec 2019 Dec 2020 Dec 2021

Moving Forward
Going forward into 2022, MISB intends to leverage on the and 2018) were held right at the end of the five-year cycle.
domestic economy’s recovery, supported by the continued Malaysian politics look more polarised than ever, and thus the
expansion in global demand and higher private sector results could bring on a period of uncertainty for the nation.
expenditure, improving labour market conditions and
ongoing policy support. The country’s transition into the Russian and Ukraine War
endemic phase from 1 April 2022 signals the continuation
The current Russian and Ukraine war had sped up the
of significant investment projects in both private and public
consolidation of the market. US and NATO maintain their
sectors, which will indirectly support MISB’s growth.
stance to not participate in the war other than providing
weapons and sanctions to Russia. The chance of war
Towards this end, MISB is paying close attention to the
spreading beyond the Ukrainian border seems contained
following key determinants of the equity market in the year
for now despite impacting a highly volatile market in the
2022, and analysing the emerging threats and prospects
near term.
which could impact its business.
COVID-19 Interest rate hikes
Monetary tightening in the US has begun with a 0.25%
The COVID-19 pandemic impact seems to be less of a risk
hike in March and another 0.50% hike in May which
from 2022 onwards. Many countries plan to move to the
Federal Reserve has well communicated to the market.
endemic phase, and international borders are now gradually
Hence, markets already expect that there will be seven
opening up. No more lockdowns are expected and supply
interest hikes and interest rate in US to hit 2.75% by end
chain disruption will ease moving forward.
of 2022. Therefore, any interest hikes are unlikely to cause
General Election a shock in the financial markets. Domestically, BNM raised
OPR by 0.25% in May and further hike of 0.50% in 2022 on
The 15th Malaysian general election will be held on or improved economic conditions and inflationary pressures.
before July 2023 with expectations of market impact on the
possibility of early polls. The previous two elections (in 2013