Page 61 - Bank-Muamalat_Annual-Report-2023

ANNUAL REPORT 2023
OUR BUSINESS PERFORMANCE

ASB Financing

FY2023 Financing Assets: Financing Income: Total Disbursements: Net Impairment:
RM381.34 RM16.15 RM20.83 0.02%
million million million (FY2022: 0.01%)

(62.7% YoY) (55.2% YoY) (-36.2% YoY)

The Bank’s Amanah Saham Nasional Berhad (ASNB) business on product bundling and cross-selling initiatives for new
experienced negative growth in FY2023, primarily due to customers. To further support the programme, an ASB
a significant settlement from ASBZ (Special ASB Financing financing package was customised specifically for EEP clients
for Armed Forces), which matured after five years starting in and a promotional campaign rate for ASB financing was
March 2023. implemented for six months. Joint training sessions with ASNB
were also provided for sales and support staff across all regions
Despite these challenges, the ASB team actively marketed to promote over-the-counter (OTC) ASB financing.
ASB Financing to the open market, particularly through
the Bank’s Employer Empanelment Programme (EEP). ASB Although the Bank’s ASB financing faced hurdles such as
briefings were conducted for all staff under EEP companies, competitive rates from other banks and reduced market
as well as selected organisations, including PNB, PROTON, sentiment due to lower ASB dividend rates, the ASB team
LHDN, MHE, Al Rajhi Bank, PERODUA, and MODENAS. remains optimistic and intends to address these challenges
Additionally, ASB Financing was cross sold to existing by continuing to focus on promoting a saving habits and
financing customers via the Bank’s call centre and focused emphasising that ASB returns exceed deposit rates.

Ar Rahnu Financing

An alternative to conventional pawn broking, Muamalat
FY2023 Financing Total Disbursements: Pajak Gadai Islam (Islamic pawn broking or Ar-Rahnu)
Assets: RM556.06 provides instant and easy cash of up to RM1,000,000.00
RM366.92 based on Shariah principles. Provided at 68 branches
million that operate from Monday to Friday, this has been one of
million (38.6% YoY) the Bank’s most successful products since its introduction
(21.1% YoY) in 2010. In 2023, it continues to record good growth
as more Ar-Rahnu products continue to be introduced and
Financing Income: Net Impairment: services continue to improve.
RM36.46 2.37% During the year, more collaborations with gold business
(FY2022: 3.26%) players have been made to improve the marketing and
million
branding of the product. Dedicated Ar-Rahnu Specialists
(22.9% YoY) have been offered at nearly all branches as well as improved
processes such as online revaluation and online tender
system.

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