“Islamic Banking institutions have not only grown in number but have also been at the forefront of embracing digital technologies to enhance their services and reach a wider customer base,” reported IBS Intelligence on the matter.

“This digitisation drive has not only streamlined operations but has also enriched customer experiences, fostering financial inclusion and innovation within the Islamic Finance sector,” it added further.

In fact, as per the reports, AEON Bank is all set to become Malaysia’s first Islamic digital bank. The subsidiary of AEON Credit Service and AEON Financial Service received approval from Bank Negara Malaysia and the Minister of Finance in January 2024 to initiate its operations in the Southeast Asian nation.

Through the digital route, AEON Bank is looking to expand its Islamic Finance-related operations, while enhancing its solutions for both retail and wholesale members, encompassing ecosystem partners like auto dealers, merchants, tenants and suppliers.

As AEON Bank adds a glorious chapter to Malaysia’s financial landscape, through today’s article, let’s meet some of the key players of Southeast Asia’s growing Islamic Banking ecosystem.

AmBank Islamic Berhad

AmBank Islamic Berhad (AmBank Islamic) is known as the Islamic Banking arm of AmBank Group. The division offers a comprehensive range of Shariah-compliant retail and non-retail banking products and services, including treasury and trade solutions. The bank, which also provides Islamic fund management solutions, enhances its digital banking experience through the AmOnline app.

Recently, the venture hit the headlines by tying up with the Northern Corridor Implementation Authority (NCIA) to facilitate business seed capital distribution of RM200,000 to the latter’s “empowerNCER” entrepreneurs in the Northern Corridor Economic Region (NCER) via the iTEKAD programme.

The iTEKAD programme, initiated by Bank Negara Malaysia (BNM) in 2020, aims to empower micro-entrepreneurs to generate sustainable income for these individuals in line with the goals of the Southeast Asian nation’s “Budget 2024.”

Alliance Bank Malaysia Berhad

Alliance Bank and its subsidiary Alliance Islamic Bank Berhad, is another dynamic and integrated financial services group leading Malaysia’s assent as South East Asia’s “Islamic Banking Powerhouse.” The venture offers digital banking and financial solutions through its consumer banking, SME banking, corporate and commercial banking, and Islamic Banking businesses.

The lending body has established fame for providing fast, simple and responsive banking services that meet the needs of its customers via multi-pronged delivery channels, including retail branches, “Privilege Banking Centres” and “Business Centres” at branches located nationwide, apart from mobile and internet banking.

The venture’s share price and its earnings per share (EPS) have grown at 16% per year over the last three years, thereby sending the Alliance Bank’s share price higher. Its shareholders have received returns of 10% over the last twelve months (even including dividends). The venture, the smallest banking group by asset size in Malaysia, is also poised to see healthy loan growth in 2024, backed by the small and medium enterprises (SME) and commercial segments.

Bank Muamalat Malaysia Berhad

Bank Muamalat offers its customers a broad range of services, meeting the needs of both individuals and business institutions.

Recently the bank hit the headlines by entering into a multi-year collaboration with Google Cloud to accelerate its transformation into a “Digital Islamic Bank.” Both parties will leverage Google Cloud’s integrated capabilities in Bank Muamalat’s existing infrastructure, while exploring opportunities in data analytics, online security, and generative AI to deliver personalised and inclusive digital banking services to Malaysians.

Bank Muamalat’s holistic cloud transformation will also encompass the adoption of solutions from Mambu, a Google Cloud industry solutions partner, while underscoring its commitment towards delivering Shariah-compliant digital banking solutions.

Maybank Islamic Berhad

Maybank Islamic Berhad, the Islamic Banking arm of the Maybank Group, is another leading provider of Islamic financial products and services. The venture is spearheading the broader Islamic Banking and finance industry through cross-border businesses in retail and investment banking and the development of new, innovative and competitive propositions.

Maybank Islamic Berhad, as of March 2024, is offering a wide range of products and services across more than 354 of its touch points in Malaysia, as well as international operations in Dubai, Indonesia, Singapore, Hong Kong, London and Malaysian federal territory of Labuan.

Maybank Islamic Berhad has also put the Southeast Asian country in a prominent place, when it comes to the discussion of Malaysia being the “Islamic Banking Powerhouse,” as the venture has carved out a special place for itself within the ASEAN bloc.

In January 2024, Maybank Islamic Berhad launched the Shariah-compliant portfolio financing solution, thereby becoming the first Malaysia-based Islamic bank to do so.

Building upon the momentum further, in February 2024, the venture joined hands with Telekom Malaysia (TM) to deliver Malaysia’s first Islamic Banking-As-A-Service (BAAS) solution powered by 5G, by launching the “Go Niaga” mobile business banking bundle.

The post Malaysia’s assent as Islamic Banking Powerhouse: Meet the ventures leading the charge appeared first on International Finance.

Maybank Islamic Berhad is the largest islamic bank by asset in Asean.

Chief executive officer Datuk Mohamed Rafique Merican said that the company would play an active role in boosting trade, in addition to flow of funds between the two regions.

“For instance, Malaysia purchases oil and gas or other products from GCC and vice versa.

“With that, we can increase the trade flows not only between the two countries, but also between the regions,” he said.

Maybank Islamic Berhad has a strong presence in Islamic finance in  Malaysia, Indonesia, and Singapore. Last year, it announced that it might receive regulatory approvals to establish its Dubai branch in the first half of 2019.

“For a developed nation like Singapore, where there is no huge demand for new infrastructure or public transport, the growth rate (usually) would be slower, or grow in tandem with the country’s GDP (gross domestic product).

“Whereas in countries like Indonesia, where there is still much more to be done, the Islamic financing might grow by 1.5 times or a multiple more than that of GDP growth, as the country still needs to invest in its infrastructure or housing projects,” he said.

Maybank Islamic Berhad  will continue to look for more opportunities to arrange for sukuk, in Malaysia, or in ASEAN.

The post Maybank to establish link between GCC, ASEAN for islamic banking appeared first on International Finance.

July 07, 2013: International Finance Magazine (IFM), the London based online magazine with a viewership in over 150 countries announced the financial awards 2013 for Malaysia. The recipients have been chosen after a rigorous selection process by the internal tem as well as key inputs from an external agency. International Finance Magazine honors the achievers in the banking industry who have excelled in their areas of expertise and made contributions through activities of note. Apart from financial performances the award also gives cognizance on the contributions made in corporate social responsibility which include charitable activities, better corporate governance and other achievements that impact the global finance community. The winners will be honored in the vibrant and mesmerizing city of Dubai, in December, later this year.

The recipients of the financial wards 2013 for Malaysia are:

Maybank Islamic Berhad

Category: Best Islamic Bank

A subsidiary of Maybank, it is currently the largest Islamic banking player in the Asia Pacific region. Maybank Islamic has its presence in 7 countries in the world which include Malaysia, Singapore, Indonesia, U.K, Hong Kong, Bahrain and Philippines, it was also the largest issuer of single Islamic junior sukuk of RM1 million for regulatory capital purposes.

AmInvest

Category: Best Islamic Asset Management Company and Best Sukuk House

AmInvest is a leading fund management house from Malaysia with global fund management experience and has approximately USD 11 billion in assets under management (AUM). AmInvest manages mutual funds and institutional mandates for pension providers, sovereign funds, private bankers, takaful and other financial institutions. It is also a multiple award winning fund house with a track record spanning more than three decades which includes the Best Overall fund group award by The Edge Lipper Malaysia fund Awards 2013.

Commenting on the awards, Datin Maznah Mahbob, Chief Executive Officer of AmInvest said, “We are truly honored to receive these awards which validate our Shariah-compliant expertise and capabilities built over three decades within the industry.  Our focus has always been to provide global best investment solutions that cater to the investment needs of global investors, especially in Asian equities and global sukuk. As we expand our global footprint, the acknowledgments of our team’s hard work and commitment to excellence through these awards will enhance our proven track record in consistently creating value for our clients.”

Prudential BSN Takaful Berhad

Category: Best Takaful provider

Prudential BSN Takaful Berhad was formed from the partnership between Prudential Plc and Bank Simpanan Nasional. In 2006 PruBSN received approval from Bank Negara to operate a Takaful business. It is a leader in providing innovative and dynamic Takaful solutions within the Takaful industry in Malaysia.

IBFIM

Category: Best Islamic Finance Advisor

IBFIM, is an industry owned institute which is dedicated to producing well trained, high competence personnel and executives with the required talent in the Islamic finance industry. It offers advisory services in Shariah advisory and audit, business advisory and development and to increase the pool of bankers and takaful operators.

Bank Islam Malaysia Berhad

Category: Most Innovative Islamic Bank

The bank provides corporate banking services which include trade financing, asset based financing, treasury services, corporate investment banking and other services. It also provides wealth management and electronic banking services as part of its personal banking services.

Managing Director of Bank Islam Malaysia Berhad, Dato’ Sri Zukri Samad said “Bank Islam is honored to be recognised as the Most Innovative Islamic Bank in Malaysia for the year 2013 by International Financial Magazine, UK. The achievement is an important milestone for the Bank, and another step in the right direction for us to become a major regional player. Winning the award vindicates our long-held belief that innovation is the key to the Bank’s sustainability and its rising relevance to the industry. It is also a reflection of our ‘Pioneering Change’ spirit as we seek to differentiate ourselves within the increasingly competitive Islamic Banking industry, and for that I must thank the Bank’s entire workforce for their efforts in making this happen.”

Maa Takaful

Category: Best Takaful Product

A joint venture between MAA Group Berhad and Solidarity Company BSC it offers a wide range of takaful products such as takaful link, takaful link education, takfulink haj, group term takaful etc. MAAG holds 75 percent equity and Solidarity holds 25 percent equity in the company.

OCBC Bank

Category: Best Corporate Internet Bank

OCBC bank was formed after the merger of three local banks, the oldest of which was founded in 1912. It is the second largest financial services group in Southeast Asia by assets and one of the highly rated banks with an Aa1 rating from Moody’s. It is a recipient of many awards such as best Islamic project finance, trade finance by leading magazines and agencies. The bank provides internet banking services such as online banking, phone banking and other services such as telegraphic transfer and premier banking services.

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