Maybank sees slight drop in industry bank loans this year

Maybank posted its highest ever net profit of RM8.11 billion for the financial year 2018.

KUALA LUMPUR: Maybank chief executive officer Abdul Farid Alias today said he expected a slight drop in industry bank loans from 5.6% in 2018 to 5.1% this year.

“We expect the domestic sector to stay robust but external challenges remain with the trade spat between the United States and China, and the Brexit issue,” he said after announcing Maybank’s 2018 full year financial results.

Maybank, the biggest banking group in the country, posted a net profit of RM8.11 billion for the financial year 2018, its highest profit ever.

Group loans expanded by 4.8% for the year, while the cost to income ratio (CIR) was recorded at 47.4%, which was within the bank’s forecast of 48%.

For the year, Maybank declared a total dividend of 57 sen per share, which translated into a yield of 6%.

The bank said it expected Bank Negara Malaysia to keep the overnight policy rate (OPR) unchanged for 2019 at 3.25%. It expected the dollar to average at RM4.10 for 2019 compared to RM4.04 in 2018.