Revenue, depositors boost for Tabung Haji in first quarter of 2019

PETALING JAYA: Pilgrims fund Lembaga Tabung Haji (TH) today declared its recent restructuring exercise a success, citing revenue as well as close to 100,000 new deposits in the first three months of this year.

“As an institution to assist Muslims in their savings and performance of the haj, services for the management of deposits have been smooth without any disruption this quarter,” the fund said in a statement, more than a month after the government announced its lowest ever dividend payout to depositors.

It said it recorded revenue of RM623 million and a net profit of RM440 million, adding that the value of its assets surpassed its liabilities by some RM1.2 billion.

It said it expects more revenue in the months to come following the distribution of Islamic bonds of sukuk as recently announced by the government.

It added that some 91,000 people had opened new accounts with the fund between January and March this year.

Under the restructuring exercise after a shake-up in the fund by the Pakatan Harapan government, RM19.9 billion worth of assets was transferred to a government special purpose vehicle.

The government also said it would allocate RM500 million next year and subsequently RM1.73 billion annually until all the sukuk under the restructuring plan has been redeemed.

The government has blamed poor governance and mismanagement under the previous administration for TH’s woes, saying accounts were manipulated in order to declare high dividends despite a growing deficit.

On April 5, Minister in the Prime Minister’s Department Mujahid Yusof Rawa announced a dividend of 1.25% amounting to RM913 million for the financial year 2018, a sharp drop from the 6.25% dividend paid out for the previous year.