Latest news with #Affin
Borneo Post
6 days ago
- Business
- Borneo Post
Affin, Chemsain forge ESG MOU to empower SMEs
KUALA LUMPUR (July 24): Affin Group, in strategic collaboration with Sarawak's Chemsain Sustainability Sdn Bhd (Chemsain), has unveiled the Greenhouse Gases Implementer Programme (sustainability programme) during the Affin SME BizChat 2025, a flagship event aimed at empowering SMEs through the integration of environmental, social, and governance (ESG) principles. Sponsored by Credit Guarantee Corporation Malaysia Bhd (CGC) and Generali Life Insurance Malaysia Berhad, the event carried the theme 'ESG for SMEs: A Practical Approach', underscoring Affin's commitment to sustainable banking and SME development in Malaysia. The Greenhouse Gases Implementer Programme (Sustainability Programme) is a pioneering initiative aimed at equipping SMEs with the skills and knowledge to adopt internationally recognised Greenhouse Gas (GHG) Protocol Corporate Standards. It will include training for Certificates of Competency in ISO 14064-1 and ISO 14064-2, and prepare individuals to become certified GHG Practitioners, with a strong focus on developing Scope 1 and Scope 2 corporate GHG baselines. The training will be conducted by Chemsain and TÜV SÜD, with successful participants receiving internationally recognised certification accredited by TÜV SÜD, a globally respected certification body. Affin and Chemsain signed a memorandum of understanding (MoU) in July 2024 during the inaugural Affin SME BizChat held in Kuching, Sarawak. 'At Affin, we remain dedicated to encouraging and supporting SMEs in transforming their businesses into low-carbon operations by adopting sustainable practices, in line with our AX28 Plan's strategic pillar of responsible banking with impact,' said Datuk Paduka Syed Mashafuddin Syed Badarudin, chief executive officer of Affin Islamic Bank. 'Our collaboration with Chemsain and CGC reflects our commitment to helping SMEs embrace ESG principles and transition toward a greener, more resilient future.' Affin celebrates several recent milestones that reflect the Group's continued growth and unwavering commitment to excellence. Notably, Affin Bank was recently upgraded from an 'A' to 'AA' rating in the Morgan Stanley Capital International (MSCI) ESG ratings. This recognition, published in MSCI's latest ESG ratings report, highlights significant improvements in the Group's corporate governance practices, including enhanced board oversight, accountability, and transparency, aligned with global best practices. The group was also honoured with the Life Below Water and Life On Land Award (Champion) at the prestigious ABM 50th Anniversary Celebration CSR Excellence Awards 2024. The award recognised Affin's outstanding Corporate Social Responsibility (CSR) initiatives, particularly its support for the cleaning and rehabilitation of the Klang River through the operation and maintenance of Interceptor 002. In addition, Affin was recently named Bank of the Year – ESG Champion at the 10th Sustainability and CSR Malaysia Awards 2025, further affirming the Group's commitment to Responsible Banking With Impact. These accolades reflect the group's unwavering dedication to environmental stewardship and the well-being of the communities it serves.
New Straits Times
6 days ago
- Automotive
- New Straits Times
Affin offers special access to Aston Martin under new partnership
KUALA LUMPUR: Affin Group's high-net-worth customers can now enjoy exclusive pricing on Aston Martin's luxury vehicles and flexible financing of up to nine years, under a new partnership with Aston Martin Kuala Lumpur. Launched in conjunction with Affin's 50th anniversary, the offer includes selected models such as the newly launched DB12 Super Grand Tourer and the high-performance DBX707 SUV. It comes with tailored loan solutions offering margins of up to 90 per cent, making Aston Martin ownership more accessible than ever for Malaysia's discerning clientele. Affin president and group chief executive officer Datuk Wan Razly Abdullah said the partnership reflects the bank's ambition to go beyond traditional financial services. "As we celebrate this golden milestone, we are proud to go beyond traditional banking by delivering moments that resonate, inspire, and elevate," he said. "This first-of-its-kind partnership in Malaysia unites two iconic brands in a shared pursuit of distinction, offering bespoke lifestyle experiences tailored for the nation's most discerning clientele." The initiative also aligns with Affin's Axelerate 2028 strategy, which emphasises unrivalled customer service and meaningful engagements, especially for the group's ultra-high-net-worth customer segment. Aston Martin Kuala Lumpur general manager Chris Chia said the collaboration represents a reimagining of luxury ownership in Malaysia. "This collaboration redefines luxury mobility in the region, blending Affin's financial acumen with the timeless heritage of the British marque and offering a seamless journey towards extraordinary ownership," he said. To mark the start of the partnership, a flag-off ceremony was held today at Menara Affin, ahead of the curated three-day drive experience titled "An Island Escape with Aston Martin." The journey will see Aston Martin owners and selected Affin Diventium customers travel in style to the luxurious Pangkor Laut Resort, an experience designed to reflect the elegance, performance, and lifestyle that come with owning an Aston Martin.
The Star
22-07-2025
- Business
- The Star
Deposit costs to buoy Affin Bank
HLIB Research said Affin's loan pipeline remains robust at about RM9bil. PETALING JAYA: Affin Bank Bhd 's net interest income (NIM) is expected to remain resilient in the lender's upcoming second quarter (2Q25) earnings announcement, analysts say. Affin's NIM is expected to be underpinned by a solid loan base, said Hong Leong Investment Bank Research (HLIB Research). Despite some churn, the research house said Affin's loan pipeline remains robust at about RM9bil. 'Concurrently, 2Q25 NIM is expected to remain stable sequentially as proactive cost of funds optimisation efforts are set to largely offset any asset yield pressure from loan competition. 'Meanwhile, with the yields for 10-year Malaysian Government Securities currently still below 3.5%, there's significant room for Affin to capitalise on favourable trading opportunities,' HLIB Research said in a report. HLIB Research also expects the bank's gross credit cost to remain stable, supported by steady asset quality. Additionally, improved recovery momentum should help keep net credit costs within single digits for this financial year (FY25). 'We maintain our 'buy' rating on Affin, with an unchanged target price of RM3, implying a 0.60 time FY26 price-to-book value. 'We believe the bank is on the cusp of a notable enhancement in profitability, primarily driven by a fundamental shift in its funding mix, alongside a robust loan pipeline and enhanced operational efficiencies, which are set to drive return on equity.' The research house said while sector-wide asset yields have gradually declined, Affin's primary challenge and significant opportunity lie in managing its cost of deposits. It said liquidity following the cut in the Statutory Reserve Requirement could partially offset the impact of the recent 25 basis points (bps) cut in the overnight policy rate (OPR) . Deposit competition is easing and Affin is expected to benefit from an increase in low-cost current account and savings account deposits, driven by inflows from Sarawak, the bank's major shareholder. This is estimated at around RM130mil per month by 3Q25. According to HLIB Research, this allows the bank to shift from costly promotional rates for deposits to lower-cost payroll-based accounts, helping build a more stable and cheaper funding base. 'Interestingly, our tracker on retail fixed deposit (FD) promotional rates showed that after the 25bps OPR cut on July 9, Affin aggressively slashed its FD promotional rates by between 35bps and 50bps, whereas peers only cut up to 25bps. 'This steeper reduction suggests a deliberate strategy, likely driven by the anticipation of cheaper funding sources coming online, which enables Affin to reduce reliance on higher-cost deposits,' the research house said.
New Straits Times
22-07-2025
- Business
- New Straits Times
HLIB sees profit boost ahead for Affin Bank
KUALA LUMPUR: Hong Leong Investment Bank Bhd (HLIB) estimates Affin Bank Bhd will see a notable improvement in profitability, driven by a strategic shift in its funding mix, a strong loan pipeline, and enhanced operational efficiencies. In a note today, the firm maintained its "Buy" call on the bank with an unchanged target price of RM3.00, implying a 0.60 times financial year 2026 (FY26) price-to-book value. "While sector-wide asset yields have gradually declined, Affin's primary challenge and significant opportunity lie in managing its cost of deposits. "We believe multiple levers are now in place to support net interest margin (NIM), including the statutory reserve requirement by Bank Negara Malaysia, partially offering the impact of the 25 basis points Overnight Policy Rate cut. "The bank also slashed its fixed deposit promotional rates by 35 to 50 basis points, more than its peers. This steeper reduction suggests a deliberate strategy, likely driven by the anticipation of cheaper funding sources," the firm said. HLIB also noted that the inflow of low-cost current account and savings account (CASA) funds, especially from Sarawak government-linked companies and upcoming civil servant payroll accounts, has positioned Affin to reduce its reliance on expensive funding. "Affin has been actively refreshing its digital offerings, including its recently launched AffinAlwaysX app for retail and revamped AFFINMax mobile app for businesses, both of which should enhance product and CASA stickiness," it added. HLIB said that despite peers' cautious stance, the market may be underpricing the bank's return on equity inflection point. "In the second quarter of 2025, Affin's net interest income is expected to hold steady, supported by a strong loan base and a stable sequential NIM. "The bank's loan pipeline remains strong at RM9 billion, while proactive cost-of-funds optimisation efforts are likely to offset asset yield pressure," it said. Meanwhile, with the 10-year Malaysian Government Securities yields currently still trading below 3.5 per cent, HLIB sees there is significant room for Affin to capitalise on favourable trades. "Given stable asset quality, we expect the improved recovery momentum should keep net credit cost in the single digits for FY25. "Overall, HLIB sees upside potential in Affin's risk-reward profile, particularly given the strategic backing from the Sarawak government. "Further upside largely hinges on tangible benefits emerging from the Sarawak government's strategic involvement," it added.
The Star
09-07-2025
- Business
- The Star
Affin, Alliance Bank to cut lending and deposit rates after OPR reduction
KUALA LUMPUR: Affin Bank Bhd , Affin Islamic Bank Bhd, and Affin Hwang Investment Bank will lower their loan and financing reference rates by 25 basis points (0.25%), following Bank Negara's cut in the Overnight Policy Rate (OPR) from 3% to 2.75% on July 9. In a statement, Affin said the revised rates will take effect on July 11. Affin said the statutory base rate (SBR) will be reduced from 3.00% per annum to 2.75%, while the base rate (BR) will be revised from 3.95% to 3.70%. The base lending rate (BLR) and base financing rate (BFR) will be lowered from 6.81% to 6.56% per annum. In line with the revision, Affin Bank's fixed deposit and Affin Islamic's Term Deposit-i Board Rates will also be adjusted downward, effective July 11. Meanwhile, Alliance Bank Malaysia Bhd and Alliance Islamic Bank Bhd will reduce their SBR by 25 basis points to 2.75% per annum to mirror the OPR effective July 15. Alliance Bank and Alliance Islamic Bank will reduce their BR by 25 basis points, from 3.82% to 3.57% per annum, while the BLR and BFR will be revised from 6.67% to 6.42% per annum. The rate adjustments are in line with Bank Negara Malaysia's Reference Rate Framework, which took effect on Aug 1, 2022. Under the framework, the SBR is used as the common reference rate for all new retail floating-rate loans and financing, and is linked solely to the OPR. Fixed deposit rates will also be adjusted downward on the same date.
