Tuesday, October 10th, 2017
WASHINGTON, Oct 10 — Allies of President Donald Trump say they fear his feud with Republican Senator Bob Corker risks unravelling the White House tax overhaul effort and that another major legislative failure could hobble the administration for…
KUALA LUMPUR: Malayan Banking Bhd (Maybank) is aiming for a 1% growth, equivalent to RM2 billion, in its billings market share to 30% for both its debit and credit cards in the next six months.
Maybank Head of Cards, Group Community Financial Services, B.Ravintharan said the target was achievable as people’s spending and travelling were expected to escalate towards the end of the year.
“I foresee our cards billings market share, which currently stands at 29% with a value close to RM50 billion, can improve by another 1% to 30% by the next six months. People are spending and travelling more around year-end.
“The industry’s billings market share is around RM180 billion, so an incremental of 1% is equivalent to about RM2 billion” he told Bernama after launching a co-brand partnership with FC Barcelona today.
Maybank is currently the leader in the cards business in Malaysia with over 11 million debit cards and two million credit cards in circulation.
The bank commands over 20.5% share of the credit and charge card market in the country.
Ravintharan said the bank saw a growth of over 20% for debit card and growth of slightly less than 10% for credit card last year.
He said the debit card segment was expected to continue its double-digit growth next year while growth for credit card could be between 10% and 12%.
“Our target is more on increasing the billings. We want to engage with the customers and we want the customers’ (cards) to be active.
“It’s not about the number of cards, but it’s more about getting the customers to use the card, responsibly, so there will be less cash transactions at point of sales,” he said.
With regards to the co-partnership with FC Barcelona, the bank today launched the Maybank FC Barcelona Visa Signature Credit Card and Visa Debit Platinum Card for the Malaysian market.
In his speech at the launch earlier, Ravintharan said the partnership with FC Barcelona represented another key step in the bank’s consumer banking strategy to ensure that it continued to build on its strong franchise in the region by offering distinct value propositions for different market segments.
“We expect to issue 15,000 new co-branded cards in the first year of launch and hope to be able to expand this partnership to our other regional markets, where there is a demand and strong following of the FC Barcelona team,” he said.
Ravintharan said Maybank is now considered the official bank for FC Barcelona in Malaysia and the bank would also be extending similar partnership to Singapore in January 2018, and tentatively to the Philippines and Cambodia next.
Meanwhile, FC Barcelona commercial director Xavier Asensi and its legend player Gaizka Mendieta, both of whom were present at the launching event, said through the new partnership, FC Barcelona would be able to continue to increase its popularity while getting closer to its fans.
Both Maybank and FC Barcelona shared an estimate that there are approximately four million FC Barcelona fans in Malaysia and 131 million fans in Asia.
KUALA LUMPUR: Based on corporate announcements and news flow today, stocks in focus on Wednesday (October 11) may include: Malaysia Airports Holdings Bhd, Muhibbah Engineering…
LONDON, Oct 10 — Diamonds can at last be an investor’s best friend, the Singapore Diamond Investment Exchange (SDIX) said today, as it launched a new standardised form of the precious stones to rival gold ingots as a safe-haven alternative to…
KUALA LUMPUR, Oct 10 — Felda Global Ventures Holdings Bhd (FGV) shares ended 2.33 per cent or four sen higher at RM1.76 at Bursa Malaysia’s closing today on news of its Chief Executive Officer (CEO), Datuk Zakaria Arshad will be resuming his…
KUALA LUMPUR: Business sentiment among Malaysian companies has improved further for the third consecutive quarter in the fourth quarter of 2017 (Q4’17), reaching its new peak in six consecutive quarters.
According to Dun & Bradstreet (D&B) Malaysia’s Business Optimism Index (BOI) study, overall BOI climbed from +3.40 percentage points in Q3’17 to +5.52 percentage points in Q4’17. On a year-on-year (y-o-y) basis, BOI rose from +3.83 percentage points in Q4’16 to +5.52 percentage points in Q4’17.
According to D&B Malaysia, five of six indicators – volume of sales, net profits, selling price, inventory level and employment level – have climbed upwards on a quarter-on-quarter (q-o-q) basis, except for new orders.
Dun & Bradstreet (Malaysia) Sdn Bhd CEO Audrey Chia said it expects the outlook for Malaysian businesses to sign off on a relatively good note for 2017. This is largely attributed to positive growth within the construction sector as well as an increase in electronics, food and beverage manufacturing activities over the recent months.
On the domestic front, the government has a development plan in place that focuses on boosting the country’s labour productivity, skills upgrading of employees and infrastructure, which bodes well for businesses here and making Malaysia competitive in high value-added sectors.
“As an open economy, however, Malaysia is highly vulnerable to any increase in protectionism, which is a non-negligible possibility in the current anti-globalisation environment. With the acceleration in inflation rates, a slowdown in consumer spending and dampening of household sentiments will also be expected. Hence, we remain cautiously optimistic in our outlook for the rest of the year,” said Chia.
PETALING JAYA: Building management services provider AWC Bhd and the government of Malaysia have agreed to terminate a five-year contract worth RM130 million to manage the facilities of Terminal Bersepadu Selatan (TBS) in Bandar Tasik Selatan, Kuala Lumpur, on mutual grounds.
AWC’s board of directors said in a Bursa Malaysia filing, Ambang Wira Sdn Bhd (AWSB) and the government had on Oct 10, entered into a Mutual Termination Agreement (MTA) to terminate the original contract dated June 9.
In a filing dated Aug 26, the company said the commencement date for the maintenance of TBS had been deferred pending the resolution of certain operational and technical matters between the government and the existing contractor for TBS.
“The MTA is conditional that any payments made by the government to date shall be deemed as the full and final settlement of payment for the value of all work or services carried out or partially performed for the original contract by AWSB up to date. Todate, AWSB has not received any payments from the Malaysian government for the original contract, and has incurred minimal expense in relation thereto,” the board said.
The MTA will negatively impact AWC’s financial performance over the intended duration of the original contract.
However, the impact is expected to be minimal as AWSB has secured other new contracts over the last three months.
AWC’s shares dipped 0.97% to close at RM1.02 with some 111,600 shares traded. Year-to-date the stock has made gains of 7.9%.
PETALING JAYA: The Singapore Exchange (SGX) is seeking public feedback on a raft of proposed changes to SGX’s rules on securities trading and market practices.
It said in a statement that the objectives of the proposed changes include adopting a more principles-based, rather than prescriptive approach and ensuring rules remain relevant as market practices evolve.
For instance, trading members will have full flexibility to set the amount of security deposit required of a remisier after conducting a credit assessment.
“They can also negotiate the terms of their agreement with their remisiers. This eases the entry of new remisiers to the industry.”
SGX said it will no longer mandate senior management pre-approval for staff securities trading, so long measures are in place to guard against the misuse of confidential information.
“Trading representatives (TRs) engaging in their own business activities – apart from trading in securities – also no longer require SGX’s oversight; members will be responsible for ensuring that such activities do not conflict with the TR’s trading activities and compromise customers’ interest.”
SGX said requirements governing customer account opening will become less prescriptive and members are to ensure that any account opening is duly authorised.
“Management oversight of a securities broking firm is vested upon persons who are registered as approved executive directors with SGX.”
While registering of the CEO is currently practised by all members, many also register their executive directors with SGX.
“We propose to require only CEO registration as this person is ultimately responsible for the day-to-day management of the entire member firm and its activities.”
The public consultation is open till Nov 7, 2017.