A pedestrian walks past a Maybank branch in Jalan Medan Tuanku, Kuala Lumpur January 4, 2018. — Picture by Firdaus Latif
“Given this scenario, RAM Ratings expects some downside risks to its five per cent loan growth projection for 2019. The sector’s NIM is also set to narrow further following the 25 basis point overnight policy rate cut in May 2019,” she said in a statement today. “The eight anchor banks’ average credit cost ratio remained benign at 25 bps in the first quarter this year , even after excluding a one-off recovery from debt sale by a particular institution.Wong added that the Malaysian banking system’s year-on-year loan growth came in at a lacklustre 4.5 per cent in April 2019, marking the fifth consecutive month of the downtrend since November 2018.