BFM Podcast

Competition Eases for Banking Sector

Tan KW
Publish date: Fri, 21 Oct 2016, 12:50 PM

Loh Jia Ying, Equity Analyst, Affin Hwang Capital

21-Oct-16 12:25

 

Loan growth is still lagging despite the recent OPR cut by Bank Negara - it grew marginally 0.3% MoM and is expected to remain muted. Competition for deposits will be less intense this year, since the introduction of the Liquidity Coverage Ratio (LCR) last year with most banks already in compliance. Budget 2017 is expected to remain as 'people-friendly' as possible which could lead to increased consumption & possible higher lending. 

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