Media Statement – DFIs Merger |
| ----------------------------------------------------------------------------------------------------------------------------------------- Bank Pembangunan Malaysia Berhad (“BPMB”) and Danajamin Nasional Berhad (“Danajamin”) have received approval from Bank Negara Malaysia (“BNM”) to commence negotiations under the first phase of the Government’s proposed merger involving the country’s Development Financial Institutions (‘DFI”). The Government proposed in Budget 2020 that BPMB, Danajamin, Export-Import Bank of Malaysia Berhad (“EXIM Bank”) and Small Medium Enterprise Development Bank Malaysia Berhad (“SME Bank”) would be restructured and merged to strengthen the DFI eco-system. The merger is expected to lead to greater synergies to achieve development outcomes that would benefit all stakeholders, as well as fulfill the needs of the new economy. The restructuring plan will be implemented in two phases - the first phase involving the merger of BPMB with Danajamin, and the second phase to merge EXIM Bank and SME Bank into the earlier merged entity. A Steering Committee, led by the Ministry of Finance will oversee the overall smooth implementation of the restructuring plan. The Steering Committee consists of representatives from the relevant stakeholder ministries (namely the Ministry of Economic Affairs, Ministry of Entrepreneur Development, Ministry of International Trade and Industry), Credit Guarantee Corporation, BNM and the four DFIs. A Working Committee has also been established to support the Steering Committee in driving the implementation of the key integration aspects of the merger. The Working Committee will also provide updates to the public as and when appropriate with regards to the progress of the merger. Negotiations between BPMB and Danajamin are expected to be completed within six months from BNM’s approval to commence negotiations (December 2019). The Public Transport Fund is one of three separate funds totalling RM4.5 billion which the Ministry of Finance has mandated Bank Pembangunan to manage in the Budget 2019. This follows the Industry Digitalisation Transformation Fund and Sustainable Development Financing Fund launched in March. An efficient public transportation system is not only important for the quality of life of the population, it is also more sustainable for our planet. In Malaysia, transportation is the second highest energy consumer after electric power generation. Of this, road transportation accounts for the vast majority, or 85% of transportation emissions, with about 59% attributable to cars. The roadmap for the future is to champion the push towards the use of non-emission vehicles to reduce the global carbon footprint. “Reforming urban transport can also be a strong catalyst for Malaysia to achieve the Sustainable Development Goals set by the United Nations under Agenda 2030, a global call for action to end poverty, spur economic growth, while tackling climate change,” said Datuk Zaiton Mohd Hassan, Chairman of Bank Pembangunan.
About Bank Pembangunan Bank Pembangunan Malaysia Berhad (BPMB) was incorporated on 28 November 1973 with a role in the development of Malaysian economy by assisting entrepreneurs involved in small and medium-sized industries through the provision of various financing facilities, training and advisory services, particularly to the Bumiputera entrepreneurs. Today, BPMB is mandated to provide medium to long-term financing to the infrastructure, maritime, technology and oil & gas sectors. Through its wholly-owned subsidiary Pembangunan Leasing Corporation Sdn. Bhd. (PLC), BPMB also provides financing to small and medium-sized businesses including those involved in manufacturing, construction, supply, transportation, agriculture, hospitality and information technology. Owned by Minister of Finance Incorporated, BPMB has been accorded the highest rating ‘AAA’ by both RAM Rating Services Berhad (RAM) and Malaysia Rating Corporation Berhad (MARC). It is regulated and supervised by Bank Negara Malaysia under the Development Financial Institution Act 2002. With a combined asset value of about RM26.6 billion, the BPMB Group is well-positioned to meet the financing and business development needs of Malaysian businesses in the priority sectors. For more information, please contact: Anita Ramly |
« Back