Maybank Singapore
As a Qualifying Full Bank (QFB) with net assets of about SGD36.6 billion and over 1,400 staff, Maybank Singapore has established a significant presence in the retail and wholesale banking markets. Our network includes 27 service locations in Singapore, and we are also part of atm5 - Singapore's only shared ATM network among the six participating QFBs, with a combined reach of more than 130 touch points and 170 ATMs.
Ms Pollie Sim
CEO, Maybank Singapore
Financial Performance
Maybank Singapore contributed close to 46% of Maybank's international pre-tax profit.
PBT for the financial year ending 31 December 2012 increased 8.8% year-on-year to reach SGD430.5 million. The growth was largely due to increases in fee income from core areas such as wealth management, credit cards and other credit-related activities. Loans expanded by 10.6% to SGD27.2 billion, from the loan base at end of December 2011. Asset quality was under control, achieving a net impaired loans ratio of 0.31% as at 31 December 2012.
Achievements
In 2012, to raise overall efficiency and effectiveness, we invested in key infrastructure and strategic capabilities for our Wealth Management, Cash Management, Treasury and Trade Finance businesses.
We also employed various acquisition tools to build a stronger customer base. Improving eChannel functionalities enabled us to win more internet-savvy customers. We simultaneously capitalised on our cross-border network and resources to manage, monitor and better serve customers with international portfolios.
On a broader geographical perspective, we launched The Regional Cash Management System first in Singapore, which will be rolled out progressively to other regional markets, thus enabling the Bank to meet the growing transactional needs of regional banking clients.
Customer service excellence and corporate responsibility initiatives continued to be part of our ongoing efforts to humanise our service delivery. Our community efforts were recognised and we were accorded two awards for corporate responsibility. Enhancements to our website to improve user experience landed us the Website of the Year award. The Bank was also recognised, for the fourth consecutive time, in the area of work-life balance when we were conferred the Work-Life Excellence award.
Outlook, Challenges And Strategy
Singapore's economy is forecast to expand by 1-3% in 2013, which is below its long-term potential growth rate of 3-5%. A deepening recession in the Eurozone is expected to weigh on export-reliant industries such as electronics, manufacturing and transport & storage. On a positive note, continued growth in domestic-oriented sectors such as construction and healthcare should provide some support for the Singapore economy.
With the slowdown in economic growth, total bank lending is also likely to moderate. Demand for housing loans is anticipated to ease as the Government has introduced additional measures to curb investment purchases. Growth in trade-related loans is also expected to remain weak due to the uncertain external economic climate.
Meanwhile, the three-month Singapore interbank rate is expected to remain relatively depressed. Competition in Singapore's banking industry will continue to intensify in 2013, especially with the recent addition of two new QFBs, Bank of China and Industrial Commercial Bank of China.
A tight labour market presents staffing challenges. Singapore employers are finding it increasingly difficult to attract talent as the immigration policies are tightened to ease the country's social infrastructure. Employers need to establish a framework for deploying employees across different functional sectors, as well as realign compensation structures to adapt to the new environment.
Notwithstanding the challenging business landscape, we will strive to grow our business portfolio in the coming financial year by building new regional capabilities, enhancing staff productivity and enlarging our share in the SME and Credit Card segments.
In addition, we will continue to invest in new technologies such as mobile banking and contactless payments, as well as leveraging on social media and other e-channels to enhance our suite of product and service offerings to a widening customer base.
We are also building up an integrated banking framework (client coverage) that leverages on the Group's wide range of specialised capabilities, including FX, Islamic Banking, and Corporate Finance, to help our business clients realise their growth ambitions in the region.