Top Banking Companies in Malaysia

The banking industry in Malaysia has been a key driver of the country's economic growth and development, contributing significantly to the nation's GDP and employment. As of 2022, the industry has generated an estimated RM 71 billion in revenue, with over 130,000 people employed in the sector. In this article, we will explore the key statistics, growth factors, trends, challenges, and future outlook of the banking industry in Malaysia.

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CompanyHeadcountContactDescriptionDecision Maker
BANK OCBC NISP6,276 +62 1 500 999

Bank OCBC NISP (formerly known as Bank NISP) is the fourth oldest bank in Indonesia, which was founded in April 4th 1941 in Bandung under the name of NV Nederlandsch Indische Spaar En Deposito Bank.Bank OCBC NISP then grown to be a solid and dependable bank, especially in providing service for small business segments. It officially became a commercial bank in 1967, Foreign exchange bank in 1990 and public corporate in Indonesia Stock Exchange in 1994.In the end of 1990, Bank OCBC NISP managed to pass the Asia monetary crisis and the fall of banking industry without any recapitalization obligation aid from the government. Bank OCBC NISP became one of the first few banks to resume lending during the crisis. This initiative enabled the Bank to note a high growth.Bank OCBC NISP good reputation and its promising growth has attracted the interest of International Finance Corporation (IFC), a part of World Bank Group, which then became a shareholder in 2001-2010 and from OCBC Singapore which then became the shareholder Bank OCBC NISP. OCBC Singapore finally became the stakeholder after going through several acquisitions and tender offers since 2004. OCBC Singapore Bank currently holds 85,06% of the stock in OCBC NISP.With the support from OCBC Bank-Singapore, OCBC NISP has implemented agressive programmes to strengthen the infrastructure, human resources, information and technology, as well as office networking. This programme was the foundation of the relocation of the main office of OCBC NISP Tower to the central Jakarta that enables OCBC NISP Bank to gain access to the business centre in Indonesia.Bank OCBC NISP currently employs more than 6,500 employees. That number spreads over 330 branch offices. With high motivation, Bank OCBC NISP is ready to serve the customers who are in 59 cities in Indonesia.

CREDIT SUISSE49,648 +65 6212 2000

Credit Suisse is a leading global wealth manager with strong investment banking capabilities. Headquartered in Zurich, Switzerland, our operation has a global reach and extends to about 50 countries worldwide across mature and emerging markets with more than 45,000 employees from over 150 different nations.We partner across countries, divisions and regions to deliver holistic financial solutions to our clients, including innovative products and specially tailored advice, aligned to our high ethical standards. We strive for quality and excellence in our work and professional relationships, recognizing and rewarding extraordinary performance among our employees and providing opportunities for internal mobility, dedicated training and leadership. As a global and inclusive community, we benefit from a diverse range of perspectives to create value and drive results for our clients, shareholders and communities. Our values are brought to life through the entrepreneurial spirit of all within our network. We are Credit Suisse.Social Media Disclaimer and guidelines: http://bit.ly/2KCQhO6

BANGKOK BANK3,643 +65 6410 0400

Discover Bangkok Bank – Thailand’s largest commercial bank and one of the leading commercial banks in Southeast Asia. A pioneer bank with long progress of the country. Bangkok Bank has grown and matured with Thai people and their business interests and today is renowned for its size, stability and partnership approach. The bank is driving innovation in new products and services and building on its inherent scale advantages to meet the challenges of a changing financial landscape and consolidate its leadership position for the future.

ING63,250 +65 6535 3688

ING is a pioneer in digital banking and on the forefront being one of the most innovative banks in the world. As ING we have a clear purpose that represents our conviction of people’s potential. We don’t judge, coach, or to tell people how to live their lives. However big or small, modest or grand, we empower people and businesses to realize their vision for a better future. We made the promise to make banking frictionless, removing barriers to progress, and make people confident in their financial decisions. As a global bank we have a huge opportunity – and responsibility – to make an impact for the better. We can play a role by financing change, sharing knowledge, and innovating. Being sustainable is in all the choices we make—as a lender, as a partner and through the services we offer our customers

KUWAIT FINANCE HOUSE MALAYSIA150 +60 3-2168 0464

Kuwait Finance House (Malaysia) Berhad (KFH Malaysia) is a wholly-owned unit of Kuwait Finance House K.S.C. (KFH) — one of the leading Islamic banks in the world with business operations in Bahrain, Turkey, Jordan, Saudi Arabia, Malaysia as well as affiliates in the United Arab Emirates, Oman and Bangladesh.Following our strategic global expansion plan, we became the first foreign Islamic bank that was granted a license under the Islamic Banking Act (Malaysia) 1983 on 8 May 2005 and officially started our operation in August the same year. In Malaysia, we are committed to providing innovative Shariah-compliant financial solutions to our customers offering a complete range of Shariah-based financial products and services under Corporate and Investment, Commercial, and Retail and Consumer Banking as well as Treasury and International Business.We also act as the intermediary and facilitator to promote two-way investments and trade between Malaysia, Asia-Pacific and the Middle East with our unit Kuwait Finance House (Labuan) Berhad covering offshore banking business in the Federal Territory of Labuan.

PT BANK DANAMON INDONESIA, TBK.12,094 +62 1 500 090

PT Bank Danamon Indonesia Tbk (IDX Code: BDMN) yang berdiri sejak 1956, per 30 Juni 2021 mengelola total aset konsolidasi sebesar Rp 194 triliun bersama anak perusahaannya, yaitu PT Adira Dinamika Multi Finance Tbk. (Adira Finance). Dalam hal kepemilikan saham, 92,47% saham Danamon dimiliki oleh MUFG Bank, Ltd. dan 7,53% dimiliki oleh publik. Danamon didukung oleh 846 jaringan kantor cabang konvensional, unit Syariah dan kantor cabang anak perusahaannya serta lebih dari 60.000 jaringan ATM Danamon, ATM Bersama, PRIMA dan ALTO yang tersebar di 34 provinsi. Selain jaringan fisik, layanan Danamon juga dapat diakses melalui Danamon Online Banking, mobile banking melalui aplikasi D-Bank dan D-Card, SMS Banking, serta layanan phone banking melalui Hello Danamon.Dengan beragam produk dan layanan keuangan, Danamon siap melayani kebutuhan nasabah dari berbagai segmen termasuk perbankan Konsumer, Usaha Kecil Menengah (UKM), Wholesale (Korporasi dan Komersial), dan Syariah serta pembiayaan otomotif melalui Adira Finance. Sebagai bagian dari MUFG , group keuangan global serta bank terbesar di Jepang dan salah satu institusi keuangan termuka di dunia, Danamon akan dapat mengakses kekuatan, keahlian dan jaringan MUFG untuk melayani nasabah kami dan memfasilitasi pertumbuhan Danamon dalam mewujudkan nilai jangka panjang bagi seluruh pemangku kepentingan.Danamon menerima penghargaan sebagai peringkat satu SLE Index 2021 kategori Bank BUKU IV dari ajang Satisfaction Loyalty Engagement Awards 2021 yang diselenggarakan oleh Marketing Research Indonesia dan Infobank. Danamon juga meraih peringkat pertama pada 9th Infobank Digital Brand Awards 2020 dalam kategori Bank Umum Konvensional Modal Inti Rp30 triliun ke atas (BUKU IV) dengan aset di bawah Rp 500 triliun. Di kancah internasional, Danamon juga menjadi Best Digital Bank Indonesia pada ajang Asiamoney Best Bank Award 2020. Danamon juga menerima penghargaan Asia Traiblazer 2020 dari Retail Banking International (RBI).

PT BANK KEB HANA INDONESIA984 +62 1 500 021

PT Bank KEB Hana Indonesia (Hana Bank) is a foreign exchange commercial bank focuses in serving small and medium business, corporate, and retail segments customers. In Korean, Hana means “the first”. Therefore, as part of our effort to lead a fast customer-focused services that prioritize the convenience of our customers, Hana Bank is committed in improving our services through digital banking innovation. Hana Bank customers can benefit from the Bank’s various digital channels, including: My Hana Mobile Banking, My Hana Internet Banking, as well as Corporate Banking System. Having branch offices and ATM network covering Sumatra, Java, Bali, and Sulawesi, we have a vast presence in Indonesia. Along with the synergy and support from Hana Financial Group as one of the largest and leading financial companies in South Korea, Hana Bank also provide a worldwide network with international service standards.

JULIUS BAER6,482 +65 6827 1999

The Julius Baer Group is present in around 60 locations worldwide, including Zurich (Head Office), Bangkok, Dubai, Dublin, Frankfurt, Geneva, Hong Kong, London, Luxembourg, Madrid, Mexico City, Milan, Monaco, Mumbai, Santiago de Chile, São Paulo, Shanghai, Singapore, Tel Aviv, and Tokyo.Social media terms of use: https://www.juliusbaer.com/en/legal/social-media/

STANDARD CHARTERED BANK70,447 +65 6596 7000

We are a leading international banking group, with a presence in more than 60 of the world’s most dynamic markets. Our purpose is to drive commerce and prosperity through our unique diversity, and our heritage and values are expressed in our brand promise, Here for good. Standard Chartered PLC is listed on the London and Hong Kong Stock Exchanges.

UOB22,218 +65 6222 0031

We’re here to do Right By You. At UOB, we aspire to build a better future for the people and businesses in the region. Through our extensive network and suite of capabilities, we offer financial solutions to the people and businesses within, and connecting with ASEAN. We create solutions tailored to your unique needs through data and relationship-led insights. Our comprehensive regional network and one-bank approach connects your business to new opportunities in ASEAN. We help businesses to advance responsibly and guide personal wealth to grow sustainably. We foster inclusiveness and environmental well-being for stronger societies. This is how we stay committed to forging a sustainable future for generations to come. Note: For the terms of use of our LinkedIn channel, please visit: https://go.uob.com/socialmedia

WESTPAC NEW ZEALAND3,972 +64 800 400 600

We’ve been helping New Zealanders find the right financial solutions to suit their lives since 1861. We first opened back then as The Bank of New South Wales, and then changed our name to Westpac in 1982. Along the way we’ve grown stronger by joining forces with the Commercial Bank of Australia and Trust Bank – to become Westpac New Zealand Limited. We bank all sorts of people and businesses – from young children, to first home-owners through to big corporates and the New Zealand Government. Nearly a quarter of all Kiwis bank with Westpac, so we’ve got great experience and knowledge to draw on when it comes to helping people with their very first bank account, all the way through to their retirement.With more than 200 branches, and nearly 500 ATMs, we’re one of New Zealand’s largest banks. We provide a full range of banking and financial services for personal, business and agribusiness banking.A copy of our House Rules can be found here: http://bit.ly/1p0SuxH

OCBC BANK15,704 +65 1800 773 6437

OCBC Bank is the longest established Singapore bank, formed in 1932 from the merger of three local banks, the oldest of which was founded in 1912. It is now the second largest financial services group in Southeast Asia by assets and one of the world’s most highly-rated banks, with an Aa1 rating from Moody’s. Recognised for its financial strength and stability, OCBC Bank is consistently ranked among the World’s Top 50 Safest Banks by Global Finance and has been named Best Managed Bank in Singapore by The Asian Banker. OCBC Bank and its subsidiaries offer a broad array of commercial banking, specialist financial and wealth management services, ranging from consumer, corporate, investment, private and transaction banking to treasury, insurance, asset management and stockbroking services. OCBC Bank’s key markets are Singapore, Malaysia, Indonesia and Greater China. It has more than 570 branches and representative offices in 19 countries and regions. These include about 300 branches and offices in Indonesia under subsidiary Bank OCBC NISP, and over 90 branches and offices in Mainland China, Hong Kong SAR and Macau SAR under OCBC Wing Hang. OCBC Bank’s private banking services are provided by its wholly-owned subsidiary Bank of Singapore, which operates on a unique open-architecture product platform to source for the best-in-class products to meet its clients’ goals. OCBC Banks insurance subsidiary, Great Eastern Holdings, is the oldest and most established life insurance group in Singapore and Malaysia. Its asset management subsidiary, Lion Global Investors, is one of the largest private sector asset management companies in Southeast Asia.

LOMBARD ODIER GROUP2,803 +65 6305 7789

Lombard Odier aspires to be an innovative bank of choice for private and institutional clients seeking a tailored, sustainable approach to wealth and asset management. Founded in 1796, Lombard Odier is the oldest private bank in Geneva and one of the largest in Switzerland and Europe, with a network of more than 25 offices worldwide. An independent family business for seven generations, we have served our clients guided by a simple philosophy: rethink everything. Lombard Odier has a longstanding tradition of thinking and acting along the principles of corporate responsibility and sustainability.

BANK OF AMERICA205,260 +65 6678 0000

Bank of America is one of the worlds largest financial institutions, serving individuals, small- and middle-market businesses and large corporations with a full range of banking, investing, asset management and other financial and risk management products and services. The company serves approximately 56 million U.S. consumer and small business relationships. It is among the worlds leading wealth management companies and is a global leader in corporate and investment banking and trading.This LinkedIn company page is moderated. For more information, please visit: https://bit.ly/32FDdQr.For account issues, please visit: https://bit.ly/2GeTIeP.

SOCASH PTE LTD34 +65 3129 2808

SOCASH creates the next-gen distribution for Digital banks and payment platforms.Banks need channels and distribution - to acquire customers , sell products, process payments & deliver services, but the current infrastructure is capital intensive and inefficient. On the other spectrum is the neighbouhood retailer with idle capacity. SOCASH connects these shops and offers a highly scalable and responsive network of retailers, delivering the spectrum of cash management, payment solutions and financial services. This is achieved by blending retail networks, payment solutions and banks with SOCASH platform The platform offers business payment solutions, solves cash management and enables customer onboarding via its ever growing network of retailers. The platform drives convergence of payments with cash and takes banking to where customers are.We are among fast growing fintech, HQd Singapore and expanding our markets across Asia and beyond. As Asia drives up consumption , the next billion are demanding ever increasing access to financial services, which the current network of ATMs and Branches are unable to deliver. With over 20,000 shops on our network and working across Asia, we are working towards a future where banking is delivered on an ubiquitous scale embedded in the community in a cost effective manner.The platform has achieved global sales and is growing with the demand from Digital banking revolution. Generates recurring from platform licences, transaction fees and FX. Products have profitable unit economics. SME lending product in pipeline.The company has raised USD 12.5M capital, most recently a USD 6 Million a strategic round from Glory Ltd (Japan), Standard Chartered and Vertex Ventures.

ST.GEORGE BANK3,791 +61 133330

St.George Bank is one of Australias leading Retail and Business Banks, serving over 2.6 million consumer, business and corporate customers in Australia.With more than 5700 staff and 396 St.George and BankSA retail branches, St.George is known for exceptional service, innovative, award-winning products, and specialist financial advice for retail and business customers. In 2008, St.George and its South Australian brand, BankSA, became part of the Westpac Group.Wed love to have you contribute to our page. Our guidelines for joining the conversation are here: https://www.stgeorge.com.au/contact-us/social-media St.George acknowledges the traditional owners as the custodians of this land, recognising their connection to land, waters and community. We pay our respects to Australias First Peoples, and to their Elders, past, present and future.St.George Bank – A Division of Westpac Banking Corporation ABN 33 007 457 141AFSL and Australian credit licence 233714

SECURITY BANK CORPORATION10,820 +63 2 8708 7087

Security Bank Corporation is one of the Philippines’ leading universal banks serving retail, commercial, corporate and institutional clients. Established on June 18, 1951, Security Bank was publicly-listed with the Philippine Stock Exchange (PSE: SECB) in 1995. Over the years, the Bank prudently managed to remain one of the most stable in the banking industry and is steadfast in its commitment to serve its clients and stakeholders.Security Bank’s major businesses include retail, commercial and corporate banking, and financial markets. It offers a wide range of services including financing and leasing, foreign exchange and stock brokerage, investment banking and asset management through its subsidiaries: SB Cards Corporation, SB Capital Investment Corporation, SB Equities, Inc., SB Forex, Inc., SB Rental, Security Land Corporation, and SBM Leasing, Inc., a joint venture with Marubeni Corporation of Japan, and Security Bank Savings, its thrift bank subsidiary.In 2014, Security Bank embarked on a rebranding campaign to further strengthen market appreciation of its retail banking business which complements its wholesale banking business. At the heart of this goal is to provide priority service and superior customer experience that resonates with a new brand promise, “BetterBanking begins here”.For the complete list of Security Banks awards, you may visit: https://www.securitybank.com/about-us/awards/

WESTPAC16,305 +65 6530 9898

Westpac is Australia’s oldest bank and company, one of four major banking organisations in Australia and one of the largest banks in New Zealand. We provide a broad range of banking and financial services in these markets, including consumer, business and institutional banking and wealth management services. We also have offices in key financial centres around the world including London, New York, Hong Kong and Singapore.Westpac Groups portfolio of financial services brands and businesses is focused on our vision, which is To be one of the world’s great service companies, helping our customers, communities and people to prosper and grow.”We welcome your contributions to our page. Please check our guidelines before you join the conversation: https://www.westpac.com.au/contact-us/social-media/ Westpac acknowledges the traditional owners as the custodians of this land, recognising their connection to land, waters and community. We pay our respects to Australias First Peoples, and to their Elders, past, present and future.Westpac Banking Corporation ABN 33 007 457 141. AFSL and Australian credit licence 233714.

DBS BANK31,927 +65 800 852 6186

DBS is a leading financial services group in Asia with a presence in 19 markets. Headquartered and listed in Singapore, DBS is in the three key Asian axes of growth: Greater China, Southeast Asia and South Asia. The banks AA- and Aa1 credit ratings are among the highest in the world.Recognised for its global leadership, DBS has been named “World’s Best Bank” by Global Finance, “World’s Best Bank” by Euromoney and “Global Bank of the Year” by The Banker. The bank is at the forefront of leveraging digital technology to shape the future of banking, having been named “World’s Best Digital Bank” by Euromoney and the world’s “Most Innovative in Digital Banking” by The Banker. In addition, DBS has been accorded the “Safest Bank in Asia“ award by Global Finance for 14 consecutive years from 2009 to 2022.DBS provides a full range of services in consumer, SME and corporate banking. As a bank born and bred in Asia, DBS understands the intricacies of doing business in the region’s most dynamic markets. DBS is committed to building lasting relationships with customers, as it banks the Asian way. Through the DBS Foundation, the bank creates impact beyond banking by supporting social enterprises: businesses with a double bottom-line of profit and social and/or environmental impact. DBS Foundation also gives back to society in various ways, including equipping communities with future-ready skills and building food resilience.With its extensive network of operations in Asia and emphasis on engaging and empowering its staff, DBS presents exciting career opportunities. For more information, please visit www.dbs.com

BANK RAKYAT MALAYSIA2,261 +60 1-300-80-5454

Bank Rakyat was established on 28 September 1954 under the Cooperative Ordinance 1948 (known as the Cooperative Societies Act 1993). Today, Bank Rakyat is the biggest Islamic cooperative bank in Malaysia with assets totaling RM89.18 billion as at end of December 2014. The transformation in 2002 of the Bank from a conventional banking system to a banking system based on Syariah has enabled the Bank to record encouraging profits year after year. For the financial year ending 31 December 2014, we have recorded a pre-tax and pre-zakat profit of RM2.16 billion.We continue to expand our product range and customer facilities that are varied and innovative. The products and facilities include consumer banking, commercial financing, savings and investments as well as products of financial planning to satisfy the many demands of a wide spectrum of modern day customers. Efficient delivery channels continue to be expanded and continuously improved. We continue to maintain a friendly corporate image to place us on a sound footing as Your Choice Bank.We have received various recognitions as an industry player and as an outstanding cooperative organization in Malaysia as well as internationally. The Bank is rated sixth in Malaysia and 273rd in the world rankings bestowed by The Banker Magazines Top 1,000 World Banks survey. Other awards achieved include Best Islamic Bank 2014 - Global Islamic Finance Award (GIFA), CEO of The Year - National Award for Management Accounting (NAfMA) and Best Syariah Programme - MasterCard.As an entity under the control of the Ministry of Domestic Trade, Cooperatives and Consumerism, we are committed to support the mission of the Ministry to consolidate the cooperative sector as the mainstay of economic growth of the nation via all the efforts and steps that we have arranged.To date, we have 148 branches with more than 800 automated teller machines (ATMs) and cash deposit machines (CDM), and 91 Ar-Rahnu XChange nationwide.

Top Banking Companies in Malaysia

Factors Contributing to the Industry's Growth and Success

The banking industry in Malaysia has seen significant growth and success due to several factors. One of the main factors is the government's support for the industry, which has helped create a conducive environment for growth. The government has implemented various initiatives to promote the industry, including liberalization measures, regulatory reforms, and financial incentives.

The industry has also been able to leverage Malaysia's strong economic fundamentals, including a stable political environment, skilled workforce, and strategic location, to attract investments and drive growth. The country's increasing digitalization has also played a significant role in driving the industry's growth, with banks adopting new technologies to improve their services and offerings.

Industry Growth and Comparison to Previous Years

The banking industry in Malaysia has experienced steady growth over the years, with total assets of the industry increasing from RM 2.2 trillion in 2016 to RM 3.6 trillion in 2022, representing a year-on-year growth of 5.1%. The industry's loan growth has also increased from RM 1.3 trillion in 2016 to RM 1.7 trillion in 2022, a year-on-year increase of 2.9% in the same period. The industry's total deposits in 2022 reached RM 2.6 trillion, representing a year-on-year growth of 4.4%. This growth has been fueled by increasing demand for financial services, particularly among the country's growing middle class.

Key Trends and Technological Disruptions

The banking industry in Malaysia has been rapidly adopting new technologies to enhance its services and improve efficiency. One of the key trends in the industry is the shift towards digitalization, with banks investing in mobile banking and online services to cater to changing consumer preferences.

Another key trend is the adoption of fintech, with banks collaborating with fintech startups to develop new solutions and services. This collaboration has enabled banks to leverage the expertise of startups to enhance their offerings and stay competitive.

Challenges

Another challenge facing the banking industry in Malaysia is increasing competition from non-banking financial institutions and fintech companies. These new players are disrupting traditional banking models and offering innovative services that appeal to younger and tech-savvy customers. To remain competitive, traditional banks will need to explore partnerships and collaborations with these new players, as well as continue to innovate and improve their services.

Regulatory compliance is also an important factor for banks in Malaysia. The central bank, Bank Negara Malaysia, has implemented strict regulations and guidelines to ensure the stability and security of the banking industry. Banks must comply with these regulations, which can be costly and time-consuming. However, regulatory compliance is critical to maintaining the trust and confidence of customers and stakeholders.

Future Outlook

Looking towards the future, the banking industry in Malaysia must continue to invest in new technologies and innovative solutions to remain competitive. The adoption of digitalization and fintech is likely to continue, enabling banks to enhance their services and offerings while improving efficiency and reducing costs.

Conclusion

The banking industry in Malaysia is an important contributor to the country's economy, providing critical financial services to individuals and businesses. The industry has experienced steady growth in recent years, driven by government initiatives and the adoption of new technologies.

As the industry continues to evolve, banks will need to stay nimble and adaptable to changing customer demands and technological advancements. The adoption of innovative technologies such as blockchain and big data analytics will be critical to improving operations and enhancing customer experience. By investing in these areas, banks in Malaysia can position themselves for sustained growth and success in the future.

Innovative technologies such as blockchain, artificial intelligence, and big data analytics are expected to revolutionize the banking industry in Malaysia. Many banks in Malaysia have already started to explore and implement these technologies to improve their operations and customer experience.

In addition to technology, banks in Malaysia will also need to address changing customer preferences and behaviors. As younger generations become the primary consumers of financial services, banks will need to focus on providing personalized and digital experiences. This may include offering mobile banking apps, digital wallets, and other innovative services.

In conclusion, the banking industry in Malaysia has played a critical role in driving the country's economic growth and development. With the right strategies in place, including investment in new technologies and collaboration with fintech startups, the industry is well-positioned to continue growing and contributing to the country's economic success. However, the industry must also address the challenges it faces, such as increasing competition and rising costs, to ensure sustained growth and success in the long run.

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By Melissa Goh
Published on 14 May 2023