PETALING JAYA: Non-bank lenders such as Malaysia Building Society Bhd are likely to benefit from the civil servants' salary increases of between 7% to 13% under an improved Malaysian Remuneration System.
Theoretically, this should expand the civil servants' personal financing market by some RM5bil, said analysts, citing a conservative estimate. Higher disposable incomes will see Malaysia's 1.4 million civil servants not just increasing demand for their personal loans, but also taking up other loans for larger purchases such as buying a second property.