Bank Islam-MBSB merger in the air

Bank Islam branch in Kota Baru. The bank is the country's first standalone Islamic bank.

AS the dust settles on the aborted three-way banking merger of last month, a plan is being floated on a “marriage” between Malaysia Building Society Bhd (MBSB) and Bank Islam Malaysia Bhd.

Sources say the idea of a merger between the two is being mooted at the shareholder level of both companies, namely the Employees Provident Fund (EPF) and Lembaga Tabung Haji (LTH).