M'sian banks hammered on various fronts, earnings growth lowered

PETALING JAYA: The banking sector is not out of the woods yet, as analysts expect its performance for the year to be hammered on various fronts.

Although the first half-year earnings growth was higher at 10% year-on-year (y-o-y) due to lower credit costs and lower impairment expenses, the weaker economic growth projection, prevailing deposit competition and weak non-interest income (NOII) from capital market activities could put the brakes on its bottom line growth in the second-half.