AmBank Group eyes up to RM7bil loan disbursement growth in FY24

KUALA LUMPUR: AmBank Group is eyeing a six per cent growth in loan disbursements of up to RM7 billion for the financial year ending March 31, 2024.

Group chief executive officer Datuk Sulaiman Mohd Tahir said the projection was based on the bank’s assets valued at RM130 billion.

‘’Our assets last year were about RM130 billion and we anticipated a gross domestic product (GDP) of 4.5 per cent. Banks normally will ride close to the GDP.

"We (AmBank) normally (achieve) slightly higher than the GDP. Let's say, for this year, (it) is a six per cent loan growth on assets of RM130 billion. (That would be) roughly about RM6 billion to RM7 billion worth of growth in terms of the actual loan disbursed,” he said.

He was speaking to reporters on the sidelines of the International Environment, Social and Governance (ESG) conference "Shaping Today For Tomorrow” here today.

In the financial year ended March 31, 2023, AmBank Group recorded 8.5 per cent loan growth of RM10.2 billion to RM130.2 billion across all segments.

Sulaiman said the group is looking to double its green financing in FY2024 from RM2 billion given out last year.

He said electric vehicle (EV) financing totalled RM100 million. This would grow substantially this year in view of the entry of many prominent EV players into the country such as the United States-headquarted Tesla Inc and China-based BYD Co Ltd.

On other industries, he said green loan for building such as apartments and warehouses, as well as transport and logistic would also be prominent segment contributors this year.

Earlier at the event, AmBank inked a memorandum of understanding with Huawei Technologies Malaysia Sdn Bhd to join hands in supporting the introduction of solar energy, green data centres, EV charging and energy storage solutions.

Sulaiman said the bank will provide financing and merchant business solutions to all Huawei dealers. - Bernama