Banks set to navigate challenging climate

The household sector – accounting for roughly 60% of banks’ loan books – is projected to remain a key pillar of stability.

PETALING JAYA: Malaysia’s banking sector is expected to navigate the challenging global trade climate with resilience, underpinned by strong buffers, prudent underwriting, and a stable domestic economic backdrop.

Loan growth is likely to continue at a steady pace, supported by household demand and strategic expansion into small and medium enterprise (SME) lending, even as geopolitical uncertainties weigh on sentiment.