PETALING JAYA: CIMB Group Holdings Bhd
views Islamic finance as a key driver of the institution’s value-based growth.
Group chief executive officer Novan Amirudin noted that more than half of its business in Malaysia is syariah-compliant, with 100% of the group’s auto financing and Amanah Saham Bumiputra financing being syariah-compliant.
“In 2025, we recorded strong growth in Term Investment Account deposits in Malaysia, reflecting rising customer understanding of profit-sharing structures.
“Unlike conventional deposits, these accounts are based on shared performance rather than guaranteed returns. That requires transparency and education, which we continue to prioritise,” he said in the group’s annual report, released yesterday.
Novan said Islamic finance is built on principles of fairness, risk-sharing and real economic activity.
“That discipline strengthens trust and supports more responsible growth over time.
“For CIMB, it is not a niche offering, it is core to how we serve a significant part of our market responsibly.”
He added that Islamic finance is also a strategic growth pillar.
“Building on our Malaysian experience, we are progressing the spin-off of our syariah subsidiary in Indonesia, CIMB Niaga Syariah by mid-2026.
“The new entity will present an opportunity to solidify our position as the undisputed number two syariah bank in Indonesia and become a key growth driver for CIMB Niaga.
With the world’s largest Muslim population and still relatively early penetration, Novan said Indonesia presents significant long-term potential.
“Our approach will focus on scale, governance and customer trust, not short-term expansion.”
Going forward, Novan said the “environment ahead will remain complex.”
“Trade realignments, nationalistic policies and inflationary pressures will continue to test margins and reshape supply chains.
“At the same time, rapid advances in digital and artificial intelligence are accelerating expectations.”
He noted that customers today want speed, clarity and solutions that work immediately.
“Committed to technology and operational resilience, we invested RM1.7bil in 2025 to ensure that our front-end customer applications of TNG Digital, the CIMB Octo application and CIMB Octo Biz are “next-generation ready” with continued refinements to serve our customers better, while the middle-to-back-end technology infrastructure is being modernised to provide safe and secure banking for all.”
CIMB delivered an improved set of results in 2025, which marked the first year of its Forward30 (F30) strategy, amid regional and global headwinds.
The bank reported an annual net profit of RM7.86bil for the financial year ended Dec 31, 2025, up from RM7.73bil in the previous year, while revenue grew to RM22.47bil from RM22.3bil in the previous year.
In the fourth quarter ended Dec 31, 2025, net profit rose to RM1.92bil from RM1.8bil in the previous corresponding quarter. Revenue rose to RM5.42bil from RM5.33bil in the same previous quarter.
According to the bank, the results led to an improvement in annualised return on average equity of 11.3%, up 10 basis points year-on-year, driven by disciplined execution of F30 strategy, notwithstanding macroeconomic headwinds and persistent rate cuts during the year.
The bank proposed a second interim dividend of 20.35 sen per share, which brings the total annual payout to 47.1 sen per share. The entitlement date is set on March 17, 2026, for payment on March 27, 2026.
In financial year 2025, CIMB’s total deposits grew 5.4% to RM524.4bil while its current account savings account (Casa) balances grew 1.6% year-on-year to RM224.1bil. The Casa ratio stood at 42.7% as at December 2025.
