Latest news with #RHBIslamicBank
The Star
4 days ago
- Business
- The Star
RHB Islamic completes sustainable sale and buy back agreement with HSBC Amanah and Standard Chartered Saadiq
RHB Islamic Bank managing director Datuk Adissadikin Ali KUALA LUMPUR: HSBC Amanah Malaysia Bhd and Standard Chartered Saadiq Malaysia have executed a sustainable sale and buy back agreement (SBBA) transaction for RHB Islamic Bank Bhd under an enhanced Shariah-compliant framework. In a statement, RHB Islamic said this deal, which is a first in the country, represents a significant achievement in Islamic sustainable finance innovation. An SBBA is an Islamic financial instrument used to source and provide funding for liquidity management in the Islamic Interbank Money Market (IIMM) akin to a repurchase agreement (repo) in the conventional money market. The sustainable SBBA integrates positive impact to traditional financial instruments, demonstrating a strong commitment by businesses to sustainability goals. The proceeds from this financing facility will be earmarked for eligible shariah compliant sustainable assets such as green buildings, renewable energy and energy efficiency projects. This financing mechanism can also be utilised for other types of eligible green and social projects in tandem with RHB's Sustainability Sukuk and Bond Framework. The sustainable SBBA is underpinned by an enhanced Master SBBA framework jointly adopted by RHB Islamic, HSBC Amanah and Standard Chartered Saadiq Malaysia, introducing a standardised approach to incorporating sustainability elements across all eligible SBBA transactions, moving beyond single-use sustainable deals toward a repeatable and scalable model. 'This transaction sets a new benchmark for Islamic sustainable finance, showcasing how Shariah principles can be harmonised with global sustainability standards," said Datuk Adissadikin Ali, managing director of RHB Islamic.
![Explainer: How the OPR cut affects your loan costs [BTTV]](/_next/image?url=https%3A%2F%2Fassets.nst.com.my%2Fassets%2FNST-Logo%402x.png%3Fid%3Db37a17055cb1ffea01f5&w=48&q=75){kind=small}
New Straits Times
11-07-2025
- Business
- New Straits Times
Explainer: How the OPR cut affects your loan costs [BTTV]
KUALA LUMPUR: Borrowing just got a little cheaper after Bank Negara Malaysia lowered the Overnight Policy Rate (OPR) by 25 basis points to 2.75 per cent. This is the first cut in more than two years. While it may sound technical, this decision affects millions of Malaysians, especially those with existing loans or planning to take one soon. Banks start lowering loan rates Soon after the announcement, banks began reducing their Standardised Base Rate (SBR) and other lending rates. These base rates are used to set the interest charged on many types of loans. When the SBR goes down, the interest on floating-rate loans, which can rise or fall over time, also drops. This means borrowers pay less each month. Impact on housing and car loans For homeowners with floating-rate mortgages, this cut could mean lower monthly instalments and savings in the long run. Car buyers can also benefit. For example, under RHB Islamic Bank's variable-rate car financing, a borrower with a RM100,000 loan over nine years would have paid RM1,152 per month when the SBR was 3.00 per cent. With the bank's fixed profit margin of 2.00 per cent added on, the total rate charged to the borrower, known as the effective rate, was 5.00 per cent. Now that the SBR has dropped to 2.75 per cent, the effective rate falls to 4.75 per cent, and the monthly instalment becomes RM1,128. That's a saving of RM24 a month or over RM2,500 across nine years, enough to pay for several months of fuel or insurance. What about personal loans? The same applies to personal financing. Some banks now offer rates as low as 5.25 per cent (SBR + 2.50 per cent) for floating-rate personal loans to government employees. Before the OPR cut, the same loan might have carried a 5.50 per cent rate. On a RM50,000 loan over five years, that difference means paying RM945 per month instead of RM955, a total saving of RM600 over the loan period. Why did the central bank do this? Bank Negara made the cut to lower borrowing costs, support household spending and keep the economy growing despite global uncertainties. For borrowers, whether it's for a home, a car, or extra cash, this move brings some relief and a good chance to review existing loans or explore better financing deals. Keywords: Bank Opr Loan Overnight Policy Rate
New Straits Times
10-07-2025
- Business
- New Straits Times
Explainer: How the OPR cut affects your loan costs
KUALA LUMPUR: Borrowing just got a little cheaper after Bank Negara Malaysia lowered the Overnight Policy Rate (OPR) by 25 basis points to 2.75 per cent. This is the first cut in more than two years. While it may sound technical, this decision affects millions of Malaysians, especially those with existing loans or planning to take one soon. Banks start lowering loan rates Soon after the announcement, banks began reducing their Standardised Base Rate (SBR) and other lending rates. These base rates are used to set the interest charged on many types of loans. When the SBR goes down, the interest on floating-rate loans, which can rise or fall over time, also drops. This means borrowers pay less each month. Impact on housing and car loans For homeowners with floating-rate mortgages, this cut could mean lower monthly instalments and savings in the long run. Car buyers can also benefit. For example, under RHB Islamic Bank's variable-rate car financing, a borrower with a RM100,000 loan over nine years would have paid RM1,152 per month when the SBR was 3.00 per cent. With the bank's fixed profit margin of 2.00 per cent added on, the total rate charged to the borrower, known as the effective rate, was 5.00 per cent. Now that the SBR has dropped to 2.75 per cent, the effective rate falls to 4.75 per cent, and the monthly instalment becomes RM1,128. That's a saving of RM24 a month or over RM2,500 across nine years, enough to pay for several months of fuel or insurance. What about personal loans? The same applies to personal financing. Some banks now offer rates as low as 5.25 per cent (SBR + 2.50 per cent) for floating-rate personal loans to government employees. Before the OPR cut, the same loan might have carried a 5.50 per cent rate. On a RM50,000 loan over five years, that difference means paying RM945 per month instead of RM955, a total saving of RM600 over the loan period. Why did the central bank do this? Bank Negara made the cut to lower borrowing costs, support household spending and keep the economy growing despite global uncertainties. For borrowers, whether it's for a home, a car, or extra cash, this move brings some relief and a good chance to review existing loans or explore better financing deals.
The Sun
14-06-2025
- Business
- The Sun
RHB Islamic inks 3-year MoU with MIDE organiser to champion marine conservation
KUALA LUMPUR: RHB Islamic Bank Bhd today signed a three-year memorandum of understanding (MoU) with AsiaEvents Exsic Sdn Bhd, the organiser of the Malaysia International Dive Expo (MIDE). The MoU formalises the bank's role as the event's exclusive banking partner until 2027. The signing, held at the Malaysia International Trade and Exhibition Centre (MITEC) during MIDE 2025, marks the bank's continued involvement in marine conservation efforts under its Ocean Harmoni programme. RHB Islamic Bank Bhd managing director and chief executive officer Datuk Adissadikin Ali said the collaboration reflects the bank's long-term focus on supporting environmental sustainability under the environmental, social and governance agenda. 'We're not trying to be everything to everyone, and as a bank with limited resources, we chose to focus on one aspect of the environment – the ocean. 'We are not here to promote diving, but diving allows us to understand and tell the story of what's happening beneath the surface, which is what Ocean Harmoni is about,' he said during his remarks at the event. Launched in 2019, Ocean Harmoni is a value-based intermediation initiative that supports awareness, research and conservation efforts related to Malaysia's marine ecosystem, while also aligning with the United Nations Sustainable Development Goal 14: Life Below Water. As part of its efforts, RHB Islamic Bank has partnered with six local organisations and institutions in 2025, including Universiti Malaysia Terengganu, Universiti Malaya, Universiti Malaysia Sabah, Ocean Ranger, One Heart Environment and University Malaya Medical Centre. During MIDE 2025, the bank also unveiled the Limited Edition RHB Visa Ocean Harmoni Multi-Currency Debit Card-i, aimed at simplifying international transactions for travellers. 'Many travellers face the same issues, such as dealing with leftover coins and finding a place to exchange currency, and this card helps eliminate those pain points by removing the need to carry physical cash while offering access to 34 currencies at competitive rates,' said Adissadikin. In a separate engagement during the event, RHB Islamic Bank hosted two public forums with its Ocean Harmoni partners – one focused on coral conservation titled 'Corals: So What?', and the other on inclusive diving under the Adaptive Scuba Forum. MIDE 2025 is taking place from June 13 to 15 at MITEC, bringing together over 200 exhibitors ranging from dive operators and equipment suppliers to tourism boards and non-governmental organisations.
The Sun
14-06-2025
- Business
- The Sun
RHB Islamic Bank Backs Ocean Conservation at MIDE 2025
KUALA LUMPUR: RHB Islamic Bank Bhd today signed a three-year memorandum of understanding (MoU) with AsiaEvents Exsic Sdn Bhd, the organiser of the Malaysia International Dive Expo (MIDE). The MoU formalises the bank's role as the event's exclusive banking partner until 2027. The signing, held at the Malaysia International Trade and Exhibition Centre (MITEC) during MIDE 2025, marks the bank's continued involvement in marine conservation efforts under its Ocean Harmoni programme. RHB Islamic Bank Bhd managing director and chief executive officer Datuk Adissadikin Ali said the collaboration reflects the bank's long-term focus on supporting environmental sustainability under the environmental, social and governance agenda. 'We're not trying to be everything to everyone, and as a bank with limited resources, we chose to focus on one aspect of the environment – the ocean. 'We are not here to promote diving, but diving allows us to understand and tell the story of what's happening beneath the surface, which is what Ocean Harmoni is about,' he said during his remarks at the event. Launched in 2019, Ocean Harmoni is a value-based intermediation initiative that supports awareness, research and conservation efforts related to Malaysia's marine ecosystem, while also aligning with the United Nations Sustainable Development Goal 14: Life Below Water. As part of its efforts, RHB Islamic Bank has partnered with six local organisations and institutions in 2025, including Universiti Malaysia Terengganu, Universiti Malaya, Universiti Malaysia Sabah, Ocean Ranger, One Heart Environment and University Malaya Medical Centre. During MIDE 2025, the bank also unveiled the Limited Edition RHB Visa Ocean Harmoni Multi-Currency Debit Card-i, aimed at simplifying international transactions for travellers. 'Many travellers face the same issues, such as dealing with leftover coins and finding a place to exchange currency, and this card helps eliminate those pain points by removing the need to carry physical cash while offering access to 34 currencies at competitive rates,' said Adissadikin. In a separate engagement during the event, RHB Islamic Bank hosted two public forums with its Ocean Harmoni partners – one focused on coral conservation titled 'Corals: So What?', and the other on inclusive diving under the Adaptive Scuba Forum. MIDE 2025 is taking place from June 13 to 15 at MITEC, bringing together over 200 exhibitors ranging from dive operators and equipment suppliers to tourism boards and non-governmental organisations.
