Bank Islam Integrated Annual Report 2020

AʍɨȈȶǼ ɽȃǉ ʰǉƃɨ ʍȶǁǉɨ ɨǉʤȈǉʥӗ ʥǉ ƃȢɰɁ became the first bank in Malaysia to deploy a mobile onboarding (MOB) channel for retail customers that provides the first end-to-end account opening exper ience including on-the-spot issuance of debit cards via appointment. ŚȈɽȃ ÃÝ9ӗ Ȉɽ ɁȶȢʰ ɽƃȟǉɰ ѹ ȴȈȶʍɽǉɰ ɽɁ complete a customer’s account opening process and no fee is imposed. The introduction of MOB at the onset of the :ÝřAӸѴѼ ɥƃȶǁǉȴȈƺ ȃƃɰ ȃǉȢɥǉǁ customers to make the most of this innovative solution, while still observing movement restrictions as well as safety and health protocols. This is in addition to our successful GO by Bank Islam mobile application that proved to be a boon dur ing the pandemic, of fering customers the freedom to transact seamlessly at their fingertips. As a result, the apps recorded ƃƹɁʍɽ ĄÃѸӝѺ ƹȈȢȢȈɁȶ Ȉȶ ɽɨƃȶɰƃƺɽȈɁȶ ƃȴɁʍȶɽ ǹɁɨ ɽȃǉ ʰǉƃɨ ǉȶǁǉǁ ѶѴ Aǉƺǉȴƹǉɨ ѵѳѵѳӝ {Ý ʥƃɰ ɨǉƺǉȶɽȢʰ ʍɥǼɨƃǁǉǁ ɽɁ include more features such as Tabung ƃȚȈ ǹʍȶǁ ɽɨƃȶɰǹǉɨӗ AʍȈɽÇɁʥ ĂĄ ƺɁǁǉӗ remittance, cardless withdrawal, request ɽɁ ɥƃʰ ɰǉɨʤȈƺǉ ӯ°ɁȴĀƃʰӰ ƃȶǁ ƃ ɥǉɨɰɁȶƃȢ financial management tool. AʍɨȈȶǼ ɽȃǉ ʰǉƃɨӗ ʥǉ ƃȢɰɁ ɥƃɨɽȶǉɨǉǁ ʥȈɽȃ a f intech company to develop and implement an innovative credit risk assessment solution that complements credit history information. This solution will effectively aid aspiring entrepreneurs and micro-enterprises, who are often excluded from the financial system and hence face challenges in accessing af fordable f inance. Our long-term objective is to bring the benefits of Islamic f inance to more and more di sadvantaged and under ser ved Malaysians. SUSTAINABLE FINANCING IS A CATALYST TO A RESILIENT FUTURE Śǉ ƺɁȶɽȈȶʍǉ ɽɁ ƹǉ ȴɁɽȈʤƃɽǉǁ ƹʰ ɽȃǉ principles of Shariah, whereby we endeavour to design and deliver financial solutions that minimise harm and promote the welfare and wellbeing of not just communities, but also the ǉȶʤȈɨɁȶȴǉȶɽ ʥȃǉɨǉ ɽȃǉʰ ɽȃɨȈʤǉӝ ŚȈɽȃ ɽȃǉ growing relevance of instruments such as green sukuk, green financings, carbon credits and others, Bank Islam remains at the forefront to champion sustainable finance that takes environmental and social considerations into account. AʍɨȈȶǼ ɽȃǉ ʰǉƃɨ ʍȶǁǉɨ ɨǉʤȈǉʥӗ ʥǉ partnered with Tenaga Nasional Berhad (TNB) and its subsidiary, GSPARX Sdn. Bhd. (GSPARX) to f inance solar photovoltaic (PV) ownership for home owners in the country. Through this collaboration, Bank Islam is offering up ɽɁ ѴѳѳՐ ǹȈȶƃȶƺȈȶǼ ǹɁɨ ɽȃǉ ɥʍɨƺȃƃɰǉ Ɂǹ GSPARX’s solar PV package or up to ĄÃѶѳѳӗѳѳѳ ʥȈɽȃ ƃɽɽɨƃƺɽȈʤǉ ǹȈȶƃȶƺȈȶǼ rates, along with additional benefits such ƃɰ Ɂȶǉ ӯѴӰ ʰǉƃɨ ǹɨǉǉ ȴƃȈȶɽǉȶƃȶƺǉӗ ɥɨɁǁʍƺɽ ƃȶǁ ʥɁɨȟȴƃȶɰȃȈɥ ʥƃɨɨƃȶɽʰӗ ѵѷӣѺ ɁȶȢȈȶǉ monitoring, as well as aftersales services. ŚȈɽȃ ɽȃȈɰ ƃǁǁǉǁ ʤƃȢʍǉӗ Ɂʍɨ ȴƃȈȶ ɁƹȚǉƺɽȈʤǉ is to encourage Malaysians to transition to environmentally-friendly technologies and solutions to meet their energy demands . It is also a par t of our contribution to support Malaysia’s aim of ƃƺȃȈǉʤȈȶǼ ѵѳՐ Ɂǹ ɨǉȶǉʥƃƹȢǉ ǉȶǉɨǼʰ ǼǉȶǉɨƃɽȈɁȶ ƹʰ ɽȃǉ ʰǉƃɨ ѵѳѵѸӝ Śǉ ƃɨǉ ƃȢɰɁ ȢɁɁȟȈȶǼ ƃɽ ɽȃǉ Ȉȴȴǉȶɰǉ potential of the Socially Responsible Investment (SRI) Sukuk market in ÃƃȢƃʰɰȈƃӝ Śǉ ƃɨǉ ƺɁȶɽȈȶʍɁʍɰȢʰ ǉȶǼƃǼȈȶǼ with various regulator y authorities, industr y bodies , and our peers to deliberate on issues related to SRI Sukuk, including the risks associated with the investment and returns, inadequate performance measurement standards and high costs of transaction. Śǉ ɨǉȴƃȈȶ ƺɁȴȴȈɽɽǉǁ ɽɁ ǁǉʤǉȢɁɥȈȶǼ and promoting SRI Sukuk as the instrument that can help shape a ɰʍɰɽƃȈȶƃƹȢǉ ǹʍɽʍɨǉӝ ȶ ѵѳѵѳӗ ʥǉ ȃƃǁ successfully issued the second and third ɽ ɨ ƃȶƺȃǉɰ ɽɁɽƃȢ Ȣ ȈȶǼ ĄÃѴӝѴ ƹȈ Ȣ Ȣ ȈɁȶ Subordinated Sukuk Murabahah under Ɂʍɨ ĄÃѴѳ ƹȈȢȢȈɁȶ Čʍȟʍȟ Ãʍɨƃƹƃȃƃȃ Programme. The proceeds from the Sukuk will be utilised to finance our Islamic banking activities and working capital requirements while ensuring the Bank’s active involvement in financing and investment under takings that conform to ESG principles and outcomes. Čĩ::KČČyĩ¸¸ť ČČĩKA ěK ČK:ÝÇA ÇA ěĄA TRANCHES TOTALLING ĄÃіӝі 9¸¸ÝÇ Čĩ9ÝĄAÇ ěKA Čĩ¶ĩ¶ ÃĩĄ 9 ĩÇAKĄ ÝĩĄ ĄÃіѕ 9¸¸ÝÇ Čĩ¶ĩ¶ ÃĩĄ 9 ĀĄÝ{Ą ÃÃK First Malaysian Bank to deploy a mobile on-boarding channel for retail customers, with first end-to-end account opening experience, including the on-the-spot issuance of debit cards. BANK ISLAM MALAYS IA BERHAD INTEGRATED ANNUAL REPORT 2020 17