Banking System in Malaysia
By commercial Banks, securities companies of the banking and financial banking system, is the main agency Malaysian economic field source of credit. In addition, there are special for the financial institutions to provide financing industry.
Central Banks
Bank Negara Malaysia (BNM) is the central bank of Malaysia, it is responsible for maintaining the stability of currency to ensure a sound financial system. Therefore, the national bank regulation and supervision horse of the banking system, Malaysia, financial institutions and insurance companies. It is also the currency issue Malaysian Ringgit (Ringgit), the country’s foreign exchange control regulations, but also the banking system lender of last resort.
Financial Institutions
Commercial Banks are leading the banking system. In August 2004, 10 domestic and 13 local registered foreign commercial bank through the distribution of national 1,660 branches, In addition, 6 domestic Banks with 46 branches abroad. 22 foreign Banks, these offices is not representative offices in normal banking, they only with the business institutions in Malaysia, the domestic or representative offices in the country’s commercial organizations to provide contact information service and exchange.
With 10 securities bank, through 17 branches provide various services. In the short-term money market securities Banks to raise funds and play an important role in the activities of underwriting, including financial and corporate finance, loans and management consulting services, arrangement of issuance of stocks and shares listed, and portfolio management.
Malaysia has 2 islamic Banks, provide the concept of banking services based on Islam. The first is the Malaysia Islamic Bank, and with 87 branches established close off the Muamalat Berhad Malaysia has 48 branches. Besides the islamic Banks and Bank Muamalat provide basis for islamic bank system products and services.
Other than commercial Banks, there’s also nine financial company, through 723 branch savings and deposit and loan, installment buying, mortgage loan consumption, bulk discount and leasing transaction.
Has 7 company specializes in short-term financial markets, financial institutions and companies within the deposit. They are approved bonds, government securities investment and bank deposit and acceptance, negotiable securities, and private debts accept short-term funds. In addition, the list of total 599 institutions, including housing credit company, credit cost, collecting payment voucher and leasing company to provide public credit and financing facilities.
Malaysia has several industrial financial institution, which is designed to promote some economic strategic areas of Malaysia. They dedicated to provide medium to long-term loans, equity and loan guarantee. They also identified in the investment project consultancy services and development, and financial, technical and managerial assistance. They provide financing, auxiliary bank in agriculture, infrastructure, shipping industry, manufacturing and exports and small and medium-sized enterprises.
Malaysia entrances to the bank of foreign trade and investment, Malaysia provide financing and convenience of Malaysians focuses on exporters and investors and the middle and Malaysia goods purchaser long-term credit. Another organization Malaysia export credit insurance company will provide insurance and guarantee.
