Initial Target: 13-14% | Aim: To deliver a reasonable return while balancing the need to maintain a healthy capital base. Return of Equity (ROE) is defined as profit attributable to shareholders over the average shareholders’ equity (comprising share capital, retained earnings and other reserves) for the financial year.
Achievement: Group ROE of 10.6% came in line with revised targets on the back of core revenue growth and low cost growth. We remained profitable despite the weaker operating environment.
Initial Target: 8-9% | Aim: To grow our financing business across the Group, with a profitable and responsible approach.
Group loans growth of 5.7% surpassed the revised target of 2.0%-3.0%, driven by improved growth in Global Banking (GB) and stable growth in our retail franchise across home markets.
Initial Target: 6-7% | Aim: To deliver financing growth in our Malaysia market that is slightly above industry growth.
Loans growth of 6.3%, slightly ahead of industry growth of 5.3% on the back of growth in consumer, Small and Medium-Sized Enterprise (SME) and corporate banking lending.
Initial target: 11-13% | Aim: To grow loans on par or slightly ahead of industry.
Loans grew by 8.7% YoY driven by an expansion in GB as we continued re-profiling our Indonesian portfolio in line with our risk appetite for high quality credit. CFS growth was supported by lending in SME & commercial segments.
The 2016 Key Performance Indicators are available on page 42 of the Annual Report 2016.
Aim: To provide a satisfactory return to shareholders with the 40.0%-60.0% dividend policy rate.
With a Dividend Payout Ratio of 78.1%, we have exceeded the 40.0%-60.0% policy rate. We delivered a higher dividend payout than the previous year, in spite of the softer operating environment
Initial Target: 10-11%. | Aim: To strengthen our deposit base to fund out selective asset growth across key markets.
Group deposits growth of 5.2% was ahead of revised target range on the back of strong current and savings accounts growth in home markets.
Initial Target: 3%-4% | Aim: To deliver financing growth ahead of the industry by focusing on the niche markets and cross-border financing opportunities.
Loan grew 4.5% YoY, ahead of industry growth mainly driven by expansion in GB and stable growth in Community Financial Services (CFS).
Aim: To maintain a strong capital base by adopting prudent capital management to be ahead of Bank Negara Malaysia’s (BNM) minimum regulatory requirements.
Total capital ratio of 19.293%, well above the minimum regulatory requirement of 8.625% set by BNM.
The 2016 Targets and Talent Indicators are available on page 43 of the Annual Report 2016.