This EPP supports the foreign expansion of qualified local banks, with Malaysian banks to be among the top three in ASEAN in terms of market capitalisation by 2020. Local banks are also encouraged to explore opportunities across Asia, especially where a significant portion of Malaysia’s outward foreign direct investment (FDI) is present.
Initiatives under this EPP are however largely market-led and depend on the needs and resources of the specific banks, as well as approval of Bank Negara Malaysia (BNM), the central bank.
- RHB Investment Bank formed a strategic partnership with Portugal’s Espirito Santo Investment Bank in January 2014, paving the way for RHB’s entry into Europe.
- RHB Capital Berhad also established its first subsidiary in Laos in June 2014.
- CIMB Group Berhad set up its first branch in Laos in August 2014.
- Malayan Banking Group was granted a foreign banking licence in Myanmar in October 2014.