Launching of Hong Leong Islamic bank
Kuala Lumpur, 19 July 2005
Enter Hong Leong Islamic Bank – A Fresh, New Name In The Islamic Banking Scene
The official launching of Hong Leong Islamic Bank (HLIB) today marks another milestone in the onward development of the Islamic banking sector in Malaysia. Being one of the earliest Islamic banks to be set up by domestic commercial banks, HLIB brings to consumers a more varied selection of Islamic banking services in the market.
HLIB is a wholly owned subsidiary of Hong Leong Bank (HLB), having been incorporated as a separate entity on 28 March 2005. With its beginnings as the Islamic Banking Division of Hong Leong Bank, HLIB is today a full-fledged Islamic bank, a dedicated brand offering a comprehensive range of innovative solutions covering areas like structured finance, capital market, personal financial services and wealth management.
“The launching of Hong Leong Islamic Bank represents our commitment to provide a variety of financial offerings to our customers. HLIB is thereafter, poised to meet the needs of our customers seeking an alternative to conventional banking,” says Y.Bhg. Tan Sri Quek Leng Chan, Chairman of HLB and HLIB, in his speech at the launching ceremony.
While a separate entity, HLIB will tap on HLB’s shared services and strengths in networking as it builds up its niche in retail wealth management and investment banking based on the tenets and principles of the Shariah. With all the existing 182 branches nationwide operating Malaysian consumers have a choice of both conventional and Islamic banking products and services to meet their multi-faceted needs.
“As a Group, we have always adhered to our guiding principles of integrity, trust and service, values that are consistent with Islamic banking. We assure our customers that these same virtues of ethical banking and good human values will guide HLIB’s way of doing business and forging a stronger relationship with them. Advances in Islamic banking will occur through partnership rather than working in isolation, creating value and worth for our partners and customers,” says Y.Bhg. Tan Sri Quek.
HLIB will move towards creating value for its customers by enhancing the existing generic Islamic based traditional debt financing product to the internationally accepted Musharaka-based and Ijara-based products as well as developing its wealth management and private banking capabilities. HLIB is also committed towards Islamic Debt and Equity Capital Market in Malaysia, the region and the Gulf countries.
HLIB will embark on ongoing comprehensive and integrated marketing initiatives to position itself in the market consistent with national objectives of building a regional Islamic banking hub in Malaysia.
Concurrent with HLIB’s launching date, the latest Islamic financial product, Hong Leong Current Account One-i is launched. This new cheque drawing account is based on the principles of Mudharabah or Trustee Profit Sharing. Available at all the Bank’s branches, it offers attractive returns on credit balances based on the predetermined profit sharing ratio agreed by HLIB and the customer from time to time. With a minimum opening deposit of RM1,000, the customer gets to enjoy monthly profit crediting based on multi-tiered profit rate – the higher the account balance is, the higher the profit earned.
On the corporate business side, HLIB has been on a continuous drive to assist its customers to grow their businesses. Its recent deal was to provide a RM 60 million Bai Bithaman Ajil Term Financing for a valued client to structure finance a real estate in Klang Valley and is looking forward to closing a RM120 million Structured Ijara leasing facility for a Government Corporation.
Efforts to train and develop its staff in providing value-added financial services advice will be part and parcel of HLIB’s commitment to the industry. In addition, HLIB is committed towards the development of Islamic finance products and services. HLIB will also strive to contribute to the education of understanding the fundamentals of Islamic Banking and make known to the public that Islamic Banking is the alternative to conventional banking which is open to all regardless of race and religion.
With a dedicated emphasis on providing solutions, quality and timeliness of delivery, HLIB’s approach to business and services is positioned at setting it apart from its competitors.
Press Release - 19/7/2005
Hubungan Media
Group Corporate Affairs & Public Relations
Hong Leong Bank Berhad
DID: 03-20808888 ext 3281
Email: capr@hongleong.com.my