Maybank to expand business in Mindanao

Maybank is taking up the call by the Malaysian government to help improve the economic life of the people of Bangsamoro by expanding its financial services and investing in the now trouble-free Mindanao region in the Philippines.

Recently, Malaysia brokered the peace agreement between the Moro Islamic Liberation Front (MILF) and the Philippines government whereby the two parties agreed to lay down arms after decades of fighting over Mindanao.

We are all very happy with the peace treaty that had been signed, as this would allow Mindanao to be developed further, Maybank President and Chief Executive Officer (CEO) Datuk Seri Abdul Wahid Omar told a media conference here today.

He said Maybanks investment would be in line with the Malaysian government's call to invest and help the Bangsamoro, and was also in consistent with the wishes of the Philippines government.

Maybank currently has three branches in Mindanao, namely in Cagayan de Oro, Davao and Zamboanga.

Abdul Wahid said its current plan this year was to open up four more branches in the region that would be more than doubling its network.

With the peace treaty, we hope there would be a lot more investments and economic activities in Mindanao, he said.

Abdul Wahid, who is here to attend the official launching of Maybank Philippines Incorporations (MPI) new corporate centre at Bonifacio Global City, said the bank planned to open 25 branches this year, and another 25 in 2014 and thereafter reaching a total of 200 branches by 2018.

He said Maybank was committed in growing its business with the development of the country and its investmests in the Philippines would be a very long-term one.

MPI currently has 54 branches located in key economic areas throughout the country, with the 55th due to be opened in Davao at the end of this month.

Its capital currently stands at US$145 million from US$40 million in 1997.

Total assets of MPI have grown almost nine times from US$141 million to US$1.3 billion during this period, while loans have expanded from US$44 million to US$775 million.

MPI's profit before tax for 2012 reached US$20 million from US$12 million a year earlier and US$5 million in 2010.

MPI is the 24th largest bank by assets in the Philippines.