Public Bank Group (the Group) posted pre-tax profit of RM5.56 billion and net profit of RM4.28 billion for the nine months ended September 2021.
 
However, the prevailing economic condition in 2021 has remained challenging amid the prolonged COVID-19 pandemic.
 
The reimposition of tighter containment measures during the third quarter of 2021 continued to dampen economic growth.
 
For the third quarter of 2021, the Group’s net profit declined by 1.7% to RM1.36 billion compared to RM1.38 billion in the second quarter of 2021.
 
As at the end of September 2021, the Public Bank Group’s total loans recorded an annualised growth of 3.0% to RM353.5 billion.
 
On deposit-taking, the Group’s total customer deposits grew at an annualised rate of 4.8% to RM378.9 billion, supported mainly by its low cost current and savings deposits which grew at an annualised rate of 12.2%.
 
Domestically, total customer deposit grew at an annualised rate of 5.1% to RM350.5 billion.
 
Tan Sri Teh highlighted, “The Public Bank Group’s unit trust business, undertaken by its wholly-owned subsidiary, Public Mutual, registered a pre-tax profit growth of 25.5%, compared to the corresponding period in 2020.
 
As at the end of September 2021, Public Mutual managed a total of 170 unit trust funds with assets under management totalling RM102.7 billion and continued to capture a large retail market share of 32.9%.”
 
Overhead expenses increased by 3.0%, compared to the corresponding period in 2020.
 
The Group has constantly optimised its banking channels, intensified digitalisation initiatives and streamlined its banking operations to drive cost effectiveness as well as to improve customer experience.
 
In the first nine months of 2021, cost-to-income ratio remained stable at 31.7%, as compared to the domestic banking industry’s cost-to-income ratio of 42.8%.”
 
The Group’s gross impaired loans ratio remained stable at 0.3% as at the end of September 2021.
 
As at the end of September 2021, the Group’s loan loss coverage ratio stood high at 320.8%, compared to the banking industry’s loan loss coverage of 120.5%.
 
Including the RM0.4 billion regulatory reserves that has been set aside, loan loss coverage ratio was higher at 358.5%.
 
The Group has been actively providing relief assistance to borrowers who face repayment constraint since the occurrence of the COVID-19 pandemic last year.
 
These relief assistance packages include loan moratorium, as well as the Targeted Repayment Assistance (TRA) and the Expanded Targeted Repayment Assistance (ETRA).
 
The TRA and the ETRA are offered in various flexible packages to suit the need of different customers with varying financial condition.
 
The Group has also been proactively promoting special financing schemes initiated by the Government and Bank Negara Malaysia, such as the Special Relief Fund, Micro Enterprises Facility and Targeted Relief and Recovery Facility, to financially assist SMEs who need additional funds for their businesses amid the pandemic challenges.
 
Tan Sri Teh commented, “The Public Bank Group recognises the calamity brought by the COVID-19 pandemic and has been fully supporting the various initiatives by the Government and Bank Negara Malaysia to address the impact.
 
The Group’s strong commitment to assist borrowers affected by the pandemic, is further reflected in its recent proactive participation in the provision of the six-month moratorium under the PEMULIH, as well as the AKPK Financial Management and Resilience Programme (URUS).”
 
As at the end of October 2021, about RM81.9 billion or 25% of the Group’s outstanding domestic loans are under the Repayment Assistance Programmes, benefiting over 435,000 customers.
 
Overall, the Group’s various financing schemes and repayment assistance have benefitted about 1.9 million of its customers to date.
 
Tan Sri Teh stated, “Despite the continued challenging environment, the Public Bank Group will remain steadfast in its efforts to strengthen its balance sheet, uphold its strong asset quality as well as enhance cost efficiencies further.
 
While embracing the changes stemming from the pandemic, the Group will continue its pursuit of digital transformation and product innovation to strengthen long term business growth.”
 
Tan Sri Teh concluded, “With its resilient fundamentals, the Group remains well placed to navigate any challenges ahead and spur business growth as the country moves toward post-pandemic recovery.”

Public Bank and Public Islamic Bank are offering repayment relief for customers that are affected by the flash floods in several states in Malaysia, including Kuala Lumpur, Selangor, Kelantan, Terengganu, Pahang, Negeri Sembilan and Melaka on 20 December 2021.
 
The repayment relief, includes deferment of monthly instalment for loan and financing of up to 6 months, on a request basis.
 
The repayment relief is applicable to loan and financing facilities such as house financing, hire purchase and credit cards for individual customers, as well as SME loan and financing for affected businesses.
 
In additional to that, charges on the replacement of banking related documents, such as bank cards, passbooks and cheque books that have been destroyed or lost in the floods will be waived.
 
Public Bank and Public Islamic Bank are also collaborating with Lonpac Insurance Bhd in facilitating and expediting all claims to be made by the affected customers.
 
Tan Sri Dato’ Sri Tay Ah Lek, Public Bank’s Managing Director said, “Public Bank has always been supporting its customers during challenging times.
 
In this recent devastating flood, Public Bank will continue with its endeavour to provide full support to its customers to restore their livelihood as soon as possible. Affected customers who require the relief are advised to contact the Bank for more information.”
 
Apart from receiving the repayment relief, Public Bank is providing cash assistance and compassionate leave to staffs that are affected by the flood.

Public Bank (the Bank) continue to provide full support for its customers affected by the COVID-19 pandemic, said Public Bank’s Managing Director and Chief Executive Officer, Tan Sri Dato’ Sri Tay Ah Lek.
 
“With the gradual reopening of the economy, Public Bank understands that there are still customers who continue to require assistance. We are committed to supporting all our customers during these challenging times,” he said.
 
By proactively ensuring the financial needs of its customers are attended to, Public Bank had been offering financial assistance which include moratoriums and targeted repayment assistance to suit their changing financial needs.
 
The Bank has offered moratorium for about 1.5 million customers with over RM210 billion loans during the first six-month automatic loan moratorium between April and September 2020.
 
On top of that, various flexible targeted repayment assistances have been offered to assist the customers. As of end September 2021, over 429,000 customers with more than RM76 billion loans continue to receive these targeted repayment assistances.
 
Public Bank has also continuously supported the small and medium enterprises (SMEs), which play an important role from generating employment to contributing to the nation’s Gross Domestic Product (GDP).
 
Apart from repayment assistance, ensuring SMEs’ continuous access to financing is vital and despite the tough operating environment, the Bank has approved more than RM12.7 billion of financing to more than 50,000 SMEs since the beginning of the pandemic.
 
On top of that, the Bank had also participated in various Government and Bank Negara Malaysia (BNM) schemes with an approved amount of RM3.4 billion which has assisted more than 17,000 SMEs.
 
Having access to finance by SMEs leads to creating employment, supporting livelihoods and contributing to the nation’s economy.
 
As one of the leading SME financier with about 22% market share, Public Bank remained dedicated to this mission which can be seen in its annualised growth of 4.6% with total financing of RM68.3 billion as at June 2021.
 
Another aspect that Public Bank looks at is assisting SMEs in capacity building.
 
“It is very important that SMEs understand the fundamentals of running a business, particularly during unprecedented times as this. We have organised roadshows to keep them abreast with the options that they have as the pandemic continue to present us with uncertainties,” he said.
 
Public Bank had also been organising virtual roadshows prior to the pandemic to deliver quality advisory services and address the information asymmetry issues faced by the SMEs.
 
Drawing large crowds from the SME community nationwide, these roadshows help to elevate their awareness and knowledge on the availability of funds and financing schemes.

Small and Medium sized Enterprises (SMEs) continue to adapt to new normal posed by the COVID-19 pandemic. Many SMEs are now steadily building their business momentum to capitalise on the reopening of the economy, including the resumption of interstate travel.
 
Since the beginning of the pandemic in March 2020, Public Bank has been offering financial assistances to help its customers to tide through the pandemic.
 
Public Bank’s Managing Director and Chief Executive Officer Tan Sri Dato’ Sri Tay Ah Lek said the Bank has been weathering the storms with their customers through thick and thin throughout the years, including three global crises and is not stopping any time soon as he quoted “we are in this together”.
 
Although the customers are gradually getting back on their feet again financially, Tan Sri Tay stressed that Public Bank is always ready to “handhold them again at any time”.
 
The improvement in the economy is greatly supported by the Government and Bank Negara Malaysia (BNM) with their ongoing proactive policy support and guidance.
 
Various financing schemes, such as the Special Relief Facility, Targeted Relief and Recovery Facility, Penjana SME Financing and others have all helped to put the whole economy on a better footing.
 
During the first lockdown in 2020, an event organiser who only wants to be known as Arif shared his worries, and was prepared for the worst.
 
“I am concerned of how to pay my bank instalments as I just only started a business with a loan and I have not made a profit yet,” Arif said.
 
All his staff was retained throughout the pandemic, as he expressed his gratitude to Public Bank which steadfastly stood by them by offering them a helping hand through the various financing assistance schemes, beginning with the first loan moratorium in 2020.
 
For motorcycle repair and sales business owner who only wants to be known as Sujendran, he is grateful that Public Bank’s assistance has not only took away his worries, but has also helped all his workers retain their job, ensuring that they are still able to put food on table.
 
With the financial assistance, Sujendran can now afford to take a breather on his worry – which would have kept most SMEs up at night, not knowing what tomorrow would bring.
 
“I am less worried as I can sustain the business with all my workers working for the time being,” he said.
 
Arif and Sujendran are some of the 1.5 million customers who have received Public Bank’s first six month loan moratorium between April and September 2020 offered to customers affected by the COVID-19 pandemic.
 
Another SME owner who only wants to be known as Foo shared her concerns of the pandemic, and has prepared herself for the worst. “This include loss of income, shutting down my business, among others,” she said.
 
The biscuit manufacturer with more than 70 workers managed to tide through the pandemic with the subsequent repayment assistances offered by Public Bank.
 
Over 429,000 customers with more than RM76 billion loans continue to receive these targeted repayment assistances as of end September 2021.
 
Arif shared his experience applying for the financial assistance and said the process was smooth and approval was granted in less than a day.
 
Adding to the list of positive experiences, Sujendran said “Public Bank staff explained to me patiently and they were empathetic when I asked for help,” he said.
 
Arif, Sujendran and Foo are among the SMEs who have received assistance via the various Government and BNM schemes which Public Bank has approved an amount of RM3.4 billion, assisting more than 17,000 SMEs.
 
Ensuring SMEs’ continuous access to financing is vital and despite the tough operating environment, Public Bank has approved more than RM12.7 billion of financing to more than 50,000 SMEs since the beginning of the pandemic.
 
What some of these SMEs have in common when sharing their feedbacks was that they were confident that Public Bank would continue to work hand in hand with them throughout these trying times.
 
“I have been a customer of Public Bank for many years. When I told the Bank my business was greatly affected by the pandemic and I needed financing to stay afloat, the Bank immediately understood what my needs are. The financial assistance was then granted without much hassle,” Arif said.
 
SMEs are the backbone of the nation’s economy and Public Bank has been reaching out to them to ensure that they have all the necessary liquidity to stay afloat through this pandemic.
 
“Every single ringgit that goes to them, will go a long way, from buying raw materials from suppliers to making a profit which will eventually be contributed as taxes payable to the Government. In the process, their employees and those working in the whole supply chains get to put food on the table for their families.”
 
“Ongoing engagement will continue and various flexible repayment packages will remain open for applications. We are committed to continue assisting customers who are still financially impacted by the pandemic,” Tan Sri Tay said.

Budget 2022 themed ‘Keluarga Malaysia, Makmur Sejahtera (A Prosperous Malaysian Family)’ was presented by Finance Minister YB Senator Tengku Datuk Seri Utama Zafrul Bin Tengku Abdul Aziz in Parliament on 29 October 2021.
 
The Government has allocated a total of RM332.1 billion for Budget 2022, the highest value compared to previous budgets.
 
A total of RM233.5 billion was allocated for operating expenditure, RM75.6 billion for development expenditure and RM23 billion under the COVID-19 Fund.
 
The banking sector has reacted positively to the initiatives included in Budget 2022, which has been lauded as expansionary and with the Rakyat’s well-being in mind.
 
In respond to the Budget 2022, Tan Sri Dato’ Sri Dr. Teh Hong Piow, Founder, Chairman Emeritus, Director and Adviser of Public Bank has commented in the following statement:
 
“We are very encouraged to note that the Government has again prioritised the Rakyat’s well-being as a key focus pillar when formulating Budget 2022.
 
As widely expected, Budget 2022 is expansionary, but nevertheless a necessary one and comes at a pivotal time as Malaysia charts its post pandemic growth.
 
With a renewed path mapped out and the country’s investment prospects reinvigorated, underpinned by Budget 2022, the Public Bank Group will continue to play its role in actively facilitating growth, while also continuing to engage with customers and providing assistance when and where necessary to aid in the rehabilitation and rebuilding of our national resilience.
 
To this end, the Government’s ongoing initiatives in providing support by way of subsidies, grants, and various other measures of assistance totalling RM31 billion is lauded.
 
We applaud Budget 2022 which appropriately balances the mix between reducing income inequality, expanding on targeted assistance to households and businesses while also investing into the nation’s healthcare and basic infrastructures.
 
Amongst specific measures include allocating RM8.2 billion to a newly-introduced Bantuan Keluarga Malaysia program which will benefit 9.6 million recipients and RM4.8 billion set aside to create 600,000 employment opportunities.
 
Just as importantly, Budget 2022 also focuses on the future with spending allocated toward enhancing digital and technological infrastructures, while facilitating the transition of industrial sectors toward greater automation.
 
It is important that no one is left behind in the eventual unfolding of this new age of development. To this end, the Government’s allocation of RM30 million to provide internet access to 40 low-cost housing schemes and RM700 million toward ensuring digital connectivity in 47 industrial areas and 630 schools in rural areas is very much welcomed.
 
The Public Bank Group affirms its commitment in partnering the government and various stakeholders toward advancing sustainability-based agendas.
 
The world has made progress in arresting the negative effects from climate change, but more can and needs to be done. Apathy will be the greatest injustice to our future generations.
 
We are fully supportive of Budget 2022 and see it as an important platform to reignite the drive of the nation. Both the public and private sectors must work in partnership to spur economic recovery, while ensuring that the Rakyat’s welfares are preserved.”

 

In line with Public Bank’s aspiration to stay ahead of the pack, the Bank continues to be honoured with four new awards as at 6 December 2021. The following are the latest awards and recognitions received by the Bank.
 
A.        Bank of New York Mellon
1.         Straight Through Processing Award for achieving outstanding straight through processing rates in
            payment transfer operations for MT103 in 2020
 
B.        The Banker
2.         Bank of the Year in Malaysia 2021
 
C.        J.P. Morgan Chase Bank
3.         MT103 - 2021 Elite Quality Recognition Award
4.         MT202 - 2021 Elite Quality Recognition Award

Public Bank was awarded the Top Financial Institution (FI) Partner Commercial Bank and imSME categories under Credit Guarantee Corporation (CGC)’s 26th FI/DFI & SME Awards 2020.
 
The Award was held virtually on 10 November 2021 and was officiated by YB Senator Tengku Datuk Seri Utama Zafrul Bin Tengku Abdul Aziz, Minister of Finance.
 
The FI/DFI & SME Awards recognises CGC’s strategic FIs and DFIs partners for their significant role in providing a valuable contribution towards MSME financing and development as well as its SME customers with excellent credit track records and business success.

 

Public Bank Founder, Chairman Emeritus, Director and Adviser, Tan Sri Dato’ Sri Dr. Teh Hong Piow has been conferred the inaugural Honorary Fellowship of the Institute of Corporate Director Malaysia by the Institute of Corporate Directors Malaysia (ICDM) in recognition of Tan Sri Chairman Emeritus’ exemplary leadership in upholding excellence in governance and high ethical standards, outstanding achievements, contribution and impact in the financial services sector.
 
The presentation of the certificate was held at ICDM’s Office on 15 December 2021.
 
Tan Sri Dato’ Sri Tay Ah Lek, Managing Director received the certificate of conferment on behalf of Tan Sri Chairman Emeritus from Tan Sri Zarinah Anwar, Chairman of ICDM.
 
The Honorary Fellowship is the highest category of membership with ICDM and carries the post-nominal title of ‘ICDM (HF)’.
 
The ICDM is a national institute of directors established to strengthen the standards of governance in the corporate sector, particularly by reinforcing self-discipline amongst board members through continuous elevation of skills, knowledge and competencies.
 
The ICDM is supported by Bank Negara Malaysia and Bursa Malaysia.

Public Bank was awarded the Highest Return on Equity (ROE) Over Three Years for the Financial Services (RM10 Billion and Above Market Capitalisation) category and Highest Return on Equity (ROE) Over Three Years for the Super Big Cap Companies (Companies With More Than RM40 Billion Market Capitalisation) category by The Edge Billion Ringgit Club (BRC) annual gala dinner held on 13 December 2021 at Shangri-La Hotel Kuala Lumpur.
 
The Edge BRC recognises excellence in companies with a market capitalisation of above RM1 billion. The billion-ringgit cut-off serves as an aspirational target for dynamic smaller companies. Companies are added to the annual list automatically at the cut-off date of March 31 and are evaluated on growth in profit, returns to shareholders and corporate responsibility (CR) commitments, among others.
 
Apart from their respective Bursa Malaysia-defined industry peers, BRC members are also ranked against companies with similar market capitalisation through the creation of the Super Big Cap (companies with more than RM40 billion in market capitalisation) and Big Cap (companies with RM10 billion to RM40 billion in market capitalisation categories.

A 15-year consecutive recognition as the ‘Best Bank in Malaysia’ by Alpha Southeast Asia at its 15th Annual Financial Institution (FI) Awards recently speaks volume of Public Bank’s commitment to excellence.
 
To add more feathers to an already overflowing cap, Public Bank also won the ‘Best Retail Bank in Malaysia’ award for the third year with the past two awards won in 2020 and in 2018 when the award was first introduced.
 
Alpha Southeast Asia was established in January 2007 and is the first and only institutional investment magazine focusing on Southeast Asia (Indonesia, Malaysia, Philippines, Singapore, Thailand and Vietnam).
 
The criteria for the FI awards are opened to locally incorporated banks and financial institutions headquartered in Southeast Asia. Meanwhile, Alpha Southeast Asia is based in Hong Kong.
 
In a statement issued by Alpha Southeast Asia, benchmark investors evaluate banks by their balance sheet strength.
 
Relying on its plain-vanilla approach - bank lending and customers’ priorities, Public Bank continues to entrench its roots deeper by strengthening its local market position year after year, enhancing the Bank’s reliability through strong loan growth, core customer deposits and its stable asset quality.
 
Despite intensifying competition by including in Government-Link Banks, Developmental Financial Institutions (DFI) and other Private Financial Services Institutions, Public Bank has remained steadfast and focused when it comes to the country’s burgeoning retail segment.
 
Public Bank’s Founder, Chairman Emeritus, Director and Adviser, Tan Sri Dato’ Sri Dr. Teh Hong Piow said, “It is an honour to be bestowed with these two awards by Alpha Southeast Asia. It is indeed a testimonial of our hard work and commitment in excellence. Moving forward, we will continue to entrench the excellent corporate conduct and uphold a high level of accountability and responsibilities to optimise our stakeholder values.”

 
Tan Sri Dato' Sri Dr. Teh Hong Piow 

For the first half of 2021, Public Bank Group (the Group) posted pre-tax profit of RM3.79 billion and net profit attributable to shareholders of RM2.91 billion.
 
Tan Sri Dato’ Sri Dr. Teh Hong Piow, Founder, Chairman Emeritus, Director and Adviser of Public Bank said that the profitability was largely supported by its core business of lending and deposit-taking, further driven by its non-interest income.
 
Compared to the first quarter of 2021, net profit in the second quarter of 2021 declined by 9.5% to RM1.38 billion; mainly arising from higher pre-emptive provisions set aside for loan impairment.
 
The financial performance was significantly affected by COVID-19 pandemic and Tan Sri Teh added that “given the low base effect from a year ago, coupled with the recovery of the Malaysian economy into 2021, the Group registered improved performance in the first half of 2021.
 
However, the spike of COVID-19 cases and the imposition of more stringent containment measures in the second quarter of 2021 had continued to weigh on the Group’s business performance.”
 
Proactive measures such as prudent risk management and productivity enhancement are taken by the Group to recalibrate its business strategies resulting and enabling the Group to register a net return-on-equity of 12.9% and an efficient cost-to-income ratio of 31.6% during the first half of 2021.
 
“In appreciation of shareholders’ continued support, the Board of Directors has declared a first interim dividend of 7.5 sen per share with a total dividend payout of RM1.46 billion, representing 50.0% of the Group’s net profit for the half year ended 30 June 2021,” Tan Sri Teh announced.
 
Tan Sri Teh commented, “The Public Bank Group remains mindful of the impact of the prevailing strong headwinds on the loan repayment capability of its customers. The Group has continued to engage its customers and provide flexible financial relief assistance to those in need.”
 
The Group also proactively promotes special financing schemes initiated by the Government and Bank Negara Malaysia; such as Special Relief Fund, Micro Enterprises Facility and Targeted Relief and Recovery Facility, to financially assist SMEs who need additional funds for their businesses amid the pandemic challenges.
 
“With the resurgence of the COVID-19 cases, the imposition of MCO 3.0 has posed more pressure on the borrowers’ financial conditions. The Group is very supportive of the Government’s latest measures in the National Recovery Plan, with continued active engagement with its customers to offer loan moratorium and various flexible repayment assistance packages,” Tan Sri Teh further added.
 
The Malaysian economy is expected to continue on a gradual recovery path, underpinned by the Government’s comprehensive measures introduced under the National Recovery Plan and the acceleration of the national vaccination programme.
 
However, there remains an unprecedented condition of uncertainty if the spread of the COVID-19 pandemic is not well contained.
 
“As strong headwinds persist, the Group will remain vigilant of the significant uncertainties on the road to recovery ahead. The Group will remain committed to disciplined cost control and prudent risk management in order to build ample buffers to absorb possible adverse shocks caused by the pandemic.
 
With its strong PB brand, resilient asset quality and excellent customer service, the Group is well positioned to forge ahead with continued business growth and deliver its commitment of excellence to all its stakeholders,” Tan Sri Teh concluded.

 

Public Bank bagged three awards at the Malaysian e-Payments Excellence Awards (MEEA) 2021 for its outstanding contribution towards the growth of Malaysia’s e-payment ecosystem.
 
The three awards are Best MyDebit Bank, Best MyDebit (Acquirer – Bank) and Best IBG Bank. Public Bank has been winning these awards multiple times throughout the years. The ‘Best MyDebit Bank’ in Malaysia has been awarded for the fifth consecutive year.
 
MEEA is organised annually by Payments Network Malaysia Sdn Bhd (PayNet) aimed to recognise outstanding achievements of banks, businesses and government agencies that have contributed significantly towards excellence, innovation and growth of e-payments in Malaysia.
 
As Public Bank believes in the importance of fulfilling customers’ experience in the new normal, the Bank’s key digitalisation initiatives remained focus on enhancing convenience, efficiency, security and innovation of its products and services.
 
Public Bank will continue to provide full support to boost the country’s migration to electronic payments by launching more e-Payment initiatives while continuously enhancing its digital banking platform, creating a unique and better user experience.
 
Public Bank aims to deliver continued service excellence to its customers, particularly on the delivery of contactless and cashless digital payment service such as merchant online onboarding and online payment.
 
The efforts taken aimed to reduce physical contact between buyers and traders in the times of COVID-19 pandemic.
 
In preventing cyber security threats, Public Bank ensures a robust management of information security by constantly reviewing its policies and standards pertaining to information security and cyber threats management.
 
The Bank’s ultimate goal is to ensure a secure banking environment to customers and mitigate possible future risks for their peace of mind.

Public Bank Group has extended its PBe QR service to support DuitNow QR Cross Border Payment between Malaysia and Thailand.
 
Public Bank is the first bank in Malaysia to enable DuitNow QR Cross Border Payment which facilitates retail-based QR payment between the two countries. This service will pave way for post pandemic when the borders reopen.
 
The Bank will continue to foster close collaboration with Payment Network Malaysia Sdn. Bhd. (PayNet), enabling transactions to more ASEAN countries in the near future.
 
“Our immediate focus is to push for greater financial inclusion by enabling Micro, Small and Medium Enterprises (MSMEs) with more efficient ways and safe options to accept payments from foreign tourists when our borders reopen. PBe QR, on top of the existing domestic DuitNow QR payment services will be a catalyst to this - providing simple, cost-effective and secure solution to enable MSMEs in accepting cashless payments,” said Tan Sri Tay Ah Lek, the Managing Director of Public Bank.
 
Tan Sri Tay further added, “We are supportive of the nation’s direction towards digitalisation of various banking services and the creation of a financially inclusive society.
 
With the increasing use of smartphones for banking, we are getting there and will continue to deliver the most efficient and convenient payment services for our customers.”

In line with Pakej Perlindungan Rakyat dan Pemulihan Ekonomi (PEMULIH) announced by the 8th Prime Minister, Public Bank’s customers can now opt-in for a 6-month moratorium from 7 July 2021 onwards.
 
Opt-in submissions will be based on customer’s self declaration and no document is required.
 
The 6-month moratorium is offered to both individual – regardless of their income level and MSME customers that are financially challenged in their loan repayment during this pandemic.
 
Alternate option will be 50% reduction following their monthly instalment payment for 6 months.
 
In addition to the above condition, rescheduling and restructuring of loan and financing arrangement are also provided by the Bank in easing customers’ convenience and requests. Public Bank’s arrangement is made to suit specific financial conditions of customers.
 
Public Bank Managing Director, Tan Sri Dato’ Sri Tay Ah Lek said today, “With the resurgence of COVID-19 cases and the imposition of a more stringent Movement Control Order, Public Bank reassures customers its commitment and provision of financial assistance will continue nationwide. We hope our customers will continue to remain optimistic as Public Bank will continue to support them to navigate through the pandemic.”
 
Customers’ Central Credit Reference Information System records remained unaffected by any form of COVID-19 repayment assistance.
 
To facilitate convenient and efficient opt-in submission by customers, Public Bank’s digital platform enables a straight-through online process on customers’ submission for the repayment assistance.

15.1% Net Profit Growth In Q1 2021

 

Public Bank continues to play its part and remain fully committed to provide immediate assistance for affected customers with its ongoing Targeted Repayment Assistance (TRA) Programme, which was launched in August 2020.
 
On 14 June 2021, Public Bank Managing Director, Tan Sri Dato’ Sri Tay Ah Lek said, “The Bank’s TRA Programme has been progressing very well. To date, this programme has assisted over 160,000 customers, with relief assistance amounting about RM40 billion and approval rate of close to 100% of total customers’ submissions.”
 
For the B40 segment, customers who lost their jobs and well as SMEs / microenterprises that are not allowed to operate during the MCO, the Bank offers a loan deferment for three months or a 50% reduction in the monthly instalment repayment for six months.
 
The Bank has customised its repayment packages with accommodative monthly instalment reduction to cater to the needs of the Bank’s varying customer base with different financial conditions. Customers may also propose any other reschedule or restructure arrangement that suit their financial needs.

Public Bank’s Founder, Chairman Emeritus, Director and Adviser, Tan Sri Dato’ Sri Dr. Teh Hong Piow’s banking acumen continued to be recognised with the Asian Corporate Director Recognition Award 2021 from Corporate Governance Asia, in conjunction with the Asian ESG Award 2021 - The Best of Asia.
 
The award was in recognition for Tan Sri Teh’s outstanding contribution with continuous focus on the corporate governance of Public Bank.

COVID-19 is life threatening. The rapid and prolonged spread of COVID-19 and the measures taken by governments to contain it have had serious consequences for the nation’s population, both on professional and personal level. Many productive activities have been disrupted and have resulted in all of us going through fears, struggles and insecurities.

Feeling the distressed and awareness that vaccination is the key to overcoming the pandemic, Public Bank has embarked its own Corporate COVID-19 Vaccination Programme (CCVP) starting with Kuala Lumpur and Selangor at the initial cost of RM1.2 million.

Between 17 and 20 July 2021, Phase 1 of the CCVP kicked off at two vaccination centres for staff in Klang Valley and by 10 August 2021, the participating staff totalling to 1,329 had completed their second dose of the Sinovac vaccine. Staff outside of Klang Valley who have yet to be vaccinated would be included in the CCVP in phases.

The CCVP initiative was made to encourage all staff to protect themselves against the virus as well as to hasten the process of achieving herd immunity in the workplace and the community.

In a Special Message sent personally to all staff, Tan Sri Chairman Emeritus said, “It is my hope that all staff will stay healthy and safe. The virus does not differentiate. It pains me that Public Bank staff too has not been spared. With infectivity rate continuing to spike, vaccination seems to be the key to overcoming the pandemic.”
​
“The strong commitment you have shown to our customers and the community we serve as well as the hard work you have put in to ensure the sustainability of the Bank, have been nothing short of extraordinary. For that, I am most pleased and proud of all of you,” continued Tan Sri Chairman Emeritus.

Public Bank held its 55th Annual General Meeting (AGM) on 24 May 2021 virtually at Menara Public Bank, in view of the on-going fight against the spread of the COVID-19 pandemic and to support the practice of social distancing and minimising exposure to crowded places.
 
Shareholders participated the Bank’s AGM at the comfort and safety of their homes through live streaming and online remote voting via Remote participation and Voting (RPV) facilities.
 
Mr. Lai Wan started the AGM at 11.00 a.m. with an introduction of the Board Members present physically and virtually as well as his opening remarks. The AGM continued with the 2020 performance review presentation by Tan Sri Tay.
 
Tan Sri Tay further proceeded to answer questions from the Minority Shareholder Watchdog Group (MSWG) as well as questions posted by shareholders during the virtual AGM.
​
The AGM was a success with shareholders voting for all the seven ordinary resolutions set out.

Public Bank continue to be at the forefront in the fight against the COVID-19 pandemic with the adaptation of best practices during this period. This is seen in the recent Extraordinary General Meeting (EGM) using modern communication technology where shareholders can attend the EGM without leaving the comfort and safety of their home.
 
Social distancing and minimising exposure to crowded places is the new normal and the EGM held at Menara Public Bank on 12 January 2021 adapts to these needs where the EGM was conducted through live streaming and online remote voting via Remote Participation and Voting (RPV) facilities.
 
Following its filing with the stock exchange on 8 December 2020, the EGM’s ordinary resolution proposed a bonus issue of up to 15.53 billion shares on the basis of four new shares for every one existing unit held to reward shareholders where existing shareholders will have greater participation in the equity of the Bank in terms of the number of shares held.
 
The EGM was a success with more than 99.9% of the shareholders voted for the bonus issue proposal while only 0.0019% voted against the proposal.

For the financial year 2020, Public Bank Group (the Group) posted pre-tax profit and net profit attributable to shareholders of RM6.29 billion and RM4.87 billion respectively, both lower by 11.9% and 11.6% as compared to 2019. The lower profit in 2020 was mainly attributable to the net interest margin compression arising from the 125 basis points Overnight Policy Rate (OPR) reductions during the year, and the one-off net modification loss of RM498 million incurred due to the COVID-19 relief measures offered to individuals and businesses.  
 
Tan Sri Dato’ Sri Dr. Teh Hong Piow, the Founder, Chairman Emeritus, Director and Adviser of Public Bank, said, “Once again, the Public Bank Group’s business model demonstrated strength and resilience during this challenging time. This was supported by disciplined execution of the strategic priorities, along with prudent risk management practices. The Group continued to maintain its resilient fundamentals in 2020, delivering net return on equity of 11.2% whilst sustaining its low gross impaired loan ratio of 0.4% as well as efficient cost-to-income ratio of 34.6%.”
 
Operating profit before loan loss allowances recorded a growth of 1.6% to RM7.40 billion, as compared to RM7.28 billion a year ago. This was mainly attributed to steady loan and deposit growth as well as a commendable growth in fee-based revenue.
 
In its appreciation of shareholders’ support, the Board of Directors declared a dividend of 13 sen per share, which amounted to a total dividend payout of RM2.52 billion, representing 51.8% payout of the Group’s net profit for 2020.
 
The Group also continued to extend its targeted repayment assistance programme which consists of various flexible repayment packages that suit varying customers’ financial needs, including individuals, SMEs and corporate customers.
 
Tan Sri Teh concluded, “Amid the prevailing economic conditions, the Public Bank Group will remain vigilant and agile in balancing growth with risks. As the Group focuses on organic growth strategy in retail and commercial banking, it will continue to strengthen its resilient business model and core competencies, including its superior asset quality, efficient cost management and customer service excellence.”

Effective on 11 January 2021, Public Bank offered repayment relief for loan and financing customers who have been affected by the recent floods in several states in Malaysia.
 
Base on requests basis, the repayment relief included deferment of monthly instalment for loan and financing of up to 6 months applicable to loan and financing facilities such as house financing, hire purchase and credit cards for individual customers, as well as SME loan and financing for affected local businesses.
 
Secondly, there is also a waiver of charges on the replacement of banking related documents, such as bank cards, passbooks and cheque books that have been destroyed or lost in the floods.

The Bank is also collaborating with Lonpac Insurance Bhd in facilitating and expediting claims to be made by the affected customers on losses covered by insurance policies underwritten by Lonpac.
 
Public Bank Managing Director, Tan Sri Dato’ Sri Tay Ah Lek said, “Public Bank stands ready to support the needs of customers who have been affected by the massive floods. The repayment relief would alleviate their financial burden and help in restoring their livelihood. Customers who need the repayment relief are advised to contact Public Bank for more information.”