Maybank monitoring Dubai debt crisis closely

MALAYSIA'S biggest lender Malayan Banking Bhd (Maybank) (1155) does not expect to be affected by the debt crisis in Dubai as its loan exposure there is only a fifth of a per cent of its total.

"Our branches in Bahrain and London are monitoring the situation closely. We are hopeful and believe the issues in Dubai will be resolved," said chief executive officer Datuk Sri Abdul Wahid Omar in Kuala Lumpur yesterday.

On November 25, Dubai sought a freeze on repayment of US$26 billion (RM89.44 billion) debt linked to Dubai World and its two main property units, Nakheel and Limitless World.

Wahid was speaking to reporters after a signing ceremony with MoneyTree (M) Sdn Bhd to sponsor a year-long financial literacy programme for school children and college students.
Dubbed the "Maybank-MoneyTree Young Entreprenuership Startup (Y.E.S) Challenge", the programme is part of the bank's corporate social responsibility (CSR) programme.

MoneyTree conducts courses to educate young people on financial literacy and skills to manage personal finance with age ranging from six years old to 20 years old.

Under the deal, Maybank will sponsor about 5,000 students selected by their teachers and lecturers.

Depending on the age and duration of the course, the cost of the programme ranges between RM90 and RM588 per student.

The CSR effort aims to meet the bank's target of growing its young market segment. The bank now manages two million savings account for those under the age of 18 years old.

Meanwhile, Wahid said Maybank is on track to meet its projected two million Visa debit card holders within the next two months.

The bank is looking at a double-digit growth next year. Debit cards record RM100 million transaction a month or about RM1 billion a year.

"Our target to grow the issuance of debit cards is in line with the government's aim to encourage cashless payment," he said.