Bank Islam Integrated Annual Report 2022

COMMUNITY EMPOWERMENT What It Means Value Created What We Did Outlook As a listed Islamic bank with VBI as our core business model, we prioritise achieving Maqasid al-Shariah by emphasising communities’ well-being. Financial inclusion is a crucial enabler of our environmental, social and governance (ESG) and sustainability principles by fostering positive transformation and socio-economic impact through financing. • Provided social assistance through various financing plans such as Asnaf Zakat Home Ownership Personal Financing Plan, Awqaf Ummah Home Financing Plan, and Bayt As Solah Financing. • Distributed RM5.1 million in 2022 and RM10.1 million since 2018. • Channelled RM4.63 million into our iTEKAD microfinancing programme. • Launched the Sadaqa House Orphan Fund, with RM1.5 million raised in contribution. • Enhance the lives of 10,545 beneficiaries in 2022 by supporting families and small business owners with social finance initiatives. • Supported the economic status of 40 microentrepreneurs. • Assisted 566 borrowers through both iTEKAD BangKIT and iTEKAD Maju In the coming year, we will focus on financing disbursement and funding those in need. We plan to channel RM11 million in blended financing, allocate RM1 million for escalator funding, and disburse RM2.8 million for Asnaf Personal Financing-i recipients. We aim for 10% of funding recipients to improve their creditworthiness and 30% to see improvements in their socio-economic quality of life. Looking to the medium to long-term, our goal is to raise a perpetual fund of RM1 billion by 2040. We have committed to partnering with three implementing organisations, OrphanCare Foundation, Pertubuhan Anak Yatim Malaysia (PEYATIM), and Youth Empowerment Foundation (YEF), over four years in support of the Orphans Agenda. The perpetual fund’s returns will be used to distribute a minimum of RM3 million monthly for the welfare and education of orphans. Bank Islam Malaysia Berhad 57 Management Discussion and Analysis 01 05 03 07 02 06 09 04 08

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