For shareholders, delivering robust returns is paramount. We maintain our commitment to deliver sustainable and strong returns to our shareholders. In this regard, we are pleased to report that Bank Islam has declared two (2) interim dividends for the financial year ended 31 December 2023. The first and second interim dividend was declared on 30 November 2023 and 28 February 2024, respectively. We view employees as the backbone of the Group and we take responsibility in creating a fair and engaging work environment. We introduced BITI-Friend in 2022, a pioneering platform designed to enhance employee well-being. This initiative facilitates access to peer support and promotes a culture where mental health is prioritised and seeking assistance is normalised, as evidenced by our positive Employee Engagement Index of 78%. For the communities we serve, the expectation is for Bank Islam to contribute meaningfully beyond financial transactions. Our community engagement is exemplified by the Sadaqa House Orphan Fund, aiming to support orphan education. In 2023, we focused on enriching the lives of these children, not just financially but also through personal interaction with our employees actively participating in mentorship and engagement activities. The fund’s impact is quantifiable, with RM1.6 million (RM1,599,939) raised last year, directly benefiting 71 individuals and demonstrating our integrated approach to community support and development. LOOKING AHEAD As we enter 2024, the global economic landscape presents a mixed picture of cautious optimism and lingering uncertainties. The International Monetary Fund (IMF) projects modest global growth. IMF is forecasting a deceleration from 3.0% in 2023 to around 2.7% to 2.9% in 2024, with many economies grappling to balance growth momentum against inflationary pressures and tight monetary policies. This global backdrop, particularly the stabilisation in services and potential recovery in technology sectors will influence financial markets worldwide, impacting banking sector dynamics from lending rates to investment flows. In Malaysia, the economic outlook is more buoyant, with GDP growth anticipated to reach up to 4.7%, supported by a vibrant tourism sector and improving trade conditions. The Malaysian financial sector is expected to mirror this positive trajectory, capitalising on increased consumer spending and investment inflows. However, the banking sector must navigate the risks associated with global economic fluctuations and domestic policy adjustments, suggesting a year of strategic vigilance and adaptability. Our approach will integrate diligent market analysis with innovative customer-focused products and expand our digital banking services. This strategy is aimed at responding effectively to the evolving needs of our customers and exploiting the positive growth trajectory projected for Malaysia. By doing so, we aim to not only navigate the challenges ahead but also emerge stronger, securing sustainable progress for our stakeholders and reinforcing our commitment to excellence in an uncertain economic climate. APPRECIATION & ACKNOWLEDGEMENTS On behalf of the Board, I sincerely appreciate those who have contributed to our progress this year. We thank Encik Azizan Ahmad for his dedicated service and wisdom, which have supported our Board’s efforts. We also acknowledge Dr Yasmin Hanani Mohd Safian for her valuable input to our Shariah Supervisory Council. As they depart, we welcome Tuan Syed Hamadah Syed Othman and Associate Professor Dr Nurul Aini Muhamed, anticipating their contributions to our governance and oversight. Finally, we extend our profound thanks to all our stakeholders for your unwavering support. Your trust and collaboration inspire our journey forward, and together, we look to a future filled with promise and potential. TAN SRI DR ISMAIL HAJI BAKAR Chairman 19 1 2 3 4 5 6 7 8 9 www.bankislam.com KEY MESSAGES
RkJQdWJsaXNoZXIy NDgzMzc=