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Economy in brief: Bank Muamalat prepares rights issue
Sharia lender Bank Muamalat Indonesia says it is optimistic about its business prospects as it prepares a rights issue
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Sharia lender Bank Muamalat Indonesia says it is optimistic about its business prospects as it prepares a rights issue.
“Alhamdullilah [thank God], Bank Muamalat is doing well. We are seriously considering several potential investors so that we can carry out an expansion,” said Bank Muamalat Indonesia president director Achmad K. Permana in a statement on Friday.
He said all shareholders of the bank supported the rights issue.
According to the statement, the shares of Bank Muamalat are, among others, owned by the Islamic Development Bank (IDB) (32.74 percent), Boubyan Bank of Kuwait (22 percent), Atwill Holdings Limited of Saudi Arabia (17.91 percent) and National Bank of Kuwait (8.45 percent).
Meanwhile, the bank’s liquidity, as shown by its financing to deposit ratio, stands at 86.14 percent, an improvement from last year’s 96.47 percent, Achmad added.
He said its capital adequacy ratio (CAR) remained at 11.58 percent as of September 2017, higher than the limit set by the government, while its gross non-performance loan (gross NPL) stood at 4.54 percent and net NPL at 3.07 percent, still lower than the floor limit.
“We are optimistic that the performance of Bank Muamalat will continue to improve and that the bank will continue to lead the sharia banking industry,” Achmad added.
