IslamicFinance.de

CIMB Islamic Bank Bhd. plans to start offering microloans in Malaysia as it seeks new growth avenues after delaying plans to create a Shariah-compliant megabank. The Malaysian lender will offer a wide range of products including microsavings, microinsurance and advisory services. While acknowledging the risks, CIMB will put in place a framework to manage defaults. The lender’s microfinance business will develop in stages starting at the higher end. Keeping in mind that prospects for growth are good, the bank is looking to launch something subject to relevant approvals by this year.