RHB Bank’s Singapore unit key to regional growth plan, targets

[SINGAPORE] RHB Singapore, part of Malaysia’s fourth-biggest banking group RHB, will be key in driving its regional expansion plans and help meet targets which include hitting a return on equity of 12 per cent by 2027, a senior executive said on Friday (Jul 18).

Singapore’s low taxes, political stability and its location as a gateway to the growing South-east Asian markets are luring ultra-rich investors and financial institutions, making it a top regional financial hub.

RHB Singapore appointed Goh Ken-Yi as its new CEO earlier this year to advance the bank’s digital capabilities and deliver innovative financial solutions, among others.

Pretax profit at RHB Singapore almost doubled last year, jumping 95.6 per cent year on year to S$98.7 million.

“RHB Singapore’s exceptional progress exemplifies the kind of forward momentum we aim to replicate across our key markets,” RHB Group managing director Mohd Rashid Mohamad said at a press briefing.

Aside from Singapore, RHB has international operations across southeast Asia in Cambodia, Thailand, Laos and Brunei.

According to its 2024 annual report, the bank’s return on equity was 10.04 per cent last year.

The bank also aims to reduce its cost-to-income ratio to under 44.8 per cent by 2027, and gross impaired loan ratio of below 1.3 per cent by 2027. Last year, its cost-to-income ratio was at 46.7 per cent and the impaired loans ratio was at 1.47 per cent. REUTERS