CIMB Group Market Research Report
Company Overview
CIMB Group Holdings Berhad is a preeminent banking and financial services institution, headquartered in Kuala Lumpur, Malaysia. It is recognized as one of the leading banks in the ASEAN region. CIMB is acknowledged for its extensive operations in high-growth ASEAN economies and for being a global leader in Islamic finance. As of December 2023, CIMB ranks as the fifth-largest banking group in ASEAN by assets, employing over 33,000 people and serving approximately 25 million customers.
Financial Strength
- Market Capitalisation: RM62.4 billion (as of December 31, 2023)
- Total Assets: RM733.6 billion (as of December 31, 2023)
- Total Shareholders’ Funds: RM69.8 billion
- Total Islamic Assets: RM205.7 billion
Shareholders
Key shareholders in CIMB include:
- Khazanah Nasional Berhad: 23.0%
- Employees Provident Fund: 12.3%
- Kumpulan Wang Persaraan (Diperbadankan): 6.0%
Historical Milestones
CIMB's growth is characterized by significant milestones:
- 1974: Began as Pertanian Baring Sanwa Multinational Bank in Kuala Lumpur.
- 2005: Acquired GK Goh Securities in Singapore and Bumiputra-Commerce Bank.
- 2008: Merged Bank Niaga and Bank Lippo, forming CIMB Niaga.
- 2018: Entered the Philippines with digital banking, covering all 10 ASEAN countries.
- 2020: Became the first Malaysian bank to commit to phasing out coal by 2040.
Operations and Presence
CIMB operates a vast and strategic network across ASEAN and beyond:
- Malaysia: 217 CIMB Bank branches.
- Indonesia: CIMB Niaga with 309 branches.
- Thailand: CIMB Thai with 54 branches.
- Vietnam, Singapore, Philippines, Cambodia, and Laos: Established both retail and commercial banking operations.
- Global Presence: Branches in London, Hong Kong, Shanghai, and representative offices in Yangon and Mumbai.
Business Segments
CIMB offers diverse services through various segments:
- Consumer Banking
- Commercial Banking
- Wholesale Banking
- Wealth Management
- Digital Payment Products
Additionally, CIMB provides comprehensive financial advisory, project financing, and capital markets services via its investment banking arm, CIMB Investment Bank.
Leadership
- Chairperson: Tan Sri Mohd Nasir Ahmad
- Group CEO: Novan Amirudin, appointed effective July 1, 2024.
- The leadership team consists of notable figures leading key subsidiaries and specialized units.
Awards & Recognition
CIMB has received numerous awards highlighting its financial acumen:
- Malaysia e-Payments Excellence Awards 2019
- The Asian Banker Excellence in Retail Financial Services Awards 2019
- Global Finance World's Best Islamic Financial Institutions Awards 2019
Sustainability Commitments
CIMB champions sustainability in banking with notable commitments:
- First ASEAN bank to join the Net Zero Banking Alliance.
- Aims to mobilize RM30 billion towards sustainable finance by 2024.
- Committed to achieving Net Zero GHG emissions by 2050.
Competitor Profiling
Key Competitors
CIMB faces competition from notable institutions within Malaysia and the ASEAN region.
Malayan Banking Berhad (Maybank)
- Headquarters: Kuala Lumpur, Malaysia
- Number of Employees: Over 43,000
- Revenue: Approximately $11.59 billion (2021)
- Maybank is the largest bank in Malaysia by assets and market capitalization, operating extensively across Southeast Asia, Greater China, and Pakistan, among other areas.
Public Bank Berhad
- Headquarters: Kuala Lumpur, Malaysia
- Number of Employees: Approximately 19,827
- Revenue: $5.1 billion (2022)
- Noted for its focus on consumer banking, Public Bank is a dominant player in various Asian markets.
RHB Bank Berhad
- Headquarters: Kuala Lumpur, Malaysia
- Number of Employees: About 14,010
- Revenue: RM10.829 billion (Fiscal Year Ended 31 December 2020)
- A prominent provider of integrated financial services with a strong Islamic banking portfolio.
Hong Leong Bank Berhad
- Headquarters: Kuala Lumpur, Malaysia
- Revenue: RM6.051 billion (Fiscal Year Ended 30 June 2020)
- Known for its significant foothold in Malaysia and presence in other regions including Singapore and China, offering corporate and personal banking services.
Regional Competitors
Beyond domestic rivals, CIMB competes with major banks across Southeast Asia:
Vietcombank
- Headquarters: Hanoi, Vietnam
- Number of Employees: 20,062 (2020)
- Vietcombank leads Vietnam's banking sector with robust financial services and aims to rank among Asia's top 100 banks.
Market Position and Strategy
CIMB's strategic focus includes financial innovation and the expansion of its customer base through advanced digital banking services. Amid competitive pressures from both local and regional banks, CIMB's strategy leverages product diversity and superior customer service to maintain its competitive edge. Through investment in technology and strategic partnerships, CIMB seeks to enhance operational efficiency and expand its ASEAN footprint.
Understanding its competitors, like Maybank and Public Bank, informs CIMB's approach to refine its offerings and capture an increasing market share in financial services across the region.
