RAM Ratings has affirmed the AAA/Stable/P1 financial institution ratings (FIRs) of Malayan Banking Berhad (Maybank or the Group) and its principal banking subsidiaries. Concurrently, the ratings of the respective entities' sukuk and debt facilities have also been affirmed (see Table 1). 

The rating affirmation reflects Maybank's entrenched market leadership as Malaysia's largest bank, underpinned by a proven management track record. The Group's credit fundamentals are further supported by its healthy asset quality, strong funding capabilities and diversified income sources that lend to sound pre-provision profit generation and capital accretion. These strengths, combined with robust capitalisation, provide the Group with sufficient financial headroom against potential asset quality deterioration. Considering Maybank's systemic importance, we believe extraordinary government support will be forthcoming if needed.

Maybank's gross impaired loan ratio remained healthy at 1.3% as at end-September 2025, albeit slightly up from end-December 2024 (1.2%). While pockets of vulnerabilities remain, we expect Maybank to manage these risks effectively through proactive risk monitoring, early intervention through loan restructuring and intensified collection efforts. Credit cost ratio has remained within a manageable range of 20-30 bps in recent years (9M FY Dec 2025: annualised 11 bps).

Maybank posted a stronger pre-tax profit of RM10.6 bil in 9M fiscal 2025 (+3.2% y-o-y; 9M fiscal 2024: RM10.3 bil), driven by improved investment and trading income and wealth management fees as loan growth slowed to 2.7% (9M fiscal 2024: +7.6%). Despite reduced benchmark rates across the Group's key markets, compression in net interest margin was mild (-1 bps to 2.03%) thanks to active liability management. With three-year average return on risk-weighted assets of 3.0% and return on assets of 1.3%, the Group's profitability is sound in our view. Maybank's capitalisation remains robust, w