RAM Ratings: Malaysian Banks have Capacity to Withstand Stresses on Asset Quality

The Banking Scoreboard and Islamic Banking Scoreboard of RAM Rating Services Berhad (RAM Ratings) indicated that banks in Malaysia have capacity to withstand stresses on asset quality considering their high levels of capitalisation.

The Scoreboards asses key Malaysian banks on twenty five metrics, including those pertaining to asset quality, profitability, liquidity as well as capitalisation.

In a statement issued, RAM Ratings mentioned that the Banking Scoreboard showed that the banks’ asset quality appears to be resilient despite key macroeconomic challenges such as  the Coronavirus pandemic and falling oil prices. The common equity tier-1 (CET-1) capital ratios of all the ba...