PT BANK MUAMALAT INDONESIA, KUALA LUMPUR BRANCH
20th SEPTEMBER 2012
Among the Malaysia key Islamic Financial initiatives are the issuance of new license to foreign interest within the domestic Islamic financial institutions as well as International Islamic Banks and Takaful operators. The objectives are to establish Malaysia as a leading international and regional hub of Islamic finance in the Asian Region. Pt Bank Muamalat Indonesia is one of the foreign Islamic Bank established as a branch operating under the MIFC initiatives. Among the International Islamic Banks in Malaysia, Pt Bank Muamalat Indonesia Kuala Lumpur Branch is the only international Bank that actively involved in full banking business activities particularly in corporate, treasury and retail banking. As a branch the bank need to adhere to the regulation imposed by Central Bank of Indonesia as well as Malaysia particularly in banking regulation and Shariah aspects. The paper discusses the challenges and the opportunity faced by the bank in managing their banking operations. The paper also discusses about some strategic operational planning undertake by the bank to grab the business opportunity locally as well as regionally. It was proven with substantial growth since inception whereby the bank managed to register financial breakeven only in the 11th month of its operation. The author foresee the establishment of BMIKL gives a better impact to the growth of Islamic financial industry in Malaysia particularly in providing wide range of international banking facilities in international currencies other than Ringgit Malaysia with residents and non-residents. Besides that BMIKL play an important role to harmonize the Shariah matters between Malaysia and Indonesia.
Malaysia's long track record of building a...