By Alfred Petrus
KOTA KINABALU: The State Government has always been committed to providing Shariah-compliant financial products and services especially to its officers.
Chief Minister, Datuk Seri Mohd Shafie Apdal said among them was through Borneo Housing Mortgage Finance Berhad, being the management company of the State Government Officers’ home financing schemes.
“Malaysia’s Islamic finance industry has been in existence for over 30 years. The enactment of the Islamic Banking Act 1983, which has since been replaced by the Islamic Financial Services Act 2013, enabled the country’s first Islamic bank to be established.
“With the liberalisation of the Islamic financial system, more Islamic financial institutions have been established.
“I was made to understand, there are currently 16 full-fledged Islamic banking institutions in Malaysia offering various Islamic financial products and services in the market.
“Bank Negara Malaysia’s July 2017 statistics showed the total assets of the Malaysian Islamic Banking System (IBS) stood at RM616.32 billion and total financing approved for Islamic banks at RM10.22 billion,” he said at the launching of Borneo Housing’s Islamic Financial Products and 60th Anniversary of Incorporation Dinner, here today.
His text of speech was delivered by Assistant Minister of Finance Sarifuddin Hatta.
He said Borneo Housing being one of the oldest Government-linked companies, has a progressive track record.
Shafie, who is also state Finance Minister, said over the years since its incorporation in 1958, it has consistently recorded good profits and contributed dividends every year to the shareholders, namely the State Governments of Sabah and Sarawak.
“This is a feat that few other companies can match. The position of Borneo Housing is unique in the sense that it is a company jointly owned by the Sabah and Sarawak Governments, which signifies the true sense of collaboration and co-operation between the two states.
“I was also informed that Borneo Housing offers various home financing products and services to meet the needs of specific market segments, such as the State’s civil servants, employees of statutory bodies, local authorities, government-linked companies and agencies, as well as the general public.
“Over the years, it had assisted a lot of families in the States of Sabah and Sarawak to attain home ownership,” he said.
He stressed with the introduction of the Islamic financing products and services, Borneo Housing now offers a range of alternatives to the conventional banking products and services, thus, providing a greater number of choices for the customers, especially the State Government officers.
According to him, in terms of home ownership, he understand that Borneo Housing has put in place, financing guidelines and internal controls to protect the interest of home purchasers by ensuring that they have the capacities and capabilities to honour their financial obligations in order not to fall into financial hardship down the road. -SabahNewsToday