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A VISION COMMITMENT EMPOWERING ENSURING ENHANCING FINANCIAL
TO SERVE TO LEAD GROWTH SUSTAINABILITY GOVERNANCE STATEMENTS 39

REVITALISINg OuR WORKFORCE The national impetus is for MSMEs to contribute 25%
(11.7% as of 2021) to the nation’s export by 2025 as set under
The development of our human capital is equally vital at this the 12th Malaysia Plan and the National Entrepreneurship
juncture to ramp up the Bank’s competitive performance Policy (DKN). We look forward to financing growth
and accelerate progress. A strong, motivated, capable and opportunities that will come from Budget 2023’s
empowered workforce is the key driver of our set strategies. announcement of several financing schemes for small and
medium enterprises (SMEs) worth RM3.5 billion, which will be
An open communication culture is being cultivated on the disbursed by various agencies, including EXIM Bank.
ground to encourage direct feedback to top management.
Quarterly townhall sessions have resumed, wherein the EXIM Bank is poised to provide financial support and help
Bank’s strategic direction and goals are being communicated. develop the business acumen of local entrepreneurs or
This is accompanied by intensified investment in human exporters to international levels. The Bank has allocated
capital development, through training and certified upskilling RM1.0 billion for the Exporters’ Development Incentive
programmes. At the same time, we seek to strengthen Scheme, or “Skim Insentif Pemampanan Pengeksport” (SIP2)
the Bank’s culture of integrity at all levels and adherence to facilitate SME export aspirations. The attractive financing
to core values, through ongoing series of awareness and offers up to RM10 million in funding, at subsidised financing
internalisation initiatives. Towards this end, in October 2022, rates for up to seven years. This affordable funding rate
the Bank implemented an Anti-Bribery Management System to would encourage exporters to find new markets for their
uphold a zero-tolerance approach to all forms of bribery and products and further increase the capability of SMEs as
corruption, in compliance with ISO 37001:2016 certification. exporting companies in the long term.

We are cautious though of impending risks in the global
OUTLOOK FOR FY2023
environment, such as recession in major economies,
Looking back, the year 2022 was truly an outstanding escalating interest rates, disruptions to supply chain which
milestone for Malaysia’s trade. Ranking among the world’s will impact local businesses as well as continued and new
geopolitical tensions. Thus, the Bank will continue to evaluate
top-25 (Source: Matrade Dec 2022 Making Malaysia Great
in Trade) trading nations and in the top-5 for ASEAN and assess the risks within targeted markets to facilitate the
countries, Malaysia recorded the fastest annual growth rate in entry of Malaysian exporters.
Southeast Asia, surpassing IMF’s and World Bank’s projections
of 5.4% and 7.8% respectively. Domestic exports grew GRATITUDE & APPRECIATION
25% year-on-year to a record high of RM1.6 trillion in 2022
(2021: RM1.2 trillion), where trade surplus reached an all-time The Ministry of Finance (MOF), Ministry of Investment,
high at RM255.1 billion, 0.6% higher than the preceding year. Trade and Industry (MITI) as well as Bank Negara Malaysia
This is the 25th consecutive year of trade surplus since 1998. (BNM) play vital roles in ensuring the Bank delivers its
mandate, and the Bank thanks them for their continued
The export expansion was underpinned by strong exports commitment and collaborative efforts. Our appreciation
of electrical and electronic (E&E) products, liquefied natural also extends to our stakeholders, customers, associates and
gas (LNG), petroleum products, as well as crude petroleum. partners, with whom we have forged a resilient ecosystem
Meanwhile, exports to major trading partners notably through mutual gains.
ASEAN, the United States (US), the European Union
(EU) and Japan recorded strong double-digit expansion. Finally, my deep acknowledgement and appreciation goes out
Singapore, Thailand and Indonesia were the top three export to the members of the Board for their invaluable support and
destinations in ASEAN for 2022, accounting for 78.3% counsel, as well as to the stalwart EXCO, management and
of Malaysia’s total exports to ASEAN. Significant export staff of EXIM Bank, particularly our frontliners, who continued
expansion was also registered to emerging markets, such as to serve our customers throughout these extraordinary times.
Costa Rica, Kenya, Egypt, Nigeria, Ghana and Iraq.
Further, exports to Free Trade Agreement (FTA) partners I am grateful for the opportunity to steer EXIM Bank to greater
showed an upward trajectory with a new high value after two heights and look forward to further enhancing its role as a
consecutive years of contraction. (Source: Malaysia External leading Development Financial Institution for cross-border
Trade Development Corporation). financing and insurance for the country.
Thank you.
As Malaysia continues to pursue greater international trade,
there are many opportunities that can be leveraged over
the next three to five years. Opportunities brought about by ARSHAD MOHAMED ISMAIL
greater globalisation and regional economic integration President/Chief Executive Officer
through Regional Comprehensive Economic Partnership EXIM Bank Malaysia
(RCEP) and Comprehensive and Progressive Agreement
for Trans-Pacific Partnership (CPTPP) will further solidify
Malaysia’s position as a strong and reliable trading nation.