Kota Kinabalu: The Affin Group is optimistic that Sabah’s economy is on the right trajectory as its commercial banking loan rate has grown by 8 per cent. In Sabah, Affin operates 7 Affin branches.
Affin Hwang Investment Bank Berhad Chief Executive Officer Hanif Ghulam Mohammed revealed this as he hailed the presence of Head of State Tun Datuk Seri Panglima (Dr.) Musa Bin Haji Aman and Chief Minister Datuk Seri Panglima Haji Hajiji Bin Haji Noor for the honour of gracing the Affin Group Market Outlook and Chinese New Year Dinner on Jan 23.
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He said: “We further strengthen our reach with 35 ATM machines strategically deployed across Sabah, offering dual functionality for both cash withdrawals and deposits ensuring convenient, reliable, and accessible banking services for communities across Sabah.
“Loan growth in our Community Banking segment in Sabah has recorded a robust 8 per cent, reflecting the confidence of the local market and the trust our customers place in Affin.”
Hanif Ghulam said that Moody’s Ratings has reaffirmed Affin Group’s strong international credit rating of ‘A3’ and upgraded our standalone rating to ‘Baa2’, a clear testament to our robust liquidity position and solid funding profile.
“This positive outlook reinforces why Affin’s role today is more important than ever. At Affin, we go beyond traditional banking. Guided by our vision to be Malaysia’s Most Creative and Innovative Financial Company, we focus on delivering financial excellence while building meaningful, long-term relationships with our customers, relationships grounded in trust, relevance, and shared success.”
“Affin is also proud to be recognised in the latest FTSE4Good semi-annual review, with our ESG rating upgraded from 3 stars to 4 stars. This significant achievement reinforces our commitment to sustainability and positions us among Malaysia’s leading public listed companies.
“It is this very spirit of support and solidarity that leads us to the heart of tonight’s gathering. This evening is more than a celebration. It is a symbol of commitment, friendship, partnership, and togetherness as we continue our journey of progress and advancement.
“As we gather across locations, we reconnect, strengthen partnerships, and celebrate unity, prosperity, and the vibrant spirit of the Lunar New Year,” Hanif said.
Following the celebration of Affin’s 50th anniversary, we step confidently into the next chapter… building on five decades of strong foundations to accelerate progress, deepen trust, and seize new opportunities with renewed purpose. This journey continues as we mark our 50th Anniversary Gala Dinner and Showcase on 7 February 2026.
“I am excited about the coming year and eager to share Affin Group’s 2026 economic forecasts and sector insights.
“Malaysia’s economy is projected to maintain its strong momentum, with GDP growth forecast at 4.3 per cent in 2026, continuing the growth of 4.6 per cent achieved in 2025.
“Oil has come into prominence following the recent crisis in Venezuela. This underscores the importance of energy security, and we can expect oil prices to remain elevated above USD 56 per barrel as of Jan 3, 2026, the date of the incident.
As of Jan 23, 2026, oil prices have increased to USD 60 per barrel.
“Affin Group expects the Ringgit to strengthen against the US Dollar. It has already strengthened to RM4.00 against the US Dollar.
“We remain very bullish on the Ringgit, supported by strong foreign inflows and investor confidence. Over the past year, the Malaysian Ringgit has been Southeast Asia’s best-performing currency. This is a clear reflection of Malaysia’s strong fundamentals.
“With this momentum, 2026 is poised to be another record year for our Malaysian Ringgit and the economy. This is driven by the strong FDI sentiment and government addressing the budget deficit with the expected reduction of the fuel subsidies and pension liabilities.
“Following the strong Ringgit and inflow of FDI, we anticipate a strong elevation for the Kuala Lumpur Composite Index (KLCI) as a result of this tailwinds to catapult KLCI to reach 1,780 in 2026, a significant increase from 1,680 in 2025. This is an increase of 6 per cent. We also expect the KLCI to outperform the MSCI ex-Japan index.
Hanif Ghulam said the Affin Group focuses on delivering financial excellence while building meaningful, long-term relationships with its customers, with relationships grounded in trust, relevance, and shared success.
He stressed that Affin Hwang Investment Bank is proud to partner with U.S.-based Cboe Global Markets to offer Malaysian investors access to VIX® Futures on the Cboe Futures Exchange.
“This partnership broadens our foreign futures suite for institutions, professionals, and eligible retail clients. VIX® Futures allow investors to speculate on or hedge against expected volatility in the S&P 500.
“Through strong investor education and a rigorous onboarding process, Affin provides clients expertise to manage risk, hedge equity exposure, and navigate market volatility with confidence,” Hanif Ghulam said.
