Halal Industry

CIMB’s ASEAN-China Halal Corridor initiative to help businesses tap into USD6.4 trillion global Halal market

Photo: YB Darrell Leiking, Minister of International Trade & Industry of Malaysia (fifth right); Tengku Dato’ Sri Zafrul Aziz, Group CEO, CIMB Group (sixth left);  Rafe Haneef, CEO, Group Islamic Banking, CIMB Group (fifth left); Effendy Shahul Hamid, CEO, Group Commercial Banking, CIMB Group (fourth right); flanked by (from left), Ahmad Lokman Ibrahim, CEO, Iskandar Halal Park; Ustaz Johari AB Latiff, Senior Assistant Director, Halal Hub Division, JAKIM; Mark Jason Thomas, Chief Commercial Officer, MAS Kargo Sdn. Bhd.; Amnah Shaari, CEO, Serunai Commerce Sdn. Bhd.; and representatives from Bank of Communications Co. Ltd. and Bank of Nanjing Co. Ltd. at the successful launch of the CIMB ASEAN-China Halal Corridor initiative.

Kuala Lumpur: CIMB Group Holdings Berhad (“the Group” or “CIMB”) today announced an initiative called the CIMB ASEAN-China Halal Corridor, an enhanced trade network linking Halal businesses across China and the region, by leveraging on CIMB’s strategic partnerships and strong ASEAN footprint.

The initiative is timely, with the global Halal market at USD6.4 trillion, and estimated to grow at a CAGR of 7.3% in the next 5 years. The CIMB ASEAN-China Corridor also aims to leverage on the growing trade flow along the existing Halal corridor, particularly with China’s Halal sector expected to reach USD1.9 trillion by 2021, and a potential customer base of 266 million in ASEAN and China. The initiative will focus on agribusiness, cosmetics, F&B, modest fashion and pharmaceuticals.

The CIMB ASEAN-China Halal Corridor Initiative was officially launched by Darell Leiking, Minister of International Trade & Industry of Malaysia, and witnessed by Tengku Dato’ Sri Zafrul Aziz, Group CEO, CIMB Group. Also present were key industry players which include the Malaysian Islamic Development Department (JAKIM); Serunai Commerce Sdn Bhd (a global network of accredited Halal suppliers, buyers and retailers); Warees Halal Limited (Singapore’s official Halal certification body); Iskandar Halal Park (Malaysia’s leading international integrated Halal industrial park); the Malaysia-China Chamber of Commerce and MAS Kargo. The event was also attended by 300 Halal business owners and CIMB customers.

Tengku Zafrul said, “As a leading ASEAN universal bank, CIMB is pleased to be a key driver of this initiative, to help existing and future customers tap into the expanding ASEAN-China Halal market by leveraging on existing halal database and CIMB’s strong ASEAN footprint. Malaysia’s leadership in the Halal industry, our key industry players’ value proposition in their respective fields and CIMB’s expertise in Islamic finance globally are strong key success factors for this initiative. The CIMB ASEAN-China Halal Corridor initiative aims to facilitate a seamless trade journey to encourage entrepreneurship and enable more SMEs to tap into the huge potential of the ASEAN-China Halal market.”

JAKIM’s Halal certification system – recognised in 42 countries worldwide including Australia, China, France, Germany, Indonesia, India, Japan, Philippines, Singapore, Thailand, US and UK – is a significant component of the CIMB ASEAN-China Corridor initiative. CIMB will also be forging partnerships with several Chinese banks to be part of this initiative.

About CIMB Group
CIMB Group is one of ASEAN’s leading universal banking groups and is Malaysia’s second largest financial services provider, by assets. It offers consumer banking, commercial banking, investment banking, Islamic banking, asset management and insurance products and services. Headquartered in Kuala Lumpur, the Group is now present in nine out of 10 ASEAN nations (Malaysia, Indonesia, Singapore, Thailand, Cambodia, Brunei, Vietnam, Myanmar and Laos). Beyond ASEAN, the Group has
market presence in China, Hong Kong, India, Sri Lanka, Korea, the US and UK.

CIMB Group has the most extensive retail branch network in ASEAN of around 830 branches as at 30 June 2018. CIMB Group’s investment banking arm is also one of the largest Asia Pacific-based investment banks, offering amongst the most comprehensive research coverage of around 700 stocks in the region.

CIMB Group operates its business through three main brand entities, CIMB Bank, CIMB Investment Bank and CIMB Islamic. CIMB Group is also the 92.5% shareholder of Bank CIMB Niaga in Indonesia, and 94.1% shareholder of CIMB Thai in Thailand.
CIMB Group is listed on Bursa Malaysia via CIMB Group Holdings Berhad. It had a market capitalisation of approximately RM 51 billion as at 30 June 2018. The Group has over 36,000 employees located in 15 countries.