Kuala lumpur: AMMB Holdings Bhd (AmBank) expects its loan growth to keep pace with the industry at around 4 per cent this year, driven mainly by business banking and wholesale segments, while retail loans are expected to remain flat. Group chief executive officer Jamie Ling said the bank's focus will remain on higher-return portfolios.

According to BERNAMA News Agency, Ling highlighted that business banking loans grew 12 per cent last year, wholesale banking expanded 7 per cent, and retail declined by 2 per cent as the bank prioritised quality and returns over market share. He made these remarks at a media briefing after the group's 34th annual general meeting.

The group is aiming to surpass last year's record net profit of RM2 billion. In the first quarter of the current financial year (1Q FY2026), AmBank posted RM516 million in net profit, maintaining momentum despite softer investor sentiment and market uncertainties. Ling stated, "We want to beat last year's record. That is the ambition," acknowledging that volatility in trading and opportunities in wholesale and business lending could help sustain momentum.

Ling noted that while volatility signals uncertainty, it can boost revenue streams for a bank's market division, especially when coupled with strong demand for business and wholesale banking services. On margins, Ling mentioned that AmBank achieved a record net interest margin (NIM) of 2.01 per cent last year, the highest since he took office in November 2023. However, a recent overnight policy rate cut is expected to compress the full-year NIM by three to four basis points to around 1.96-1.97 per cent. Last year's effort to improve their funding mix helped cushion this impact.

AmBank's diversified business mix helped offset softer investment banking and fund management performance in FY2025, with capital market pipelines expected to recover once tariff uncertainties ease. Ling outlined that the group's 2029 roadmap is designed to lift return on equity towards 11 per cent through a combination of revenue growth, disciplined cost management, and investments in technology and wealth management. "We must grow revenues faster than costs while investing in data, cloud, and digital foundations to secure long-term competitiveness," he added.