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Demand to Dissolve Act 202: Bank Rakyat urges all related parties to remain calm

KUALA LUMPUR: Bank Kerjasama Rakyat Malaysia Bhd (Bank Rakyat) today urged its members, customers and stakeholders to stay calm and stressed that its business operations go on as usual and the bank still offers its services to customers.

The bank in a statement said it respected and accepted the views of its members, which is one of the bank's stakeholders.

"As a cooperative bank which has close to 900,000 members, the bank considers the differing views among its members as a normal matter especially for a cooperative that has the highest number of members in Malaysia.

"The success of Bank Rakyat to remain as the biggest Islamic cooperative bank in Malaysia is driven by the support given by the government to the bank all this while," said the statement, alluding to recent media reports related to the dissolution of the Bank Kerjasama Rakyat Malaysia Bhd Act 1978 (Special Provisions) Act 202.

The bank said among its achievements is to maintain the dividend rate payment at a minimum of 10 per cent or more to its members since 20 years ago.

Besides that, the bank also recorded profits of more than RM1 billion per year consistently since 2008.

"The financial institution rating of AA2/Stable/P1 given by RAM Ratings to Bank Rakyat is also based on its status which is supported by the government, in line with its position as a cooperative bank, as well as a development financial institution.

"This year, Bank Rakyat also expedited the payment of dividend for 2019 of 14 per cent, as well as business zakat payment to help the B40 and asnaf group affected by the Movement Control Order following the COVID-19 pandemic," it added.

Bank Rakyat said this proved that the cooperation forged between the government and the bank in general had provided a lot of benefits to members and the local community.

"The achievements would not have been accomplished without the loyalty of members and customers of the bank. Thus, Bank Rakyat places on record its appreciation to the support and confidence given to the bank all this time," said the statement.