Kuala Lumpur, 30 April 2024 – The Cagamas Holdings Berhad (“the Group”) affirmed its commitment towards meeting sustainability and environmental, social, and governance (“ESG”) principles. It outlined a strategic direction that will continue to sustain its leadership in sustainable housing finance at its 17th Annual General Meeting. The Group's financial achievements for 2023 were also announced, demonstrating a healthy performance and resilience in a challenging economic climate.
The Group recorded a pre-tax profit of RM447.8 million for 2023. This achievement is backed by the Group’s proactive investment and fundraising strategies, which saw its Purchase with Recourse asset portfolio grow by 6.1%, totalling RM20.5 billion from financial institutions. The Group raised RM29.3 billion in total funds in 2023, marking a record 17.7% growth over the previous year.
Following the discontinuation of Skim Rumah Pertamaku (“SRP”) in April 2023, the Group has introduced a new innovative product known as the ‘First Home Mortgage Guarantee Programme’ (“FHMGP”). Aimed at expanding home financing accessibility to a wider range of Malaysians, the FHMGP represents several enhanced features as compared with the SRP product and is expected to contribute to the Group's future revenue streams and market positioning.
The Group's commitment to ESG principles was evident in its continued progress towards achieving its sustainability goals. This includes the development of the Cagamas Green Home Standard (“CGHS”) in collaboration with the Asian Development Bank which is a step towards facilitating the growth of green and energy-efficient residential mortgages in Malaysia. The Group also succeeded in adding RM1.2 billion to its green/sustainability assets, in tandem with its objective to increase green/sustainable assets to 10% of total assets by 2030.
Reflecting on the Group's forward-looking initiatives, Group Chairman Dato’ Bakarudin remarked, "As we embrace our role in advocating green and affordable housing, we hope that the introduction of CGHS will pave the way for a new benchmark to harmonise the various green energy-efficient rating assessments of different residential properties. This will facilitate the growth of green and energy-efficient mortgages in the housing finance sector.”
“The development of the CGHS and FHMGP underscores our dedication to expanding our core businesses and bringing innovation in green housing finance. These efforts underline our role as a national mortgage corporation to promote home ownership through sustainable housing finance and as a preferred liquidity provider in the market,” he further added.
Looking to the future, the Cagamas Group is focused on enhancing its sustainability framework and ESG capabilities. The Group’s strategic direction, led by its five-year strategic plan, aims to position Cagamas as a centre of excellence in the home financing ecosystem and articulates its aspiration to drive progress in sustainable housing finance.