Bank Pembangunan Malaysia

What Bank Pembangunan Malaysia does

Bank Pembangunan Malaysia Berhad (BPMB) is one of Malaysia's oldest Development Financial Institutions (DFIs), established in 1973 and headquartered in Kuala Lumpur. It operates as a government-linked entity under the supervision of Bank Negara Malaysia, providing Shariah-compliant medium- to long-term financing to strategic economic sectors including infrastructure, maritime, transportation and logistics, renewable energy, sustainable development, semiconductor, Bumiputera enterprise development, and tourism infrastructure. The bank operates the BPMB Group following the recent integration of EXIM Bank and SME Bank into a unified DFI ecosystem.

The institution's product architecture is built on Tawarruq-based Islamic financing and comprises three layers: (i) sector-specific development programmes (e.g., MADANI Development Programme 2.0, Transportation & Logistics, Digital Infrastructure & High Impact Sectors, Renewable Energy & Transition, National Energy Transition Facility, Semiconductor Financing at RM250 million, Tourism Infrastructure at RM1 billion, and Blended Finance); (ii) core Islamic financing products including Tawarruq Asset Financing, Tawarruq Fixed and Revolving Working Capital, and Kafalah Bank Guarantee-i; and (iii) treasury services (Tawarruq Deposit, IRS, IPRS, FX, Islamic FX). Its proprietary MIND (Measuring Impact on National Development) framework, co-developed with the World Bank Group in 2021, shifts transaction evaluation from a credit-centric to impact-centric model, and the Climate Finance Innovation Lab (CFIL), a JC3 flagship initiative with UNDP collaboration, mobilizes climate finance for Malaysia's net-zero transition.

BPMB generates revenue primarily through financing margins on Shariah-compliant term and revolving facilities, fees on bank guarantees, and treasury transaction spreads. Pricing is anchored on a Base Financing Rate of 6.65% (effective August 2025), with targeted subsidies such as the Semiconductor Financing Programme's 4% all-in rate (inclusive of a 2% government subsidy) for the first three years, and an 8% service tax on fee-based income from September 2025. Distribution is executed through direct enterprise field sales, relationship managers, an online business enquiry portal, and a digital e-procurement system, focused exclusively on mid-to-large corporate, project, and government-linked clients with minimum ticket sizes (e.g., RM5 million for the Tourism Infrastructure Programme).

Name

Bank Pembangunan Malaysia

Legal name

Bank Pembangunan Malaysia Berhad

Website

https://bpmb.com.my

Company type

Private

Founded year

1973

Operating status

Operating

Headcount range

11–50 employees

Short description

Bank Pembangunan Malaysia Berhad is a government-linked Development Financial Institution providing Shariah-compliant medium- to long-term financing across infrastructure, transportation, renewable energy, semiconductor, and tourism sectors to Malaysian mid-to-large corporates and project sponsors.

Ownership category

akta.pro rank

Product category

Development Banking

NAICS

Commercial Banking (522110), Depository Credit Intermediation (5221)

SIC

Miscellaneous Business Credit Institution (6159), Functions Related To Depository Banking, Nec (6099)

akta.pro primary industry

SME/Industrial Development Banks (FSABAKAF)

akta.pro secondary industries

Infrastructure & Project Finance Development Banks (FSABAKAD), Green/Climate Development Banks & Funds (FSABAKAH), Shariah-compliant Financing Products (Murabaha, Ijara, Tawarruq, Istisna, Salam) (FSABAGAH), Development Finance & Blended Finance Facilities (BPADAOAD)

Keywords

• Development financing
• Islamic banking
• Infrastructure financing
• Shariah-compliant lending
• Treasury services

Headquarters

HQ city

Petaling

HQ country

Malaysia

HQ region

Asia

Offices1 record

Markets served

GTM type

B2B

Offering type

Services

Cost components

Personnel, Operations, Technology or R&D, Infrastructure, Marketing or Sales

Revenue model

1. Islamic Financing (Tawarruq Asset Financing): Term financing facilities to help customers with asset acquisition including land, buildings, plant, machinery, equipment and vessels. Revenue generated through financing margins and profit rates on disbursed facilities.
2. Working Capital Financing: Fixed and revolving working capital facilities for operational needs, advances, receivables, and pre-operating expenditure. Revenue from financing margins.
3. Bank Guarantee (Kafalah): Written undertaking assuring payment to third parties in event of default. Revenue from guarantee fees.
4. Treasury Services: FX services, interest rate swaps, Islamic profit rate swaps, foreign exchange transactions. Revenue from transaction fees and spreads.
5. Tawarruq Deposits: Shariah-compliant money market and fixed deposit options for customers. Used for liquidity management and funding.

Pricing tiers

Go-to-market motion1 record

Distribution channels4 records

Marketing channels7 records

Core offering

Bank Pembangunan Malaysia Berhad is a Development Financial Institution (DFI) providing Shariah-compliant medium-to-long-term financing to Malaysia's strategic economic sectors, including infrastructure, transportation, digital infrastructure, renewable energy, semiconductors, tourism, and Bumiputera economic development. Its core offerings span sector-specific development financing programmes, Islamic financing products (Tawarruq-based asset financing, working capital, and bank guarantees), and treasury services (FX, IRS, IPRS, FX-i, and Tawarruq deposits) targeted at mid-to-large corporate and government-linked clients.

Product overview

Bank Pembangunan Malaysia is a development financial institution (DFI) offering a comprehensive suite of Shariah-compliant financing, treasury, and development programmes. The product portfolio includes: (1) Development Financing Programmes - targeted sector-specific financing including MADANI Development Programme, Transportation & Logistics, Digital Infrastructure & High Impact Sectors, Sustainable Development, Renewable Energy, Bumiputera Economic Development, National Energy Transition Facility, Semiconductor Financing (RM250 million), Tourism Infrastructure (RM1 billion), and Blended Finance; (2) Islamic Financing Products - Tawarruq Asset Financing (TWA), Tawarruq Fixed Working Capital (TWF), Tawarruq Revolving Working Capital (TWQR), and Kafalah Bank Guarantee-i (BG-i); (3) Treasury Services - Tawarruq Deposit, Interest Rate Swap (IRS), Islamic Profit Rate Swap (IPRS), Foreign Exchange (FX), and Islamic Foreign Exchange (FX-i); (4) Strategic Initiatives - Climate Finance Innovation Lab (CFIL) for climate finance solutions and MIND framework for impact measurement. The institution operates under BPMB Group following the integration of EXIM Bank and SME Bank.

Differentiator

Problem solved

Functional benefit

Brands

• Climate Finance Innovation Lab (CFIL): A collaborative platform to ideate, develop, and accelerate innovative climate finance solutions and mechanisms to support Malaysia's transition to net zero, strengthen climate resilience, and advance nature-positive actions. A flagship initiative of the Joint Committee on Climate Change (JC3).
• MIND (Measuring Impact on National Development)
• BAGUS Programme

Products and services

• MADANI Development Programme 2.0 Development financing programme for companies supporting the MADANI Economy Framework and 13th Malaysia Plan, focusing on resetting the economy, enhancing security, and promoting sustainability.
• Transportation & Logistics Programme Financing for companies in maritime, aerospace, transportation and logistics industries for acquisition of vessels, aircraft, equipment, infrastructure development, and working capital requirements.
• Digital Infrastructure & High Impact Sectors Programme Development financing supporting businesses adopting digitalisation and advanced technologies including Artificial Intelligence, Robotics, and Automation, aligned with the National Policy on Industry 4.0.
• Sustainable Development & Transition Programme Development financing supporting the United Nations Development Programme (UNDP) Sustainable Development Goals (SDG) and non-energy related sustainability activities.
• Renewable Energy & Transition Programme Development financing for energy activities under the National Energy Transition Roadmap (NETR), including Renewable Energy, Green Technology, CCUS, Energy Efficiency, Green Hydrogen, and Electric Mobility.
• Bumiputera Economic Development Programme Financing programme for Bumiputera companies to support the Government's Bumiputera Economic Transformation Plan 2035 (PuTERA35).
• National Energy Transition Facility Development financing facility that expedites the deployment of capital to enhance the accessibility of funds for energy transition projects.
• Semiconductor Financing Programme Development financing for Malaysian companies across the semiconductor value chain to strengthen global competitiveness and support innovation, aligned with the National Semiconductor Strategy. Programme size of RM250 million with tenure up to 15 years and an all-in rate of 4% p.a. for the first 3 years (inclusive of 2% government subsidy).
• Tourism Infrastructure Programme Development financing for companies involved in tourism infrastructure development and urban regeneration in Malaysia, including hotels, theme parks, convention centres, eco-tourism, and heritage restoration. Minimum financing of RM5 million, margin up to 80% of total project cost, tenure up to 20 years for CAPEX and 5 years for OPEX.
• Blended Finance Development financing that accelerates capital deployment by combining public and private funding to improve access for projects with strong development potential.
• Tawarruq Asset Financing (TWA) Islamic term financing facility for asset acquisition such as land, buildings, plant, machinery, equipment, and vessels, fully compliant with Shariah principles.
• Tawarruq Fixed Working Capital (TWF) Islamic term financing facility to part finance working capital requirements including advances, operating and pre-operating expenditure.
• Tawarruq Revolving Working Capital (TWQR) Islamic revolving facility to part finance working capital requirements including advances, receivables, operating and pre-operating expenditure.
• Kafalah Bank Guarantee-i (BG-i) A written Shariah-compliant undertaking by the Bank to a third party, assuring payment of a specified amount if the customer fails to meet their obligation.
• Tawarruq Deposit Shariah-compliant investment offering liquidity and stable returns through Money Markets or Fixed Deposit options, used by customers for liquidity management and funding.
• Interest Rate Swap (IRS) Treasury hedging product that enhances financial performance via management of interest rate risks to overcome unfavourable market fluctuations.
• Islamic Profit Rate Swap (IPRS) Shariah-compliant IRS option offering flexibility, cost savings, and improved financial management for corporate customers.
• Foreign Exchange (FX) Treasury product providing FX Spot for immediate transactions and FX Forward to manage future currency exposure for corporate customers.
• Islamic Foreign Exchange (FX-i) Shariah-compliant FX expertise with complete transparency and compliance to Islamic laws for corporate customers.
• Climate Finance Innovation Lab (CFIL) A collaborative platform, and a flagship initiative of the Joint Committee on Climate Change (JC3), to ideate, develop, and accelerate innovative climate finance solutions that mobilise private and public finance to support Malaysia's transition to net zero, strengthen climate resilience, and advance nature-positive actions.

Quantifiable outcome

• RM72.2 Million in transition projects financed under MIND framework
• +5 more outcomes

Named customers7 records

Segments8 records

Ideal customer profiles6 records

Technology focussed No

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Feature5 records

Partnerships

Four partnerships are on record, tiered core and flagship.

• World Bank GroupcoreStrategic or Co-development PartnerWorld Bank Group collaborated with Bank Pembangunan to develop the MIND (Measuring Impact on National Development) framework in 2021. The framework represents a significant shift from credit-centric to comprehensive impact-focused transaction evaluation. World Bank Group also serves as a strategic collaborator for CFIL.
• Joint Committee on Climate Change (JC3)coreStrategic or Co-development PartnerCFIL is a flagship initiative of the Joint Committee on Climate Change (JC3), a collaborative platform bringing together financial regulators, government agencies, and financial institutions to address climate-related risks and opportunities in Malaysia's financial sector.
• United Nations Development Programme (UNDP)flagshipStrategic or Co-development PartnerUNDP is listed as a strategic partner and collaborator for the Climate Finance Innovation Lab (CFIL), supporting Malaysia's transition to net zero through innovative climate finance solutions.
• Pembangunan Leasing Corporation (PLC)coreChannel Partner/ Reseller/ DistributorPLC is a wholly-owned subsidiary of Bank Pembangunan Malaysia, established on 1 November 1977. It was the second oldest leasing finance company in Malaysia and serves as Bank Pembangunan's vehicle to explore commercial financing markets, particularly through leasing facilities.

Scale indicators6 records

Recent moves8 records

Expansion highlights6 records

Direct peers

• EXIM Bank Malaysia (Export-Import Bank of Malaysia Berhad): Malaysian government-linked DFI focused on export, import, and trade financing for Malaysian corporates; now part of the BPMB Group alongside Bank Pembangunan. Directly comparable mandate, regulatory framework, and target customer base, making it the closest structural peer.
• SME Bank Malaysia (Small Medium Enterprise Development Bank Malaysia Berhad): Malaysian DFI dedicated to SME financing and Bumiputera enterprise development, also part of the BPMB Group. Highly comparable in terms of government-linked mandate, focus on Malaysian segments, and developmental rather than purely commercial orientation.
• Bank Muamalat Malaysia Berhad: Pure-play Islamic commercial bank in Malaysia offering Tawarruq, Murabaha, Ijara, and project financing to corporates. Highly comparable Islamic banking infrastructure and Malaysian corporate target market; a natural peer in the dedicated Shariah-compliant niche BPMB occupies.

Broad incumbents

• Maybank Islamic Berhad: Largest Islamic banking franchise in Malaysia and ASEAN offering corporate, project, and infrastructure Shariah-compliant financing. Comparable Islamic product breadth and Malaysian corporate finance customer base, though operates as a window of a diversified incumbent rather than a dedicated DFI.
• CIMB Islamic Bank Berhad: Major Malaysian-ASEAN Islamic banking franchise serving large corporates, project finance, and infrastructure Shariah-compliant deals. Comparable Islamic treasury and project financing capabilities, though part of a larger diversified banking group with retail and capital markets presence.
• Islamic Development Bank (IsDB): Multilateral Islamic development bank financing infrastructure and development projects across member countries. Comparable through its Islamic financing mandate, project finance focus, and DFI structure; serves as a potential co-financier and benchmark for BPMB's Shariah-compliant offerings.
• Asian Development Bank (ADB): Multilateral development bank financing infrastructure, climate transition, and private-sector development across Asia-Pacific. Comparable mandate in development project financing and climate transition, and a likely co-financing partner for BPMB's infrastructure and renewable energy programmes.
• Saudi Industrial Development Fund (SIDF): Saudi government DFI financing industrial, infrastructure, and strategic sector projects on Shariah-compliant and concessional terms. Comparable in mission (national industrial/infrastructure development), Islamic finance orientation, and large-scale programme deployment.
• KfW Development Bank (KfW Entwicklungsbank): German state-owned development bank financing climate, infrastructure, and SME programmes in emerging markets. Comparable as a benchmark DFI for impact measurement, blended finance structuring, and concessional financing frameworks that BPMB aspires to via the MIND methodology.

Regional players

• Indonesia Eximbank (LPEI - Lembaga Pembiayaan Ekspor Indonesia): Indonesian state-owned export and development financing institution supporting trade and strategic sectors. Comparable as a regional, government-owned, mandate-driven DFI focused on national economic priorities, though operating primarily in Indonesia rather than Malaysia.

Market position

Strengths5 records

Weaknesses5 records

Competitive moat6 records

Key risks7 records

Key highlights7 records

Customer concentration

• Instagraminstagram.com/bankpembangunanmalaysia
• Facebookfacebook.com/bankpembangunanmalaysiaberhad
• LinkedInlinkedin.com/company/8586554

Compliance2 records

Revenue estimate

Valuation estimate

Number of profiles

Profiles1 record

Subsidiaries1 record

Funding overview

Funding rounds

Investors

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A

Investments

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about Bank Pembangunan Malaysia