Cipcommunity

Cimb Bank

Cimb Bank

INTRODUCTION CIMB Group is a regional universal bank operating in high growth economies in ASEAN. CIMB Group has the widest retail branch network across the region and is an indigenous ASEAN investment bank. CIMB Group is Malaysia’s second largest financial services provider, and fifth largest in Southeast Asia by total assets. It is owned by Bumiputra-Commerce Holdings Berhad (BCHB), which is listed on Bursa Malaysia with a market capitalization of over USD10 billion.

CIMB Group operate as a universal bank offering a full range of financial products and services, covering corporate and investment banking, consumer banking, treasury, insurance and asset management. CIMB Group offer products and services on a dual banking basis, giving customers a choice of both conventional and Islamic solutions. As a universal bank, CIMB Group are able to serve everyone from all walks of life in Malaysia as well as throughout the region, including large regional corporations, domestic listed companies, entrepreneurial start-ups, high-net worth individuals, pensioners and children.

Today, CIMB Group serves close to seven million customers in over 600 locations through over 25,000 staff. At present, CIMB Group main markets are Malaysia, Indonesia and Singapore, countries in which have full universal banking capabilities. CIMB Group presence in 11 countries covers South East Asia and major global financial centres, as well as countries with which our South East Asian customers have significant business and investment dealings.

In addition, CIMB Group extends regional reach and range of products and services through strategic partnerships. CIMB Group partners include the Principal Financial Group, Aviva plc, Allianz Malaysia Berhad, Mapletree Capital Management, Bank of Tokyo-Mitsubishi UFJ, Standard Bank plc, Daewoo Securities, the Kanoo Group, Malaysia Airlines, International Currency Exchange, EDS, Pos Malaysia, 7-11, Singer Malaysia and many more. CIMB Group vision is to be “Southeast Asia’s most valued universal bank”.

This means that • to customers and want to be a bank of their choice, • to employees, • to shareholders and want to be the bank to which you accord the highest premium, • to the communities in which operate and want to be the partner of choice to aid sustainable community development. CIMB Group mission is to invest in their people to derive by innovation to deliver quality service whilst providing superior returns and value to their stakeholders.

The structure and composition of the Board comply with the requirements of the Code, Revised BNM/GP1, Bursa Securities Listing Requirements and the “Green Book on Enhancing Board Effectiveness” (Green Book) as part of the Government Linked Companies (GLC) Transformation Programme. The Board members are as follows: i. Chairman/Non-Independent Non-Executive Director) ii. Senior Independent Non-Executive Director iii. (Group Managing Director/Chief Executive Officer iv. Non-Independent Executive Director v. Independent Non-Executive Director vi. Independent Non-Executive Director vii. Independent Non-Executive Director viii. Independent Non-Executive Director ix. Non-Independent Non-Executive Director x. Non-Independent Non-Executive Director xi. Independent Non-Executive Director xii. Independent Non-Executive Director The Board currently has 12 members, with 2 Executive Directors and 10 Non-Executive Directors, of whom 7 are Independent Directors.

The number of Independent Directors exceeds the one-third requirement as set out in the Code, Revised BNM/GP1 and the Bursa Securities Listing Requirements respectively. More than 50% of the Board are Independent Directors and the composition of the Board is made up of industry leaders not only from diverse sectors and backgrounds such as financial, legal, management, Islamic banking and public administration, but also from the markets where the Group operates, thus providing the Board with knowledge, objectivity, judgment and balance.

The Board members’ wide range of industry expertise enables them to bring fresh and illuminating points of view to Board discussions, the diverse nationalities represented on the Board from all the Group’s operating jurisdictions bring across regional perspective to Board deliberations, auguring well for the Group’s regional aspirations. Directors’ Code of Ethics

The Board observes the Code of Ethics as set out in the BNM Guidelines on the Code of Conduct for Directors, Officers and Employees in the Banking Industry (BNM/GP7), the Companies Act 1965 and the Code of Ethics for Company Directors issued by the Companies Commission of Malaysia, respectively. The Directors of the Group constantly adhere to the Code of Ethics which provides guidance to Directors to recognise and deal with ethical issues, provide mechanisms to report unethical conduct, and help foster a culture of honesty and accountability. Duties and Responsibilities of the Board

The Board is the ultimate decision-making body of the Group, except with regard to matters reserved for shareholders. It has a fiduciary role responsible for setting the strategic direction and vision of the Group. The Board takes full responsibility in governing, guiding and monitoring the entire performance of the Group and enforces standards of accountability, all with a view to enabling Management to execute its responsibilities effectively. The Board has overall responsibility for putting in place a framework of good corporate governance in the Group, including the processes for financial reporting and compliance.

All Board members bring their independent judgment, diversified knowledge and experience to bear on issues of strategy, performance, resources and standards of conduct. The Board has adopted various Policies and Procedures on matters that require its approval. Matters which are specifically reserved for the Board’s decision include those involving corporate strategy, business plans and budgets, material acquisitions and disposals of assets, financial restructuring, share issuances, dividends, and other returns to shareholders. Appointments to the Boards

The Group Nomination and Remuneration Committee is responsible for assessing and recommending the nomination of Directors to the respective Boards of the Group. The appointment process is transparent and undertaken through a comprehensive evaluation of the skills, knowledge and experience of the Directors before a recommendation for the nomination to the respective Boards within the Group is made. In the case of Directors of the Boards of the Financial Institutions within the Group, BNM’s approval is sought prior to such appointment(s) and/or re-appointment(s).

Re-appointment and Re-election of Directors Pursuant to the CIMB Group’s Articles of Association, one-third of the Directors shall retire from office at each Annual General Meeting (AGM) and are eligible to offer themselves for re-election. The proposal for the re-appointment and re-election is recommended by the Group Nomination and Remuneration Committee to the Board prior to the shareholders’ approval at the AGM. The Directors appointed during the financial year shall retire and offer themselves for re-election at the forthcoming AGM.

Number of Directorships The Directors of CIMB Group do not hold more than 10 directorships in listed companies and not more than 15 in non-listed companies in compliance with the Revised BNM/GP1 and Bursa Securities Listing Requirements. The Directors further comply with the GLC Green Book which caps directorships in listed companies to 5 and non-listed companies to 10. The Group MD/CEO is also in compliance with the Revised BNM/GP1 requirements which limit his directorships to not more than 5 in the Group.

The list of directorships of Directors is submitted and confirmed by each Director and is presented to the Board on a quarterly basis. The list is also deemed as disclosure of Directors’ interest in any business or dealing which might be made with any of the companies listed. Meetings and Supply of Information to the Board The Board, through regular Board meetings, is kept abreast with various information on the business of the Group, as well as the dissemination of pertinent reports. The Board meets to discuss and determine the strategic business direction and is apprised of the financial performance of the Group.

In addition, various reports from Board Committees are presented for the Board’s information by the respective Committees’ Chairmen. After every quarter, the Board reviews and approves the Group’s quarterly results together with the release of the announcement to Bursa Securities, reviews Directors’ training programmes and Directors’ disclosures of directorships and shareholdings. Special Meetings are convened to deliberate and approve urgent or important business issues that affect the Group as and when required.

All deliberations at Board meetings, including dissenting views, are duly minuted as true records of the proceedings. The draft minutes are circulated to the Directors for their review and comments prior to the finalisation. Once confirmed, the minutes are signed by the Chairman of the meeting in accordance with the provisions of Section 156 of the Companies Act, 1965. Board meeting papers are targeted for dissemination to the Directors at least 7 days prior to the Board meetings to facilitate the Directors in discharging their duties effectively in line with the GLC Green Book.

At the Board meetings, the Group MD/CEO provides comprehensive explanation of significant issues relating to the Group’s business while the Chief Financial Officer presents updates on the Group’s financial performance. The Chairman of the Audit Committee provides a summary of the audit reports deliberated at Audit Committee meetings for the Board’s notation. Significant audit findings by the Group Internal Audit Division are also escalated to the Board.

In addition, the Head of Group Compliance reports the status of legal and regulatory compliance for all the operating entities in the Group, while the Head of Group Risk Management briefs the Board on the risk positions of the various activities undertaken by the Group. Any Director who has interest in any proposal or transaction recommended by Management is duty bound to declare his interest and abstains from deliberation and decision of the proposal. This process is duly recorded in the minutes of the proceedings. The Group has adopted a stringent policy in relation to securities dealings equirements stipulated by Bursa Securities Listing Requirements. The Directors and Senior Management who are in possession of material non-public information are prohibited from trading in CIMB shares and securities one month before the release of every quarterly results, and before such material non-public information released to the public, in compliance with Chapter 14 of the Bursa Securities Listing Requirements. All Directors have attended the Mandatory Accreditation Programme (MAP) as required by Bursa Securities Listing Requirements, including the two newly-appointed Directors who attended the MAP in March 2010.

CIMB Group continued with its regionalisation agenda in 2009. It completed the acquisition of CIMB Thai, implemented the CIMB brand harmonisation across the region, integrated the Bank Niaga-Lippo Bank systems in Indonesia and launched the retail banking offerings in Singapore to become the bank with the largest branch network in the ASEAN region. Amidst the uncertainties in the global market in 2009, the Group’s regional growth was well admired and has been acknowledged as the most integrated universal banking franchise and the leading universal banking group in the ASEAN region.

The Group places utmost importance in the governance framework for its operations to ensure that the interests of all stakeholders are protected and as a safeguard in balancing the Group’s risk-taking activities and business prudence. The Group’s governance effort was well recognised when the Group won Best Investor Relations in Malaysia award, second for the Best Managed Company in Malaysia and second for Best Corporate Governance in Malaysia by FinanceAsia’s Asia’s Best Managed Companies Poll 2009.

The Group was also given a Distinction Award in the inaugural Malaysian Corporate Governance Index 2009 by the Minority Shareholder Watchdog Group and the Certificate of Merit Award in the National Annual Corporate Report Awards 2009. The Board of Directors (Board) reiterates its full commitment and support for the Group’s initiatives to ensure highest standards of governance are practised throughout the Group. The Board has complete oversight and full transparency of the Group’s operations in the jurisdictions where it has presence.

Whilst recognising the autonomy of the local jurisdictions and that there is compliance with local requirements, the Board also ensures that Group policies and procedures are adhered to. The governance framework adopted by the Group is developed based on the principles and best practices recommended by the Malaysian Code on Corporate Governance (Revised 2007). As a listed financial services provider, the Group is also guided by the Bank Negara Malaysia Guidelines on Corporate Governance for Licensed Institutions, the Main Market Listing Requirements of Bursa Malaysia Securities Berhad as well as international best practices.

Wherever the Group operates, it abides by the guidelines of the relevant regulators and authorities. At CIMB believe that strong corporate governance is essential in providing a guiding vision in managing risk in an increasingly dynamic and complex environment. Integrated within our Enterprise Wide Risk Management ( EWRM ) Framework, we have introduced the Corporate Risk Scorecard ( CRS ) system as a systematic and organised method for identifying, controlling and monitoring the risk exposure.

This methodology provides a comprehensive view of the enterprise wide risk of our organisation on a single common platform. While the management of financial risk ( including market, credit and liquidity risk ) has evolved over the years reaching a mature stage, CRS is one of the tool to assist the Management in ensuring that there is adequate process in place to address operational risk. The soundness of our internal controls through a structured operationalrisk framework is of prime importance, considering most bank failures in recent history can be attributable to operational risk failures.

Hence, we have used this scorecard as a launching pad to establish a robust operational risk system where we are able to quantify potential exposures or losses moving forward. This is in anticipation of the implementation of the Investment Banking and Basel II frameworks. Understanding and communicating risk effectively across the organisation is a critical element in any risk management system. In CIMB, the CRS helps to harmonise the risk language across the group. An integrated risk management and control framework CIMB Group adopts the Enterprise-Wide Risk Management Framework (EWRM) to anage its risks, which is implemented by a number of committees. The EWRM framework involves the ongoing process of identifying, managing and reporting significant risks that may affect the achievement of its business objectives. This robust methodology equips the Board of CIMB and the Management with a comprehensive tool-kit to anticipate and manage both the existing and potential risks, taking into consideration the changes in the risk profile experienced in the industry and within the Group. CIMB employs a Capital-at-Risk (“CaR”) framework as a common measure of risk within the CIMB Group.

The CaR framework focuses on economic capital needed to cushion against unexpected losses. CaR can be aggregated, thus allowing measurement of the CIMB Group’s total risk, and it provides a basis for risk-return consideration, hence serving as a limit for risk-taking. Risk capital is allocated to business units that utilise the balance sheet of the CIMB Group. The CaR framework forms the basis of return on risk-adjusted-capital, which is used by the CIMB Group to compare profitability across differing businesses and for measurement of CIMB’s performance.

Role of senior management In line with best practices in corporate governance, the Board Risk Committee determines the risk policy objectives for the CIMB Group, and assumes ultimate responsibility for risk management. The Board Risk Committee also establishes the yearly allocation of risk capital to support all risks taken by the Group. The day-to-day responsibility for risk management and control, however, has been delegated to the Group Risk Committee, which reports directly to the Board Risk Committee.

Sub-committees delegated from the Group Risk Committee are also in place to manage and control specific risk areas. Specific committees have been delegated responsibilities which are clearly defined in their terms of references. These committees have their scope and report back to the Board of CIMB with their recommendations. The Board Risk Committee, reports directly to the Board of CIMB, oversees the entire EWRM and provides strategic guidance and reviews decisions made by the various risk committees.

The Group Risk Committee, comprising the senior management of the Group, undertakes the oversight function for capital allocations and overall risks limits guided by the risk appetite as defined by the Board of CIMB. The Group Risk Committee is further supported by four (4) specialised sub-committees, namely, Market Risk Committee, Credit Risk Committee, Liquidity Risk Committee and Operational Risk Committee. The roles and responsibilities of the sub-committees are as follows: CIMB Board of Directors 1. Board Risk Committee (“BRC”) Reviews and approves risk policies and strategies, and new products * Oversees entire risk management function 2. Group Risk Committee (“GRC”) * Reviews and advises on risk policies and strategies * Oversees management of risk, capital allocation and asset liability management process across the CIMB Group 3. Credit Risk Committee (“CRC”) * Credit approval authority * Oversees counterparty, industry sector, product exposures and sets credit support standards 4. Market Risk Committee (“MRC”) * Oversees exposure to market risks Approves proprietary trading activities and investments/underwriting arrangements with defined limits 5. Liquidity Risk Committee (“LRC”) * Reviews trends in the Group’s overall liquidity risk profile 6. Operational Risk Committee (“ORC”) * Oversees issues relating to the CIMB Group’s operational risk and internal control environment Key activities CIMB Group’s EWRM process rests with a number of management committees. The purpose of each is to identify, analyse, monitor and review the principal risks to which the Group is exposed.

Essentially, these constitute: market risk – arising from changes in market prices such as interest rates, exchange rates and share prices; credit risk – relating to the quality of counterparties with whom the Group deals, as well as their potential for defaults; liquidity risk – relating to the funding of the Group’s activities; and operational risk – relating to the potential losses arising from a breakdown in controls and the implementation of safeguards to ensure the proper functioning of people, systems and facilities.

This includes legal and regulatory issues, and the need to ensure that all work undertaken by the Group meets the strictest standards of legislation and documentation. The primary oversight body is the Group Risk Management (GRM), which comprises the Risk Management and Analytics (RMA), Risk Middle Office (RMO) and Credit Risk Management (CRM), which are independent of the Group’s business units and which assist the Senior Management and the various risk committees in monitoring and controlling the Group’s risk exposures. The roles of Group Risk Management (GRM)

The key responsibilities of GRM are to identify, analyse, monitor, review and report the principal risks to which the Group is exposed. It also helps to create shareholder value through proper allocation of risk capital, development of risk-based pricing framework and facilitate development of new business and products. The goals of RMA are to monitor the risk profile of risk-taking activities and to initiate and propose risk policies, risk measurement methodologies and risk capital allocation. This is in order to aggregate and control credit, market and operational risks across the enterprise.

It also performs independent review of loan assets quality and loan recovery plan, independent valuation of the trading portfolios and develops the risk-based product pricing framework for loan portfolios. With these risk and valuation policies in place, the RMO’s role is to operationalise the risk management framework through ensuring that the processes, procedures, controls and resources are in accordance with business expectations and internal policies for market transaction activities, in particular mark-to-market and parameters verification procedures.

It also reviews and analyses Treasury trading strategy, positions and activities vis-a-vis changes in financial market. Other functions of RMO include coordinating new products and keeping an eye on limits usage and assessing limits adequacy. CRM carries out the independent role in the assessment and evaluation of all credit risk related proposals originating from the various business units such as loans and advances, fixed income, derivatives, sales and trading, prior to submission to Credit Risk Committee (CRC), EXCO, or Board for approval.

It also reviews the Group’s holdings of all fixed income assets and recommends the internal ratings for CRC’s approval. CRM also runs the CRC secretariat. On an annual basis, the RMA proposes the global CaR limit to the GRC and the BRC for approval. This limit is allocated by the GRC to the various businesses of the CIMB Group through the MRC and CRC. The appropriate market and credit allocations are given by the various business units to execute their business plans each year. The GRC ensures that the CIMB Group’s aggregate risk exposure does not exceed the global CaR limit approved by the BRC.

Market Risk Market risk is defined as any fluctuation in value of the portfolio resulting from changes in market prices and market parameters, such as interest rates, exchange rates and share prices. Market risk within the Group resulting from the Group’s trading activities can arise either from customer-related businesses or from proprietary positions. CIMB, together with CIMBDH, make markets in debt securities as well as interest rate and currency derivative instruments, while equity proprietary activities are carried out by CIMB itself, its broking arm and offshore subsidiary.

In general, the Group hedges its trading positions by employing a variety of strategies, including the use of derivative instruments. The Group manages market risk through risk limits set by the GRC. The GRC is assisted by the MRC whose role, amongst others, is to oversee the Group’s exposure to market risks and to consider and determine trading, investment and underwriting proposals within defined limits. The utilisation of market risk limits is reviewed on a daily basis by the RMA, which employs statistical methods to measure and monitor the risks associated with the Group’s trading activities.

The RMA, together with the RMO, also provides independent valuation of portfolios and generates daily and weekly risk position reports for the information of the GRC. The Group has adopted a Value-at-Risk (“VaR”) approach in the measurement of market risks. VaR is a statistical measure of the potential losses that could occur to movements in market rates and prices over a specified time horizon within a given confidence level. Duration-weighted gap VaR and various other multi-factor models are also employed to assess market risks. Credit Risk

Credit and counterparty risk is defined as the possibility of losses due to an unexpected default or a deterioration of creditworthiness of a business partner. Credit risk arises in many of CIMB’s business activities. In lending activities, it occurs primarily through loans as well as commitments to support clients’ obligations to third parties, i. e. guarantees. In sales and trading activities, credit risk arises as a result of the possibility that the Group’s counterparties will not be able or willing to fulfil their obligation on transactions on or before settlement date.

In derivatives activities, credit risk arises when counterparties to derivative contracts, such as interest rate swaps, are obligated to pay the Group the positive fair value or receivable resulting from the execution of contract terms. The CRC ensures that the risk exposures undertaken match the risk appetite of the Group, and that proper authorisation procedures are adhered to. Problematic exposures identified by the business units and the Management are carefully monitored and proactive measures taken, where possible, to minimise financial loss to the Group.

All credit exposures are given an internal rating, based on a combination of quantitative and qualitative criteria. Adherence to set credit limits is monitored on a daily basis by the RMA which combines all exposures for each counterparty, including off balance sheet and potential exposure, and ensures that limits are not exceeded. The Group also has in place guidelines that limit its exposure to any one counterparty or group, industry sector and rating classification.

In summary, potential credit exposures are evaluated by the CRC and are monitored against approved limits on a regular basis. The alleviation of credit risk exposures adopted by CIMB includes restricting concentration of risks to any one large sector/industry, or to a particular counterparty group or individual, the application of single customer limit, as well as assessing the quality of collateral. The Group also enters into master agreements that provide for closeout and settlement netting with counterparties, whenever possible.

A master agreement that governs all transactions between two (2) parties, creates the greatest legal certainty that credit exposure will be netted. In effect, it enables the netting of outstanding obligations upon termination of outstanding transactions if an event of default occurs. The extent to which the Group’s overall exposure to credit risk is reduced through a master netting arrangement may change substantially within a short period following the balance sheet date because the exposure is affected by each transaction subject to the agreement. Liquidity Risk

Liquidity risk is defined as the risk of the Group being unable to fulfil its current or future payment obligations in full and at the due date. The LRC, whose main role is to oversee the overall liquidity management of the Group, ensures compliance with the liquidity framework prescribed by BNM, and reviews periodically the assumptions of the liquidity risk management framework. The Group’s liquidity risk management focuses on avoiding over dependence on volatile sources of funding, diversification of sources of funds, and maintenance of sufficient liquid assets.

To ensure the Group is able to cover all payment obligations on due dates as part of the liquidity management process, the RMA prepares liquidity analyses in line with BNM’s liquidity framework. In addition, management action triggers are set to provide timely warning on emerging liquidity pressures. The Group has also developed a contingency funding plan to deal with extreme liquidity crisis situations. In summary, the methods of managing liquidity risks employed by CIMB are generally aimed at providing timely forewarning on liquidity pressure as well as the severity of potential exposures.

Operational Risk Operational risk includes risks that arise from internal processes of an organisation. These may result from inadequacies or failures in processes and controls or in projects due to fraud, unauthorised activities, error, omission, inefficiency, systems failure or from external events. Operational risks are less direct than credit and market risks, but managing them is critical, particularly in a rapidly changing environment with increasing transaction volumes.

In order to reduce or mitigate these risks, the Group has established and maintained an effective internal control environment, which incorporates various control mechanisms at different levels throughout the organisation. These control mechanisms are designed to better ensure that operational policies and procedures are being followed and that the Group’s various businesses are operating within established corporate policies and limits. The ORC has an oversight responsibility for all operational and other matters that affect the Group’s day-to-day activities.

The ORC also reviews the operating policies and procedures for new products/businesses to ensure that the supporting infrastructure is in place prior to doing the business as well as conducting investigations on any malfunctions to determine the root problem and following up on remedial measures. CIMB Group’s primary emphasis is to create long-term value for its shareholders. Our management is committed to good corporate governance, organisational effectiveness, capabilities enhancements and efficient capital management. The holding company, CIMB Group Holdings Berhad, is listed on Bursa Malaysia.

As of 30 June 2011, CIMB Group was Malaysia’s second largest financial services provider and the second largest company on Bursa Malaysia, with a market capitalisation of RM66. 4 billion. Within this section, you will be able to find the most recent financial and other relevant information on CIMB Group. CIMB Community Link is one of CIMB Group’s key Corporate Social Responsibility (CSR) initiatives. It is a unique program aimed at forging closer ties with the local communities served by CIMB Bank and CIMB Islamic branches.

The programme empowers customers to propose initiatives or social causes that will enhance the lives of those within the community. These causes will then be funded by the Bank. Vision and Statement of Purpose The Foundation supports the development and empowerment of communities and is committed to promoting sustainable development and improving the quality of life of communities. The Foundation by itself, and in strategic partnerships, aims to improve the lives of communities and individuals by responding to needs and opportunities in the areas of Community Development, Sports and Education.

At CIMB Group, the vision is to be “Southeast Asia’s most valued universal bank” which means that CIMB Group wants to be the bank of choice to its customers, the preferred employer to its employees and the bank that accords the highest premium to its shareholders. “Forward Banking” articulates CIMB Group’s central philosophy – forward thinking and continuously anticipating and delivering on its customers’ needs. “Forward Banking” describes its drive to see beyond present circumstances and requirements and actively anticipate the future, always with the aim of creating value.

Premised on this philosophy, the Foundation’s commitment to value-creation extends to a wider community, and aims to empower communities through sustainable capacity building initiatives. Corporate social responsibility has always been an important aspect of CIMB Group. We recognise that profits are not the only measure of value. Instead, our core philosophy of value creation is aimed at all stakeholders – employees, shareholders, customers, the communities we serve, our partners as well as suppliers.

For each of these stakeholders, our corporate social responsibility activities take on a different approach but always with a common goal: to create sustainable value for our stakeholders, be it in the community, workplace, marketplace or environment. Most of our corporate social responsibility initiatives are implemented through CIMB Foundation, a non-profit organisation set up specifically for this. We believe in long-term sustainable growth and giving back to society at a community level in a transparent, measurable and accountable way to foster beneficial social changes in Community Development, Sports and Education.

These 3 areas reflect the vision of the Foundation: to support the development and empowerment of communities and improve the quality of life of these communities. We approve grants covering a diverse range of projects, from giving the disabled a voice through radio broadcasting, equipping the hearing impaired with acrobatic lion dancing skills to funding the tertiary education of underprivileged Indonesian students. Since the inception of the Foundation, we have received hundreds of proposals to fund a variety of initiatives.

In considering a grant proposal, we evaluate all aspects of the proposals thoroughly. In particular, we look at the target beneficiaries and their needs, objectives of the grant, use of funds, expected outcomes, execution capability and the commitment of grant seekers. Grant seekers should have adequate resources, demonstrate a solid track record in executing projects effectively and efficiently and have a strong management team in place. The success of Community Link hinges on branch managers working closely with customers to identify causes important to their community.

A fund exclusively for the cause is then set up. Every time customers conduct a transaction at the branch, the Bank will contribute a portion of its monies to the fund. The more transactions and business activities there are at the branches, the quicker the target will be reached. A mock thermometer located at the electronic banking centre of the branch will track the progress of the funds. When targets are reached, the fund is distributed accordingly. CIMB Community Link is an on-going project. When a project is completed, the community can subsequently nominate a next worthy cause.