Application to be Approved as Financial Holding Company Pursuant to Sections 280(2) and 280(3) of the Financial Services Act 2013 and Section 290(1) of the Islamic Financial Services Act 2013

The Financial Services Act 2013 (FSA) and Islamic Financial Services Act 2013 (IFSA) empower Bank Negara Malaysia (the Bank) to exercise oversight over financial groups to promote the safety and soundness of a licensed person.

The following companies (referred to as “affected companies”) are required to submit an application for approval as a financial holding company (FHC):
(i) under section 280(2) of the FSA, a company holding more than 50% interest in shares in a licensed bank or licensed investment bank, where the Bank has not designated an FHC for such bank;
(ii) under section 280(3) of the FSA, a company approved under the repealed Insurance Act 1996 to hold more than 50% interest in shares in a licensed insurer; and
(iii) under section 290(1) of the IFSA, a company that lawfully held more than 50% interest in shares in a licensed Islamic bank under the repealed Islamic Banking Act 1983, or a registered takaful operator under the repealed Takaful Act 1984.

This document belongs to Bank Negara Malaysia (BNM). Full access to the original source is available here: https://www.bnm.gov.my/banking-islamic-banking