Annual Report Laporan Tahunan - Baiduri Bank

Chairperson’s Statement
Compared to 2007, Baiduri Finance increased
its net income by 19.44% to BND 43 million. Net
profit after tax reached BND 16 million, an increase
of 45.45% over the previous year. Baiduri Finance
maintained its position as the market leader in
automobile financing.
DEVELOPMENTS IN 2008
In 2008, we focused on organizational development
and product enhancement with emphasis on
investment products.
Upgrading Facilities
On behalf of the Board of Directors, I am pleased to
present the Annual Report and Accounts of Baiduri
Bank Berhad for the financial year ending 31st
December 2008.
GLOBAL FINANCIAL CRISIS
The Year 2008 has been a difficult year for the global
economy. What started as a sub-prime crisis in the
U.S.A. eventually deepened into a global economic
recession of unprecedented dimensions. This
recession is expected to continue through 2009.
Fortunately, in spite of a sharp decline in oil and
gas prices, Brunei’s domestic economy has been
relatively unaffected.
SATISFACTORY FINANCIAL RESULTS
In an unfavourable international environment,
however, the Baiduri Bank Group was still able to
expand its business and achieve satisfactory financial
results. Both Baiduri Bank and Baiduri Finance, its
wholly-owned subsidiary, contributed to this.
In 2008, Baiduri Bank recorded a net income of
BND 110 million against BND 82 million in 2007,
an increase of 34%. Profit after tax amounted to
BND 28 million, an increase of 10.67% over the
previous year.
We continued to upgrade our facilities in order
to serve our customers better. In February 2008,
we opened the Loan Centre in Kiarong, providing
centralized processing of retail loans for speedier
approval. During the second half of the year, we
set up the Business Services Centre in Kiarong,
consolidating three departments in one, thus
providing centralized operational support for
all departments within Baiduri Bank Group. In
December 2008, we moved our subsidiary Baiduri
Finance to new premises in Beribi, bringing it closer
to the automobile district. We opened an adjacent
branch of Baiduri Bank for the convenience of our
corporate customers.
Technological Development
We continued developing technology. We
upgraded our IT operations; we consolidated the
Data Centre and Information System teams and
relocated them under one roof to a new state-ofthe-art
Data Centre in Kiarong.
Enhancing Products and Customer Experience
Under Wealth Management, we introduced
Structured Deposits and other investment products
to diversify what we were offering to customers.
The second Baiduri Expo with the theme “Saving for a
Brighter Future” was held in June at the International
Convention Centre, showcasing products and services
of the Baiduri Bank Group with an emphasis on
savings and investment. Free financial health checks
and consultations were provided to customers.
The Baiduri Prestige programme held several
lifestyle activities for its members in 2008.
We continued to develop our specialized and
structured lending services to small, medium
4 Baiduri Bank Annual Report 2008