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DJ CIMB Bank Restructuring May Take Longer to Show Results -- Market Talk

· 02/05/2021 03:46

0846 GMT - CIMB Group-owned CIMB Bank may need more time for its restructuring plan to have positive results due to the tough operating conditions, Moody's Investors Service says. Nonetheless, CIMB's strengths could help mitigate risks to its asset quality and profitability caused by a pandemic-induced economic contraction in its key markets. Moody's affirms its ratings for CIMB and its Malaysia-based entities with a stable outlook. Moody's says the ratings reflects expectations for a very high level of support from Malaysia's government, based on the government's 49.8% stake in CIMB and the bank's significant 12% share of Malaysia's deposits market. CIMB Group shares are trading 1.8% lower at MYR3.88. (chester.tay@wsj.com)

(END) Dow Jones Newswires

February 05, 2021 03:46 ET (08:46 GMT)

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