Bank Rakyat to boost Islamic pawn broking business

Bank Rakyat will open 13 Ar-Rahnu X'Change Franchise branches to bring its total to 30 branches this year.

Bank Rakyat is currently operating  17 Ar-Rahnu X'Change franchises, an Islamic pawn-broking business that offers loans without any interest and a high and flexible period of financing.

Bank Rakyat Managing Director Datuk Kamaruzaman Che Mat said all 17 Ar-Rahnu X'Change Franchise were performing well with RM121.7 million disbursed last year and RM24.8 million in the first two months of this year. The bank hopes to disburse Ar-Rahnu loans totalling RM200 million this year.

Domestic Trade, Co-operatives and Consumerism Minister Datuk Seri Ismail Sabri Yaakob said several locations have been identified to set up the Ar-Rahnu X'Change branches throughout the country between May and November. These include Mantin, Meru, Bandar Tun Razak, and Setapak.