Shock Malaysia election win for Mahathir poses low risks for Singapore banks, says RHB

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SINGAPORE (May 17): RHB Research has brushed aside fears that the shock victory at the Malaysian elections by an opposition coalition led by Mahathir Mohamad, could pose a risk to Singapore banks.

“Some investors see the recent 14th General Election (GE14) in Malaysia contributing to more market volatility, although the equity market has been relatively stable after the elections,” says analyst Leng Seng Choon in a report on Wednesday. “We believe the risks to Singapore banks are low.”

According to the brokerage, Oversea-Chinese Banking Corp (OCBC) and United Overseas Bank (UOB) have close to 12% of their loans exposed to Malaysia, while...(click on link for full story on theedgesingapore.com)