Dear Valued Customers,

In line with the recent announcement by the Malaysian Government and the joint statement issued by the Association of Banks in Malaysia (ABM), the Association of Islamic Banking and Financial Institutions Malaysia (AIBIM), and the Malaysian Investment Banking Association (MIBA) on 25 June 2025, Service Tax on financial services will be implemented in phases starting 1 July 2025.

Malayan Banking Berhad and our subsidiaries in Malaysia will fully comply with this regulatory requirement.

We wish to highlight that the Bank currently imposes a RM25 Service Tax per credit or charge card, upon activation and at each subsequent anniversary. This practice will remain unchanged following the expansion of the Service Tax scope. As a result, the annual fee for credit and charge cards will not be subject to Service Tax, in line with the prevailing tax regulations.

In addition, basic banking services related to the operation of current accounts, savings accounts, and similar accounts will remain excluded from Service Tax. This means fees and charges imposed on customers’ deposits, withdrawals, payments, local fund transfers, basic transactions carried out at Self-Service terminals and at branches will not be subject to Service Tax.

However, the following fees and charges, where applicable, will be subject to Service Tax with effect from 1 July 2025:

Conventional and Islamic Banking Services

Applicable to: Treasury Services, Corporate Banking Advisory, and Global Market Services

• Facility Fee for Arranging and Marking Limit
• Structuring of Securities Fee
• Processing Fee / Upfront Fee
• Participation Fee
• Administrative Charges
• Charges for Letter of Undertaking / Letter of Support / Credit Advice
• Annual Review of Facilities Fee
• Restructuring / Rescheduling Fee
• Extension Fee

As the Bank implements the Service Tax scope expansion in phases, fees and charges not classified under basic banking services may become subject to Service Tax in the future.

We remain committed to keeping you informed and will provide timely updates as further developments take place.

We thank you for your continued trust and support.