Central Bank of Malaysia Act 2009 · Updated to 1 Nov 2020 · Part XI · Other Powers of the Bank
76. Business which the Bank may not transact
Feedback & supportUnless otherwise provided in this Act or any other written law, the
Bank may not—
Bank
“Bank” means Bank Negara Malaysia or in English, the “Central Bank of Malaysia”;
engage in trade or otherwise have a direct interest in any commercial, agricultural, industrial or any other undertaking except in the course of the satisfaction of debts due to the Bank provided that any such interest shall be disposed of at the earliest suitable opportunity;
provide financing upon security of any shares;
financing
“financing” means the giving of any advance, loan, credit or other facility in whatever form or by whatever name called, including the giving of a guarantee or undertaking of any surety obligations for another person and where such financing is extended in accordance with the Shariah shall include, and may be in the form of, without limitation, any sale or purchase arrangement, joint venture arrangement, deferred payment sale, return sharing arrangement or any other financing arrangement made in accordance with the Shariah;
purchase the shares of any corporation;
74 Laws of Malaysia ACT 701
extend unsecured financing or financing secured otherwise than as set out in this Act:
Provided that in the event of any debt due to the Bank becoming in the opinion of the Bank endangered, the Bank may secure such debt on any immovable or movable property of the debtor and may acquire such property, which shall, however, be resold at the earliest suitable moment;
draw or accept bills payable otherwise than on demand;
and
accept for discount, or as security for any financing extended by the Bank, bills or notes signed by members of the Board or by the officers or employees of the Bank.