OCBC's Q3 profit up 19%, debt holidays rise in Malaysia

OCBC's loans under moratorium in Malaysia have crept up steadily in the third quarter, with new non-performing assets (NPAs) also up from the downgrades of secured consumer loans there.

Despite the shaky recovery outlook in Malaysia, the lender remains "comfortable" that sufficient provisions have been set aside to buffer for any unanticipated stress in the loan book, said OCBC chief Helen Wong at the bank's results briefing on Wednesday (Nov 3).

On a quarterly basis, relief loans in Malaysia rose from S$1.5 billion to S$4 billion for the three months ended Sept 30, accounting for a fifth of the bank's Malaysia loan book. This comes amid a six-month blanket moratorium until early 2022, announced by the Malaysian government in June.