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BNM Fines Maybank RM4.3 Million For Service Downtime And Weak Resiliency

Business Today ·  Aug 14 06:30

Apart from CIMB, Bank Negara Malaysia had also imposed an Administrative Monetary Penalty of RM4,320,000 on Malayan Banking Berhad and Maybank Islamic Berhad for non-compliance with Financial Services Act 2013 guidelines.

Under the guideline the Central bank noted that financial institutions must ensure their relevant critical systems are designed for high availability, specifically cumulative unplanned downtime that affects user interface must not be more than four hours on a rolling 12-month basis; and maximum tolerable downtime of 120 minutes per incident.

This comes as between 1 June 2023 and 31 May 2024, Maybank's Regional Mobile Banking Platform (RMBP) and MAE applications experienced multiple unplanned downtime that caused prolonged disruptions in several banking services interface with customers and counterparties. The duration of the disruption breached the thresholds specified in paragraph 10.32 of the RMiT Policy Document.

BNM said upon investigation into the root cause leading to the incidents, it was found that Maybank's non-compliance resulted from its inability to recover effectively and promptly from the unexpected system disruptions, which severely impacted the interface experience of online banking services for its customers and counterparties.

Measures by Maybank to further strengthen its application and infrastructure resiliency as required were also incomplete at the time of the incidents which impeded recovery effects.

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