Affin Group and Baiduri Bank Formed Banking Alliance
Financial institutions in Malaysia and Brunei have partnered to increase transaction access and trade finance.
Updated on Sept. 21, 2026 in Financial Services
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Affin Group and Baiduri Bank signed a memorandum of understanding to cooperate on cross-border commercial and retail banking. The partnership aims to streamline financial services for businesses operating across the Malaysian and Bruneian markets.
Why it matters
The collaboration is designed to facilitate transaction flows for regional operators as trade volume between Malaysia and Brunei fluctuates, hitting RM2.4 billion in the first half of 2026. This move seeks to capitalize on expanding economic integration between the two nations.
Bilateral trade between Malaysia and Brunei reached RM2.4 billion in the first half of 2026, following a total of RM5.8 billion in 2025. The cooperation between the institutions covers retail, commercial, and trade finance sectors.
The players
Affin Group
A Malaysian banking group that operates across retail and commercial banking and was named to the Fortune Southeast Asia 500.
Baiduri Bank
The largest conventional bank in Brunei with extensive expertise in local financial markets.
The details
The agreement integrates Affin Group's Malaysian banking capabilities with Baiduri Bank’s local market expertise in Brunei. Both entities intend to collaborate on treasury and financing solutions to support regional business transaction flows. This strategy aligns with Affin Group’s broader operational roadmap under the Affin Axelerate 2028 Plan.
Timeline
2025 marked RM5.8 billion in bilateral trade.
H1 2026 saw trade reach RM2.4 billion.
September 21, 2026, was the date the memorandum was signed.
2027 will host the Visit Brunei Year initiative.
2028 serves as the target date for the Affin Axelerate Plan.
Market Landscape
This partnership represents a tactical step within the broader structural objectives of the Affin Axelerate 2028 Plan. It aligns with increasing regional economic linkages in Borneo as institutional financial services standardize for cross-border trade.
Operators with exposure to trade between Malaysia and Brunei should monitor for new financing product rollouts stemming from this alliance. The integration of these banking capabilities could simplify treasury management and trade settlement processes for regional businesses.
The takeaway
The move suggests a focus on capturing trade-related banking revenue as economic activity increases between Malaysia and Brunei. Operators should audit their current cross-border banking vendors to determine if this new partnership offers more efficient trade finance options than existing providers.
Further reading
For additional context on institutional banking shifts, visit the Financial Services section.
Source note: This article includes information reported by The Sun Malaysia.
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