HSBC Bank Malaysia Bhd's Islamic banking business is expected to record double-digit growth to 10% next year, driven by new products and services, managing director Yakub Y. Bobat said.  
“If you look at our operating income growth in the first half of 2007 compared with the first half in 2006, our business grew by 40%,” Yakub said. 
“Going forward, with our franchise and additional products and services that we plan to have, we will maintain solid growth,” he told a media briefing on its Islamic banking subsidiary, HSBC Amanah Malaysia Bhd yesterday. 
As at September this year, Islamic finance contributed 10.5% or RM174mil of HSBC's total operating income, Yakub said. 
Malaysia, he said, was a huge market for Islamic banking products, ranking number one for the issuance of sukuk or Islamic bonds. 
HSBC Bank Malaysia was the first locally-incorporated foreign bank to be awarded a licence on Nov 7 to set up an Islamic banking subsidiary by Bank Negara. 
To be locally incorporated next year, HSBC Amanah Malaysia will provide an extensive range of products and services across the whole spectrum of retail, commercial, corporate and institutional customers. 
The universal banking scope allows other HSBC entities to expand their access to Malaysia's Islamic finance industry, which currently accounts for 13% of total banking assets.