Kuala lumpur: The government has clarified that there are no current plans to change the status of Bank Kerjasama Rakyat Malaysia Bhd (Bank Rakyat) from a cooperative bank to a commercial bank, as confirmed by Entrepreneur and Cooperatives Development Minister Datuk Ewon Benedick. Addressing the Dewan Rakyat, Ewon stated that any decision regarding a status change would require approval from its members and adhere to necessary procedures.
According to BERNAMA News Agency, Ewon emphasized that transitioning to a commercial bank involves several levels of approval. These include a general meeting of members and compliance with the Central Bank of Malaysia Act under Bank Negara (BNM). The process would also need to pass through the Malaysia Co-operative Societies Commission (SKM). Currently, Bank Rakyat retains its status as a cooperative bank, with no immediate plans for conversion.
Ewon’s clarification came after Dr Radzi Jidin (PN-Putrajaya) sought explanation concerning media reports on Bank Rakyat’s potential commercial transformation during the debate on the 13th Malaysia Plan (13MP) for his ministry.
In related developments, Ewon announced that the Entrepreneur and Cooperatives Development Ministry (KUSKOP) plans to establish a regulatory body and legal framework for accrediting social enterprises (SE) under Phase 2 of the Malaysia Social Entrepreneurship Action Plan 2029 (SEMy2030) for 2026 to 2030. The SE rating process, introduced in 2019, remains active.
As of August 2025, 520 business entities, including MSMEs and cooperatives, have been accredited as SEs under three levels: Accredited Social Enterprise (SE.Ac), Basic Social Enterprise (SE.B), and Tunas Social Enterprise (Tunas SE).
Additionally, Ewon highlighted developments in veterans’ cooperatives, noting that in 2024, 82 veterans’ cooperatives registered with SKM, comprising 9,059 members. These cooperatives have accumulated share capital of RM2.5 million, total assets of RM10.3 million, and earnings amounting to RM696,470. Their business activities span oil palm plantations, agriculture, rental, investment, and services. KUSKOP and SKM support collaboration initiatives by Koperasi Angkatan Tentera Malaysia Berhad to enhance expertise and business operations.