Governance and Performance Measurement for Development Financial Institutions (BNM)
On 24 June 2026 Bank Negara Malaysia issued three policy documents for development financial institutions prescribed under the Development Financial Institutions Act 2002: Corporate Governance for Development Financial Institutions, the Corporate Strategic Plan, and the Performance Measurement Framework. The Performance Measurement Framework takes effect immediately, and DFIs are expected to comply by 1 July 2027. It asks DFIs to measure the difference they make through additionalities, financial, design, demonstration and policy, through social impact measures including a Subsidy Dependence Index, a Mandate Index and an Impact Multiplier, and through operational efficiency, and to report the results transparently. It replaces the implementation guide that sat within the 2021 corporate strategic plan policy.
This two-day course is for the boards, senior management, strategy and corporate planning, risk and performance teams of prescribed DFIs, retail and non-retail. Day one covers governance and the strategic plan: how the board oversees delivery of the mandate and how senior management is held accountable. Day two is the measurement framework in depth, with worked examples of each additionality and index and a readiness plan to 1 July 2027. The policy documents encourage early adoption, and the course is designed to help DFIs start now.
HRD Corp SBL-Khas Claimable
Programme Agenda
Day 1, 9:00 AM - 9:15 AM
Welcome and Programme Overview
Introduction to the session, objectives, and housekeeping.
Day 1, 9:15 AM - 10:15 AM
The June 2026 Policy Documents and How They Fit
The three policy documents, their legal basis under the DFIA, the standards and guidance within them, the difference between retail and non-retail DFIs, and the related documents on financial reporting, complaints, financial inclusion, climate taxonomy, agent banking and Bank Bergerak.
Day 1, 10:15 AM - 10:30 AM
Break
Day 1, 10:30 AM - 11:30 AM
Board Oversight of the Mandate
What the governance policy document expects of the board in overseeing delivery of the developmental mandate, and how it differs from governance expectations for commercial banks.
Day 1, 11:30 AM - 12:30 PM
Senior Management Accountability and the Strategic Plan
Senior management as the central authority for operationalising performance measurement, the corporate strategic plan requirements, and linking strategy, targets and resources.
Day 1, 12:30 PM - 1:30 PM
Lunch
Day 1, 1:30 PM - 3:15 PM
PMF General Requirements
Governance and oversight of the framework, strategies, talent, data systems and effective and efficient channels to access services.
Day 1, 3:15 PM - 3:30 PM
Break
Day 1, 3:30 PM - 4:45 PM
Measuring Additionality
Financial, design, demonstration and policy additionality, what each measures, the data needed, and worked examples.
Day 1, 4:45 PM - 5:00 PM
Day 1 Close
Recap and what to review before day two.
Day 2, 9:00 AM - 9:15 AM
Day 1 Review
Recap of day one and the questions it left open.
Day 2, 9:15 AM - 10:15 AM
Social Impact Indices
The Subsidy Dependence Index, the Mandate Index and the Impact Multiplier, how each is constructed, and the pitfalls in interpreting them.
Day 2, 10:15 AM - 10:30 AM
Break
Day 2, 10:30 AM - 12:30 PM
Operational Efficiency and Reporting
Service delivery, complaints, fund performance and cost efficiency measures, and reporting to stakeholders in a way that is transparent and accountable.
Day 2, 12:30 PM - 1:30 PM
Lunch
Day 2, 1:30 PM - 3:15 PM
Data, Systems and Talent
Building the data systems and capabilities the framework assumes, and closing gaps before measurement starts to count.
Day 2, 3:15 PM - 3:30 PM
Break
Day 2, 3:30 PM - 4:45 PM
Workshop: Readiness Plan to 1 July 2027
Teams assess a case DFI against the three policy documents and build a dated readiness plan with owners and board checkpoints.
Day 2, 4:45 PM - 5:00 PM
Wrap-Up and Q&A
Key takeaways, next steps, and close.
Key Outcomes
- Explain the three June 2026 policy documents and how they interact
- Set up board oversight of mandate delivery and senior management accountability
- Align the corporate strategic plan with the Performance Measurement Framework
- Measure financial, design, demonstration and policy additionality
- Compute and interpret the social impact indices and efficiency measures
- Build a readiness plan to the 1 July 2027 compliance date
Training Mode Physical / Online / Hybrid / e-learning
HRD Corp SBL-Khas Claimable
Level Intermediate. For directors, senior management, strategy and corporate planning, risk, finance and performance management teams at prescribed development financial institutions.
Duration 2 Days (16 Hours) | 9:00 AM to 5:00 PM daily
Venue In-house at the client's premises, or delivered via the client's preferred platform (Microsoft Teams, Zoom, or equivalent)
Assessment A readiness plan for a case DFI, plus a written knowledge check
Certificate Certificate of Completion issued to all participants upon full attendance