KUCHING: The Sarawak Government has taken a significant step towards strengthening its long-term support for children’s wellbeing with the signing of a new Memorandum of Agreement (MoA) between the Women, Childhood and Community Wellbeing Development Ministry (KPWK) and Affin Bank Bhd to manage the upgraded Endowment Fund Sarawak (EFS) 2.0.
The signing, held at the KPWK headquarters here, formalised Affin Bank’s appointment as the new strategic partner for the EFS, taking over the management of accounts for Sarawakian newborns born on or after January 1, 2025.
The Minister for Women, Childhood and Community Wellbeing Development Sarawak, Datuk Seri Fatimah Abdullah, described the agreement as a timely enhancement to a programme that has already benefited over 136,000 children since its launch in 2019.
“The Endowment Fund Sarawak reflects our continued commitment to invest in the future of our people, starting from the earliest stage of life.
“With the introduction of a revamped structure and added features, EFS 2.0 ensures a stronger financial foundation for our next generation,” she said.
Each eligible child will receive RM1,000 in savings, distributed across two syariah-compliant accounts: RM550 in an Affin Islamic Term Deposit-i (AITD-i) with an annual profit rate of 3.40 per cent, and RM450 in an AFFIN Emas Account-i offering an indicative average return of 8.98 per cent per annum based on a 10-year track record.
The fund will mature after 18 years.
In addition to the savings package, EFS 2.0 offers a complimentary takaful protection plan, Affin Protect-i, that provides up to RM10,000 coverage for one parent in the event of accidental death or permanent disability during the child’s first year.
“The upgraded structure, supported by Affin Bank, is projected to grow the value of each account to RM2,442.12 upon maturity,” she said.
Applications for the new EFS accounts will continue to be submitted through the Sarawak branch of the National Registration Department (JPN).
Successful applicants will be notified via SMS or email.
While Affin Bank now manages new accounts, Bank Islam Malaysia Bhd (BIMB) will continue to administer EFS accounts for children born between January 1, 2019, and December 31, 2024.
Affin Bank Group President and Chief Executive Officer, Datuk Wan Razly Abdullah, expressed his honour at being entrusted with the initiative, calling it a meaningful investment in financial wellbeing and community resilience.
“This initiative reflects our shared goals to promote responsible finance, digital empowerment and economic resilience.
“With our growing network, including nine branches across Sarawak, we aim to reach more communities and build a lasting culture of savings,” he said.
The collaboration with Affin Bank is aligned with the group’s AFFIN Axelerate 2028 Plan, which emphasises unrivalled customer service, digital leadership, and responsible banking with impact.
Meanwhile, Fatimah encouraged the public to raise awareness of the initiative and ensure no eligible Sarawakian child is left behind.
“This is not just about saving money, it’s about giving every child a fair and dignified start in life,” she said.
