Corporate bonds account for RM714b of outstanding amount, SC says – The Star Online




KUALA LUMPUR: Malaysia’s bond market is a key source of fund raising for corporates, with corporate bonds constituting RM714bil of the outstanding amount as at Sept 30, 2020.

Securities Commission Malaysia (SC) executive chairman Datuk Syed Zaid Albar said corporate bond issuers have raised about RM63bil during the same period.

“As highlighted by the World Bank’s report, the bond market has successfully funded the nation’s infrastructure development, which includes our highways, airports and other key utilities,” he said in his opening remarks at the launch of the World Bank report titled ‘Malaysia’s Domestic Bond Market: A Success Story’ here, today.

The event was held virtually in conjunction with the four-day online Sustainable and Inclusive Finance Forum co-organised by Bank Negara Malaysia and World Bank Group, which ended on Friday.

From an investment perspective, Syed Zaid said ringgit bonds are a proven asset class.

“Given the country’s strong macroeconomic fundamentals and with more than 90 per cent of rated issues ‘triple-A’ and ‘double-A’, it is attractive for our deep and well-diversified institutional investor base,” he said.

Presently, besides domestic corporations, he said the SC had also seen foreign
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