Malaysia draws US$9.5b in orders for US$1.5b sukuk, cuts borrowing costs
MALAYSIA secured more than US$9.5 billion in investor orders for its US$1.5 billion (RM6.13 billion) global sukuk issuance in July, enabling the government to cut borrowing spreads by 30 basis points for both tranches and achieve record-low pricing. ...
Malaysia successfully raised US$9.5 billion in orders for its US$1.5 billion global sukuk issuance in July, marking its first return to the international sovereign sukuk market in five years. The issuance was oversubscribed 4.7 times, indicating strong investor demand for Malaysia's sovereign debt. The government secured two tranches: a 5.75-year sukuk priced at 15 basis points above the US Treasury yield with a 4.612% annual profit rate, and a 10-year sukuk priced at 25 basis points above the US Treasury yield with a 4.949% annual profit rate.
The issuance helped Malaysia cut borrowing spreads by 30 basis points and achieve record-low pricing for the country's debt. The transaction also reinforced Malaysia's position in the global Islamic capital market, demonstrating its ability to secure long-term international funding at competitive costs amid global market uncertainty.
Brief written by urgent.news from The Vibes's own syndicated text. Machine-written — may contain errors; check the original before relying on it.