Sustainable AND Responsible
Investment Center

Overview

The world is changing across all fronts, necessitating transformational thinking and attitudes to adapt and then to grow. The same transformation is happening around us in the capital market, with more and more issuers and investors are seeking to make an impact with their investments, by exploring Sustainable and Responsible Investment (SRI).

Today, SRI have transformed from niche products into mainstream capital market offerings, as more discerning investors shift towards climate friendly activities, to minimise their impact on the planet. In fact, the capital market plays a critical role in providing funding to drive SRI.

In realising the world’s sustainable development needs, a significant amount of funding is required. Based on estimates by the United Nations Conference on Trade and Development (UNCTAD), to achieve the global Sustainable Development Goals (SDGs), the world would need total investment of between US$5.0 trillion and US$7.0 trillion (RM17.5 trillion and RM24.5 trillion) per annum until 2030.

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Articles & Tutorials

Possibility For Asset Management to Offer Sukuk Fractional...

Nov 22, 2021

The introduction of robo-advisory and developments in the fintech space have changed the landscape of asset management in Malaysia. What used to be an investment space dominated by unit trusts and wholesale funds has changed as investors now have more options to invest their money without...

The Road to Recovery of the Malaysian Ringgit Bond Market in View...

Nov 10, 2021

The novel coronavirus (COVID-19) has wreaked havoc globally since the beginning of 2020. Malaysia then ended the year 2020 with daily COVID-19 cases of 2,525. Recently, Malaysia has reached its highest peak with daily confirmed cases of over 20,000 in August 2021. The Malaysian Government had...

Malaysian bond market: Shaken and stirred

Nov 01, 2021

MAJOR central banks’ advocation for higher interest rates marked a turning point for bonds as their yields increased. How would this impact Malaysia in the future? Yield rises matter as their impact is not limited to just issuers and investors of bonds.

ISGUD UUM-BIX Dialogue

Oct 20, 2021

This virtual dialogue aims to disseminate current trends and issues of Malaysia’s bond market during pandemic. With prominent speakers in capital market like Mr. Fezrin Azua and Mr. Andrew Leslie. 

Supporting Affordable Housing Through Issuance of Social Sukuk

Oct 20, 2021

The lack of affordable housing in any country is an indicator of weak national growth and development. Affordable housing is an issue in countries, including Hong Kong, Singapore, and Japan. Nonetheless, the Malaysian government has tackled affordable housing for public servants through accessing...

What is Yield in Bond Investment?

Oct 13, 2021

When talking about the state of the bond market, investors often mention the yield of the bond rather than its price. In this article, we will explain what yield means in bond investment and the relationship between yield and bond price. First thing first, let’s understand the definition of...

Securities Commission's Capital Market Masterplan 3 (CMP3)

Sep 21, 2021

The Securities Commission Malaysia (SC) today launched the third Capital Market Masterplan (CMP3), which will serve as a strategic framework for the growth of Malaysia’s capital market over the next five years.

What If We Allowed Retail Investors to Directly Invest in Malaysia...

Aug 24, 2021

Sukuk Prihatin, the Malaysia’s first digital sukuk received an overwhelming response from public investors with the demand hit RM 666 million. The sukuk was first opened for issuance size of RM 500 million and a profit rate of 2% with a maturity period of two years. Investors can directly...

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Announcements

SOLAR MANAGEMENT (SEREMBAN) SDN BHD...

Oct 21, 2021

Pursuant to Clause 16.3.13 and Clause 16.3.15 of Trust Deed dated 21 August 2020, Solar Management (Seremban) Sdn Bhd (''the Issuer'') has provided the following information to Sukuk Holders under Information Covenants of Trust Deed for their record in relation to Islamic medium term notes...

SEGI ASTANA SDN BHD

Oct 15, 2021

MARC has downgraded its rating on Segi Astana Sdn Bhd's RM415.0 million ASEAN Green Medium-Term Notes (MTN) facility to A+ from AA-. The rating outlook is maintained at negative. The rating benefits from a single notch uplift based on the undertaking from parent WCT Holdings Berhad (WCT) (AA...

EDRA SOLAR SDN BHD

Oct 15, 2021

RAM Ratings has reaffirmed the AA2/Stable rating of Edra Solar Sdn Bhd's (Edra Solar or the Company) RM245 mil ASEAN Sustainability SRI Sukuk (the Sukuk). The rating reflects the sound project economics of the Company's 50 MWac solar photovoltaic plant (the Plant) in Kuala Ketil, Kedah. Edra...

KONSORTIUM LEBUHRAYA UTARA-TIMUR (KL) SDN BHD...

Oct 13, 2021

MARC has revised the ratings outlook on Konsortium Lebuhraya Utara-Timur (KL) Sdn Bhd's (Kesturi) RM2.3 billion Sukuk Musharakah (Senior Sukuk) and RM180 million Redeemable Secured Junior Bonds to negative from stable. Concurrently, the rating agency has affirmed its AA-IS and A- ratings on the...

LEADER ENERGY SDN BHD

Oct 08, 2021

MARC has affirmed its AA-IS rating on Leader Energy Sdn Bhd's outstanding ASEAN Green Sustainable and Responsible Investment (SRI) Sukuk Wakalah of RM255.0 million. The rating outlook is stable. Leader Energy is the investment holding company of two solar power project companies with solar power...

PENGURUSAN AIR SELANGOR SDN BHD

Sep 13, 2021

RAM Ratings has reaffirmed the respective long and short-term AAA/Stable and P1 ratings of Pengurusan Air Selangor Sdn Bhd's (Air Selangor or the Company) Islamic Medium-Term Notes Programme of up to RM10 bil in nominal value and Islamic Commercial Papers Programme of up to RM10 bil in nominal...

UITM SOLAR POWER DUA SDN BHD

Sep 09, 2021

MARC has affirmed its AA-IS rating on UiTM Solar Power Dua Sdn Bhd's (UiTM Solar 2) outstanding Green Sustainable and Responsible Investment (SRI) Sukuk of RM100.0 million. The rating outlook is stable. UiTM Solar 2 owns a 25MWac solar photovoltaic plant in Pasir Gudang, Johor, which was...

UITM SOLAR POWER SDN BHD

Aug 26, 2021

MARC has affirmed its AA-IS rating on UiTM Solar Power Sdn Bhd's (UiTM Solar) outstanding Green Sustainable and Responsible Investment (SRI) Sukuk of RM202.3 million. The rating outlook is stable. UiTM Solar owns a 50MWac solar photovoltaic plant in Gambang, Pahang which was developed under a...

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Listings

 
reNIKOLA Solar Sdn Bhd 1366812M

reNIKOLA Solar Sdn Bhd 1366812M

Issuance Date - 11 May 2021

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UiTM Solar Power Dua Sdn Bhd 650095W

UiTM Solar Power Dua Sdn Bhd 650095W

Issuance Date - 5 March 2021

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Cagamas Bhd

Cagamas Bhd

Issuance Date - 26 October 2020

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Solar Management (Seremban) Sdn Bhd 1022517K

Solar Management (Seremban) Sdn Bhd 1022517K

Issuance Date - 21 Oct 2020

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Ihsan Sukuk Berhad 1117716P

Ihsan Sukuk Berhad 1117716P

Issuance Date - 18 Jun 2015

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Tadau Energy Sdn Bhd 1148988K

Tadau Energy Sdn Bhd 1148988K

Issuance Date - 27 Jul 2017

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Quantum Solar Park (Semenanjung) Sdn Bhd 1200950D

Quantum Solar Park (Semenanjung) Sdn Bhd 1200950D

Issuance Date - 6 Oct 2017

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PNB Merdeka Ventures Sdn. Bhd 517991A

PNB Merdeka Ventures Sdn. Bhd 517991A

Issuance Date - 29 Dec 2017

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Segi Astana Sdn Bhd 916663H

Segi Astana Sdn Bhd 916663H

Issuance Date - 8 Jan 2018

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Sinar Kamiri Sdn Bhd  851378X

Sinar Kamiri Sdn Bhd 851378X

Issuance Date - 30 Jan 2018

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UiTM Solar Power Sdn Bhd  1211613P

UiTM Solar Power Sdn Bhd 1211613P

Issuance Date - 27 Apr 2018

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HSBC Amanah Malaysia Berhad 807705X

HSBC Amanah Malaysia Berhad 807705X

Issuance Date - 2 Oct 2018

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Pasukhas Green Assets Sdn Bhd 1293491H

Pasukhas Green Assets Sdn Bhd 1293491H

Issuance Date - 28 Feb 2019

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Telekosang Hydro One Sdn Bhd 1242773K

Telekosang Hydro One Sdn Bhd 1242773K

Issuance Date - 6 Aug 2019

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Cypark Ref Sdn Berhad 1287000T

Cypark Ref Sdn Berhad 1287000T

Issuance Date - 11 Oct 2019

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Edra Solar Sdn Berhad 1057995U

Edra Solar Sdn Berhad 1057995U

Issuance Date - 11 Oct 2019

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Leader Energy Sdn Bhd 1234122X

Leader Energy Sdn Bhd 1234122X

Issuance Date - 16 July 2020

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Resources – Publications, Guidelines and Framework

Report Name Date
Guidelines On Unlisted Capital Market Products Under The Lodge And Launch Framework November 2020 Download
Guidelines On Issuance Of Corporate Bonds And Sukuk To Retail Investors November 2019 Download
Sustainable And Responsible Investment Sukuk Framework (An Overview) November 2019 Download
ASEAN Green Bond Standards 2018 October 2018 Download
ASEAN Social Bond Standards 2018 October 2018 Download
ASEAN Sustainability Bond Standards 2018 October 2018 Download

Available Incentives for SRI issuances in Malaysia

Several incentives are provided to encourage the issuances of SRI sukuk in the market. These include the income tax deduction on the issuance costs of SRI sukuk which was first provided from the year of assessment (YA) 2016 to YA 2020, and has now been extended for three years from YA 2021 to YA 2023.

 

A Green SRI Sukuk Grant Scheme was also established to incentivise issuers by offsetting up to 90% of external review costs incurred in the issuance of green SRI sukuk. For more information on the application for the Green SRI Sukuk Grant Scheme, please refer to here

 

Additional Resources

For Issuance Of Corporate Bonds And Sukuk To Retail Investors

For Issuance Of Corporate Bonds And Sukuk To Retail Investors

For Issuance Of Corporate Bonds And Sukuk To Wholesale Investors

For Issuance Of Corporate Bonds And Sukuk To Wholesale Investors

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