Monthly Fixed Income Report: February 2026

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BIX MALAYSIA

MONTHLY FIXED INCOME REPORT: FEBRUARY 2026

Ringgit Bond and Sukuk Market Surges to RM2.294 trillion Outstanding

The Malaysian ringgit bond and sukuk market demonstrated robust resilience in February 2026, ascending to a record high of RM2.294 trillion in total outstanding issuances. The market expanded by a solid 1.01% month-on-month (MoM), adding RM23 billion and building decisively on the RM2.271 trillion recorded in January 2026. This sustained upward trajectory underscores the market's capacity for steady growth, bringing the year-to-date (YTD) increase to a healthy 1.68% from the RM2.256 trillion registered at the close of 2025.

Government outstanding continued to serve as the bedrock of the market, commanding a dominant 57.90% share of the total structure. The corporate segment reinforced this foundation with a significant 24.66% stake, while quasi-government entities contributed a notable 17.44%. This diversified and resilient composition highlights unwavering investor confidence in Malaysia’s fixed-income landscape, demonstrating the market's ability to attract consistent capital and maintain stability even as broader economic conditions continue to evolve.
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Jan26 - Outstanding Amount by Class in December 25 vs January 26

February 2026 marked a dynamic shift in the Malaysian bond and sukuk market, defined by a robust surge in new issuances that accompanied the sector's overall expansion. Total monthly issuances climbed by an impressive 17.92% month-on-month (MoM), rising to RM25.14 billion from RM21.32 billion in January. This sharp uptick was driven almost entirely by a dramatic acceleration in corporate fundraising, which skyrocketed by 121.23% MoM to reach RM24.38 billion, a significant leap from the RM11.02 billion raised in the prior month.

In stark contrast to the corporate segment's momentum, government-related issuances saw a substantial pullback. Issuances from Bank Negara Malaysia (BNM) contracted by 13.33% MoM, settling at RM0.26 billion. More notably, Government of Malaysia (GoM) issuances experienced a steep decline of 95.00%, plummeting to just RM0.5 billion in February compared to RM10.00 billion the month before. This divergence highlights a shifting landscape where corporate entities stepped forward to fill the void left by a quieter government sector.

Malaysian Government Securities (MGS) saw yields exhibit mixed movements across the curve where short-term rates edged upward, with the 3-year yield firming by 3 basis points (bps) to settle at 3.03%. Conversely, long-term yields softened, as the benchmark 10-year paper recorded a marginal decline of 2 bps to close at 3.48%. A similar trend was observed in the Government Investment Issue (GII) segment, where yields posted slight declines across the board where the 3-year GII yield eased by 1 bp to 3.10%, while the 10-year GII yield slipped 3 bps to finish the month at 3.50%.

Activity within the corporate bond segment mirrored this nuanced performance, with yields fluctuating based on tenure. The 3-year AAA-rated corporate bond yield has gone down by 2 bps to 3.56% from 3.58% in previous month. In contrast, 10-year AAA-rated corporate bond yield ticked up by 1 bps to 3.84%, a slight adjustment from the 3.83% recorded in January 2026.

END OF REPORT
2nd March 2026

- This announcement is available at BIX Malaysia website (www.bixmalaysia.com) –

DISCLAIMER

The information provided in this report is of a general nature and has been prepared for information purposes only. It is not intended to constitute research or as advice for any investor. The information in this report is not and should not be construed or considered as an offer, recommendation, or solicitation for investments. Investors are advised to make their own independent evaluation of the information contained in this report, consider their own individual investment objectives, financial situation and particular needs, and should seek appropriate personalised financial advice from a qualified professional to suit individual circumstances and risk profile.

The information contained in this report is prepared from data believed to be correct and reliable at the time of issuance of this report. While every effort is made to ensure the information is up-to-date and correct, Bond and Sukuk Information Platform Sdn Bhd (“the Company”) does not make any guarantee, representation or warranty, express or implied, as to the adequacy, accuracy, completeness, reliability or fairness of any such information contained in this report and accordingly, neither the Company nor any of its affiliates nor its related persons shall not be liable in any manner whatsoever for any consequences (including but not limited to any direct, indirect or consequential losses, loss of profits and damages) of any reliance thereon or usage thereof.

BIX ARTICLE

Monthly Fixed Income Report: February 2026

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