THE government is set to introduce a new dimension to its sukuk issuance through the ‘wakalah bil-khadamat’ structure, as part of Malaysia’s ongoing efforts to bolster the investment ecosystem in the country.
“We plan to finalise this sukuk by 2025 as we work to complete all required arrangements and preparations,” Prime Minister Datuk Seri Anwar Ibrahim said in his keynote address at the Global Forum on Islamic Economics and Finance (GFIEF) in Kuala Lumpur, today.
Anwar, who is also the finance minister, said the government would continue innovating sukuk structures, particularly to align with climate and energy transition goals, while emphasising sustainability.
“We will build on past innovations such as SRI (socially responsible investing) sukuk ihsan structures and connections to waqf,” he said.
Anwar also said that the Retirement Fund (KWAP) will invest up to RM3 billion in shariah-compliant investments through Dana Pemacu.
This investment, he said, will support high-growth domestic Malaysian companies and stimulate the venture investment ecosystem.
He also announced that the Securities Commission Malaysia (SC) will establish Malaysia’s first Social Exchange, a structured approach for the participation of private capital in projects with positive social outcomes.
“This will benefit entities such as NGOs, social enterprises and state Islamic religious councils,” he said.
Also present were Finance Minister II Datuk Seri Amir Hamzah Azizan, Bank Negara Malaysia (BNM) governor Datuk Abdul Rasheed Ghaffour, Securities Commission Malaysia executive chairman Datuk Seri Awang Adek Hussin and Malaysia International Islamic Financial Centre (MIFC) chairman Tan Sri Azman Mokhtar.
Anwar also said Malaysia will spearhead the development of a global programme for Islamic economists in collaboration with its implementation partners.
“The programme aims to cultivate a cadre of dynamic and highly skilled economists equipped with the right knowledge and expertise in Islamic economics to ideate solutions that address contemporary global challenges.
“It is a multi-track programme offering executive education, applied research and working internship for participants to gain professional experience,” he said.
This two-day event is organised by Bank Negara Malaysia in collaboration with the Securities Commission Malaysia, Labuan Financial Services Authority, the International Islamic Liquidity Management Corporation, the Islamic Development Bank, the Islamic Financial Services Board, and the World Bank Group. – May 28, 2024
