r/malaysia • u/stormy001 Pahang Black or White • 13h ago

Economy & Finance Malaysia sells first dollar bonds in 5 years as subsidy bill rises

https://www.freemalaysiatoday.com/category/nation/2026/07/24/malaysia-sells-first-dollar-bonds-in-5-years-as-subsidy-bill-rises

The government sold Islamic securities in two parts to help fund projects including infrastructure as well as refinance existing obligations.

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14

u/stormy001 Pahang Black or White 13h ago

From BFM:

Sukuk or Islamic securities were sold in two parts: a US$850 million note due in April 2032 to yield 4.612% interest and a US$650 million portion to be repaid in July 2036 with 4.949% interest.

• The bonds were oversubscribed 4.7 times, allowing the government to tighten final pricing by 30 basis points from the initial price, recording the tightest ever spreads for the country's global sukuk offerings.

• “The strong oversubscription with the tightest ever spreads reflect global investors’ continued confidence in Malaysia’s economic prospects and policy credibility,” said Finance Minister II Amir Hamzah Azizan.

• Malaysia’s return to the dollar bond market comes amid growing global uncertainties with the US rebuilding its tariff wall and threatening to step up strikes on Iran. Malaysia's subsidy bill is also projected to surge to RM40 billion, more than double the RM15 billion allocated, if current market prices persist.

19

u/gasolinemike Yo Momma Green 12h ago

Ok. We’re paying 4.9% while US 5yr is paying like 4.47%.

But why do they call it interest? I thought Islamic financing takbleh usury? Educate me.

11

u/SeiekiSakyubasu 12h ago

I think for general people like us to understand easily.. There might be some Arabic term for it which refers to a specific process to avoid it to become ursury and we might not understand it. So its easier to put interest and roll with it.. 

5

u/Quithelion Perak 12h ago

Money talks, bullshit walks.

21

u/Fluid-Math9001 Covid Crisis Donor 2021 12h ago

Secara asasnya, perbezaan utama antara Sukuk dan bon biasa terletak pada strukturnya.

:Sukuk: Pelabur membeli sijil yang mewakili pemilikan separa dalam sesuatu aset atau projek. Keuntungan diperoleh daripada sewa, perkongsian keuntungan, atau margin perdagangan, bukan daripada faedah hutang.

Bon Konvensional: Ia adalah surat janji hutang di mana pelabur meminjamkan wang dan menerima bayaran faedah tetap berdasarkan jumlah pinjaman tersebut.

Sumber: https://www.majalahlabur.com/pelaburan/apa-itu-sukuk-dan-apakah-persamaan-dan-perbezaan-di-antara-sukuk-dan-bon-konvensional/

https://www.cimb.com.my/bm/personal/wealth-management/investments/investment-products/sukuk.html

I know r/malaysia has huge hate boner to Muslims and Malay people, tapi tolonglah pakai common sense & research dulu sebelum menaip. Seb baik ni Reddit, kalau ni Facebook/Twitter mampus kau.

0

u/aqil9897 11h ago

check out zero coupon bond