business

Securities Commission expects capital mart to raise RM80 billion this year

March 10, 2016

SC chairman Datuk Seri Ranjit Ajit Singh has estimated RM75 billion will be raised through bonds and RM5 billion from IPOs. – SC pic, March 10, 2016.The Securities Commission Malaysia (SC) expects the country's capital market to raise RM80 billion this year compared to RM90 billion in 2015.

Chairman Datuk Seri Ranjit Ajit Singh said an estimated RM75 billion would come from bonds and RM5 billion from initial public offerings (IPOs).

"Although this year's projection is lower compared to that of 2015, the main thing is that the Malaysian capital market saw a consistent capital-raising activities despite the external volatility," he told reporters after unveiling 2015 SC annual report in Kuala Lumpur today.

In 2015, bonds contributed RM86 billion to the capital market while another RM4 billion was raised via IPOs, bringing the total funds raised in the primary market to RM90 billion.

"An additional of RM17 billion was raised through the second equity market and we expect this trend to continue (this year)," he said, adding the SC would continue to find ways to help businesses access the market.

Ranjit said the Malaysian capital market's ability to remain resilient and maintain the public trust and investor confidence in a challenging global climate attested to the continuous efforts that have been put into strengthening its regulatory and institutional foundations.

He said the size of Islamic capital market grew by 6.7% in 2015 to RM1.7 trillion against RM1.59 trillion in 2014.

"Malaysia continues to be the global leader in the sukuk market with 54.3% share of global sukuk outstanding as at end-2015."

Ranjit said since its establishment three years ago, the Private Retirement Scheme has achieved a significant milestone with its net assets value now at RM1.2 billion and 180,651 members. – Bernama, March 10, 2016.