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Friday September 27, 2013 MYT 6:48:00 PM
Friday September 27, 2013 MYT 6:51:11 PM
KUALA LUMPUR: RAM Ratings has assigned a gA2(s) global rating to Export-Import Bank of Malaysia’s US$1bil multi-currency Sukuk programme.
Below is the statement issued by RAM Rating Services Bhd on Friday:
RAM Ratings has assigned a long-term gA2(s)/stable/- global-scale rating to EXIM Sukuk Malaysia Bhd’s (EXIM Sukuk) US$1bil multi-currency Sukuk Programme.
EXIM Sukuk is a trust-owned funding conduit set up by the Export-Import Bank of Malaysia Bhd (MEXIM or the Bank).
The rating assigned to the securities issued under the Programme reflects the investors’ recourse to MEXIM, recognised through a purchase undertaking between the Bank and EXIM Sukuk.
MEXIM’s payment obligations under the purchase undertaking rank at least on par with its other unsecured, unsubordinated and general obligations.
“EXIM Sukuk’s Multi-currency Sukuk Programme has the distinction of having been assigned RAM’s first global-scale issue rating,” observes Foo Su Yin, RAM Ratings’ CEO.
“The rating is a reflection of MEXIM’s credit profile and is premised on the bank’s strategic and important developmental mandate, as well as the proven solid support from the Malaysian Government, which is also the bank’s shareholder,” she adds.
RAM has also reaffirmed MEXIM’s global-scale, ASEAN-scale and national-scale financial institution ratings at gA2/stable/gP1, seaAAA/stable/seaP1 and AAA/stable/P1, respectively.
MEXIM is a development financial institution that has been mandated by the Government of Malaysia to promote the country’s external trade and facilitate the diversification of its export markets.
Underscored by its developmental mandate and government ownership, the bank has benefited from government support through a sizeable recapitalisation exercise (in 2008), loans at preferential rates and compensation for impaired-loan facilities.
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