Govt mulls setting up grant to encourage issuance of SRI sukuk


KUALA LUMPUR, 13 Jun -- Menteri Kewangan Kedua Datuk Seri Johari Abdul Ghani melawat ruang aktiviti para pelajar sekolah selepas merasmikan Sukuk Pelaburan Mampan dan Bertanggungjawab terbitan Khazanah Nasional di Sekolah Kebangsaan Desa Pandan hari ini. Turut hadir Pengarah Urusan Khazanah Nasional Berhad Tan Sri Azman Mokhtar (dua,kanan) dan Pengerusi Yayasan AMIR Tan Sri Raja Arshad Raja Tun Uda (tiga,kanan). --fotoBERNAMA (2017) HAK CIPTA TERPELIHARA

KUALA LUMPUR: The Government is proposing to conduct a study to consider the establishment of a grant or special provision to cover extra costs faced by issuers of the sustainable and responsible investment (SRI) sukuk.

Second Finance Minister Datuk Seri Johari Abdul Ghani said this would be part of the Government’s efforts to strengthen Malaysia’s position as the centre for Islamic finance.

“I propose that a study be undertaken to consider the establishment of a grant or special allocation to cover the additional cost faced by SRI sukuk issuers, compared with the normal sukuk issuance cost,” he told reporters after launching the second tranche of Khazanah Nasional Bhd’s SRI sukuk in Kuala Lumpur on Tuesday.

Johari hoped that with such incentives, more SRI sukuk would be issued in Malaysia, subsequently adding a new chapter in the country’s capital market.

“This is a good initiative by Khazanah as it allows individuals to kill two birds with one stone - doing their corporate social responsibility and generating good human capital for the country in the long run,” he added.

The second tranche of RM100mil which followed the inaugural RM100mil SRI sukuk issued in 2015, would fund the rollout of Yayasan Amir’s Trust Schools Programme to at least 20 schools and include a retail portion to provide individuals the opportunity to participate in supporting the further implementation of the programme.

Yayasan Amir is a non-profit foundation incorporated by Khazanah to improve accessibility of quality education in local public schools through a public-private partnership with the Education Ministry.

As of end-2016, the Trust Schools Programme had been rolled out to 83 schools across 10 states, creating better outcomes for over 65,000 young Malaysians.

Meanwhile, Khazanah managing director Tan Sri Azman Mokhtar said this SRI sukuk, part of a bigger RM1bil programme that was approved by the Securities Commission, would be launched in tranches progressively as needed.

He was confident that the second tranche would achieve full subscription, similar to the first, especially with its expansion into the retail portion whereby individuals could participate from as low as RM10. - Bernama

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