RAM Ratings launches Malaysia states data scan

CEO of RAM Ratings, Foo Su Yin said the data scan was part of its efforts to provide better understanding of state fundamentals by market participants.

KUALA LUMPUR: RAM Ratings has launched the Malaysia States Data Scan to provide information on the various states' fundamentals following growing interest in fund raising for state-related projects.

The ratings agency said on Friday the move was to meet market demand for financial and macroeconomic information on Malaysian states.

The CEO of RAM Ratings, Foo Su Yin said the data scan was part of its efforts to provide better understanding of state fundamentals by market participants.

This move could eventually spur avenues for funding in the bond and sukuk market, she said.

As Malaysia’s leading credit rating agency, RAM pioneered the domestic rating of states and sovereigns on the Malaysian national scale. 

Bond and sukuk issues by both Sabah and Sarawak allowed these AAA-rated states to raise long-term funding for development projects at competitive rates in the bond market. 

“In line with our thought leadership and market development initiatives since 1990, RAM’s latest innovation is a response to the growing interest in fund raising for state-related projects,” Foo said. 

RAM Ratings said this compilation is ideal for investors, risk officers, credit analysts, debt arrangers and other stakeholders with an interest in the financial health of states, their growth and economic structure. 

The publication provides comparative charts on size, growth, household income, approved investments, debt, revenue and selected ratios on liquidity, fiscal management and debt burden.   

The latest five years’ (2011-2015) audited financial statements of each state are presented along with a table of ratios covering aspects of financial performance, liquidity and indebtedness. 

Foo said the audited financial data is also provided in Excel format to cater to specific analytical needs.