Capital Market Masterplan timely roadmap to create more vibrant market


KUALA LUMPUR: The Capital Market Masterplan (CMP) 2026-2030, which was launched on Monday, is a positive and timely roadmap aimed at deepening Malaysia’s capital market while expanding its size significantly over the long term, an economist said.

IPPFA Sdn Bhd director and country economist Mohd Sedek Jantan said it is strategically important to focus on diversifying funding sources, developing alternative assets and strengthening sustainable finance.

"These initiatives could help attract more capital into the domestic market, improving liquidity and creating a more vibrant capital market ecosystem. 

"In addition, the stronger focus on private credit could provide an alternative funding channel that supports local businesses, particularly small and medium enterprises (SMEs) that may face constraints in accessing traditional bank financing," he told Bernama.

He said the CMP also would help to position Malaysia as a regional investment hub by leveraging initiatives such as the Johor-Singapore Special Economic Zone (JS-SEZ) to attract global asset managers and strengthen cross-border investment flows. 

"Malaysia’s strong foundation in Islamic finance should also be enhanced through more sophisticated products to compete globally and attract both Ultra-High-Net-Worth (UHNW) and international investors. 

"At the same time, reducing entry barriers for new capital market players, particularly local firms, would help deepen the ecosystem and improve market competitiveness," he said.

Mohd Sedek said the masterplan can also improve initial public offering (IPO) pathways, making Malaysia a more efficient market for companies seeking to go public.

He said the CMP would encourage asset managers to develop new investment strategies focused on local markets and SMEs, helping channel institutional capital into domestic growth sectors.

CMP is a whole-of-nation effort aligned with national growth priorities, including the MADANI Economy framework, the 13th Malaysia Plan, the New Industrial Master Plan 2030 and the National Energy Transition Roadmap.

On Monday, Prime Minister Datuk Seri Anwar Ibrahim said the master plan aimed to achieve four things namely, strengthen capital raising, reward business dynamism, embed sustainability as a driver of value, and broaden meaningful participation across the economy.

Over the course of five years, the capital market is expected to expand by RM1.5 trillion to RM2 trillion, lifting its size to RM5.8 trillion-RM6.3 trillion under CMP 2026-2030. - Bernama 

 

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