Malaysia's SME Bank Obtains MYR 536 Million Through Sustainability Sukuk Issuance

Malaysia's SME Bank Obtains MYR 536 Million Through Sustainability Sukuk Issuance

https://islamicmarkets.com/articles/malaysia-s-sme-bank-obtains-myr-536-million-through-sustainability-sukuk
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Small Medium Enterprise Development Bank Malaysia Berhad (SME Bank) has secured MYR 536 million (USD 120.33 million) from its most recent sustainability Sukuk issuance, surpassing its MYR 300 million (USD 67.35 million) planned target, as per a statement on the 25th of July 2022.

Why it Matters?

Despite difficult market conditions and profit rate hikes, the Sukuk was priced at a competitive profit rate of 4.04% and saw strong demand from local financial institutions, fund managers, insurance companies, and government-affiliated investment firms. Only projects relating to environmental, social, and governance (ESG) would be funded with the proceeds from the issuance.

Details

SME Bank is currently in the second year of im...