RAM Ratings Reaffirms AAA/Stable/P1 Ratings of Tenaga Nasional’s Sukuk Programmes 

The AAA/Stable/P1 ratings of Tenaga Nasional (TNB)’s Sukuk programmes have been reaffirmed by RAM Ratings (RAM). The instruments and corresponding ratings are as follows: (i) MYR 5 billion Islamic MTN Programme (2017/2067): AAA/Stable, (ii) MYR 10 billion Islamic MTN Programme (2020/2070): AAA/Stable and (iii) MYR 2 billion Islamic CP Programme (2021/2028): P1.

Rating Rationale

The ratings are underpinned by TNB’s strategic position as Malaysia’s national electricity company and its resilient operating and financial performance. There is a high likelihood of TNB receiving extraordinary government support in case of financial distress, according to RAM’s rating methodology for government-linked entities. This is compounded by T...