Sabah Development’s Proposed IMTN Programme Receives AAA/Stable Final Rating from RAM

Sabah Development (SD) has received a final rating of AAA/Stable on its proposed Islamic Medium-Term Notes (IMTN) Programme of up to MYR 10 billion, from RAM Ratings (RAM). According to RAM, a review of the relevant final transaction documents is in line with RAM’s expectations at the time of assigning its preliminary rating, which was published on the 16th of November 2020.

Ratings Rationale

SD, which was set up in 2015, is a direct, wholly-owned entity of the Government of the State of Sabah (the Government). The rating is driven by SD’s important and strategic role to the Government, with the expectation of extraordinary support from the State as needed. SD is as a proxy funding vehicle for the Government , serving as a lender or investor...