Malaysia Issues $1.5B Global Sukuk with Record $9.5B Demand
Key Facts
Malaysia issued a $1.5 billion Global Sukuk which attracted subscription demand exceeding $9.5 billion. Bernama reported that the issuance was oversubscribed 4.7 times, allowing the government to achieve the lowest spread in its Global Sukuk history.
The massive investor appetite resulted in a 30 basis point reduction from initial price guidance for both tranches. According to the Ministry of Finance, the 5.75-year tranche was priced at 15 bps above US Treasuries, while the 10-year tranche was priced at 25 bps above, reflecting international confidence in Malaysia's fiscal discipline and structural reforms.
The upcoming interest rate decision in Malaysia is scheduled for November 5, 2026, with market forecasts expecting the rate to remain steady at 2.75%.