Malaysia is currently in the midst of significant political change, and the country’s borrowers seem optimistic about the renewed urgency around fiscal reform. We speak with Andy Leong Chain Hong, CFO of SkyWorld Development Group, a leading property developer in Malaysia, about the direction of the economy following the country’s landmark elections, and discuss the company’s pioneering Musharakah sukuk.
With demand for sukuk rising steadily in recent years, Bonds & Loans speaks with Dato’ Mohamed Rafique Merican, Group Head and Islamic Banking CEO at Maybank Islamic Berhad, about the risks and opportunities in the market, green sukuk, and the growing involvement of Asian investors in MENA debt markets.
Indonesia navigated a challenging and volatile market to place a USD3bn dual-tranche green sukuk, which will go towards supporting the country’s efforts to combat climate change.
Notwithstanding the impending FOMC meeting and other headwinds, India’s YES Bank powered ahead with the largest debut issuance by an Indian FI that also became first to be listed on the recently established INX.
Brown Brothers Harriman: produced the following ratings model to assess relative sovereign risk in Frontier Markets. A country’s score directly reflects its creditworthiness and underlying ability to service its external debt obligations.
Almost 20 years ago, global fixed income investors scarcely heard of the word ‘sukuk’, let alone understood the asset’s unique structural features or benefits. Much has changed since, with the global sukuk issuance topping USD74.8bn at the end of 2016. But with the asset class’ impressive growth being hamstrung by liquidity shortages and a lack of global standards, the development and proliferation of those standards – and a protracted effort on behalf of market makers to harmonise those standards – is needed to help take the market to the next level.
Vietnam has become one of the most stable and high-performing economies in Asia over the past decade, providing a cheaper alternative for global production and manufacturing giants to the resurgent China. As the country looks to develop and further open its capital markets, unsustainable credit growth and the burden of funding the Party machine could bring a dark twist to this tale of prosperity.
YES Bank opened a gateway into the Japanese market with a dual-currency syndication that attracted an unusually high number of Taiwanese lenders.
Unperturbed by global economic woes, geopolitical tensions and the rise of populism in the West, China is committing itself to the largest infrastructure development project since the Great Wall. But the costs of the grand project are expected to run into hundreds of billions of dollars and, with the Chinese banking sector already over-leveraged, questions arise over its ability to finance projects and the funding alternatives available to it.
- Will the PBOC Reforms Cause More Harm than Good?
- CEFC Takes Stake in Rosneft as Russia and China Edge Closer
- As LatAm Boosts China Links, Panda Bond Market Opens New Doors
- Have BRICS Been Overshadowed by the Rest of the EM Pack?
- Emerging Market Credit Daily Roundup: 7 September, 2017
15 Jun 2018