Siti Hapija Binti Basir - Ba2424a - Fin546 Individual Assignment

MBSB BANKS INKS AGREEMENT
WITH MAYBANK IB FOR RM5B

SUSTAINABILITY SUKUK WAKALAH
PROGRAMME
NAME: SITI HAPIJA BINTI BASIR
STUDENT'S ID: 2020495356
A sukuk is an Islamic financial certificate, GROUP: BA2424A
similar to a bond in Western finance, that
complies with Islamic religious law
commonly known as Sharia.
MBSB Bank has signed an agreement with Maybank Investment Bank Bhd
for the establishment of a RM5 billion Sustainability Sukuk Wakalah
Programme. Proceeds raised from the programme shall be used to finance
or refinance, in part or in whole, future or existing eligible syariah-compliant
financing, including for the construction or development of eligible projects.
Maybank IB's Fad'l thanked MBSB Bank for giving the group an opportunity
to play a lead role in the inaugural Sustainability Sukuk Programme. The
bank said the programme will create a multiplier effect when it supports its
SUMMARIZE OF ARTICLE
customers who are involved in eligible green and/or social projects.
Maybank IB is the sole principal adviser, lead arranger, lead manager and
sustainability structuring adviser..
CRITIQUE
MBSB Bank Bhd has signed an agreement with Maybank

Investment Bank Bhd (Maybank IB) for the establishment of the
Sukuk Wakalah Kelestarian Program worth RM5 billion, which is
the key idea and what the author wishes to express.
Important and interesting things: Malaysian Rating Corp Bhd has assigned an initial A+IS
rating to the wakalah sukuk scheme, which will run
indefinitely.
The proceeds from this programme will be utilised to fund
or refinance qualified future or existing shariah-compliant
financing, including building and development projects, in
part or in whole.
The bank's Sustainability Sukuk programme allows it to expand its
sustainable generation
assets, such as lending in green initiatives, affordable housing, public health, education, small
and medium business finance, and underprivileged segments.
Investors can diversify their portfolios through the wakalah sukuk scheme
The intention of the author:
The author intends to disclose to the public Islamic banking information as well as
Maps through
attract the attention of the public to join the programme organised under Islamic
banking.
The author intends to disclose to the public Islamic banking information as well as
the Ages
attract the attention of the public to join the programme organised under Islamic
banking. I agree with the author who gave exposure to Islamic banking to the
public. This can attract people to join in Islamic banking as well as make Islamic
banking a bank that is not only open to Muslims but also open to various religions
The rate of penetration into the Muslim consumer market can be increased.
The majority of deposits at Islamic banks are still made by non-Muslims, which
is understandable given that Muslims in Malaysia have other primary (non-
banking) channels to store or park their money. The existence of these outlets
has provided Muslims in Malaysia with numerous viable options.
The necessity to improve service delivery stems from the need to adhere to
Shariah regulations throughout implementation. As a result, greater work on
balancing the delivery of seamless service while adhering to Shariah criteria is
required.
The rise and mainstreaming of Islamic finance were aided by public policy and political will. Malaysia
provided legislation, rules, fiscal advantages, infrastructure, and other overt demand stimuli as part of the
Malaysian Islamic Financial Center (MIFC) project to create a suitable climate for the incubation and
subsequent rapid growth of Islamic banking.
https://www.theedgemarkets.com/article/mbsb-bank-inks-agreement-
maybank-ib-rm5b-sustainability-sukuk-wakalah-programme
https://asianbankingandfinance.net/islamic-banking/exclusive/what-
can-be-done-improve-islamic-banking-penetration-rates-in-asia
https://www.bnm.gov.my/islamic-banking-
takaful#:~:text=Islamic%20banking%20refers%20to%20a,underlying%20
business%20activity%20or%20asset.
In conclusion, MBSB Bank Bhd has signed an agreement with Maybank

IB for the establishment of the RM5 billion Sustainability Wakalah
Sukuk Program. Proceeds from this program will be used to fund or
refinance eligible shariah -compliant projects. Fad'l Maybank IB
thanked MBSB Bank for giving the group the opportunity to play a key
role in the inaugural Sustainability Sukuk Program. Maybank IB is the
sole lead advisor, lead arranger, lead manager and sustainability
structuring advisor.

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MBSB BANKS INKS AGREEMENT

WITH MAYBANK IB FOR RM5B

MBSB Bank Bhd has signed an agreement with Maybank

In conclusion, MBSB Bank Bhd has signed an agreement with Maybank

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