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Maybank Boosts Capital Reserves With RM4.8 Billion Sukuk Issuance

The banking group has strengthened its Tier 2 capital position following the successful completion of a significant Sukuk Murabahah issuance.

Malayan Banking Bhd (Maybank) has officially completed the issuance of RM4.8 billion in aggregate nominal value of Subordinated Sukuk Murabahah. This financial exercise, which concluded on 11 August 2026, serves to bolster the banking group’s Tier 2 capital base.

The issuance was conducted under the bank’s existing Sukuk Programme. As part of the broader financial restructuring associated with this move, Maybank confirmed that the programme has been upsized from its previous limit of RM10 billion to a new nominal value of RM30 billion.

According to the original publisher, these developments represent a strategic expansion of the banking group's funding framework. The capital raised through this issuance is designated to reinforce the financial strength of the institution, ensuring it remains well-positioned to meet its ongoing regulatory capital requirements.

The expansion of the Sukuk Programme provides Maybank with greater flexibility for its future capital management activities. By increasing the ceiling of the programme, the bank secures a larger capacity to issue instruments that support its long-term financial stability and growth objectives within the Malaysian banking sector.

For the Malaysian financial landscape, this move highlights the continued reliance on Sukuk instruments as a primary method for domestic banking institutions to maintain robust capital buffers. As Maybank continues to navigate the evolving economic environment, these capital-strengthening measures remain essential for supporting its core business operations and maintaining market confidence.

Source

Originally reported by Businesstoday. Read the original report →

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