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Govt rolls out additional RM166mil new Sukuk Prihatin issuance

KUALA LUMPUR: Following the overwhelming response, the government has decided to roll an additional RM166 million Sukuk Prihatin new sukuk issuance to support the rebuilding of the country after the Covid-19 pandemic.

Further, proceeds from the new issuance will also be used to enhance connectivity to rural schools, support research on infectious diseases and finance micro-entrepreneurs.

To date, Sukuk Prihatin, a government initiative under the Short-Term Economic Recovery Plan (PENJANA), has been oversubscribed to RM666 million, surpassing the original target of RM500 million.

Finance minister Tengku Dato' Sri Zafrul Aziz in a statement said the government would like to thank the Malaysians who have contributed to the Sukuk Prihatin program, and that the over-subscription prove the spirit of unity and cooperation of Malaysians in facing the current challenging period.

In line with the theme of #MalaysiaPrihatin, the government believes, the spirit of 'equally light to carry, equally heavy to carry' is what will make Malaysia a stronger country, he said.

The Sukuk Prihatin subscription was launched on August 18 and was closed on September 17, 2020.

With the closing of the subscription period, Sukuk Prihatin will issued on 22 September 2020 with a maturity of two years.

It offers a profit rate of 2 per cent per annum which will be tax-exempt and paid every quarter.

Sukuk holders also have the option to donate part or all of the principal amount of the subscription when the investment period matures on September 21, 2022.

This sukuk has been subscribed through JomPAY and DuitNow which is accessed via 27 digital banking platforms in Malaysia.

Maybank is the leading distributor bank for this sukuk.

Zafrul also noted that this online subscription is an achievement to be proud of and made history for the first digital sukuk of its kind in Malaysia.

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