13 Aug 2025
Cagamas Issues Malaysia's First ASEAN Social SRI Sukuk Variable Rate Notes
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Kuala Lumpur, 13 August 2025 – Cagamas Berhad ("Cagamas" or "the Company"), the National Mortgage Corporation of Malaysia, has successfully issued its inaugural RM200 million ASEAN Social Sustainable and Responsible Investment ("SRI") Sukuk Variable Rate Notes ("VRNs"). This landmark issuance marks a significant milestone in the development of Malaysia's sustainable finance landscape, as well as the integration of Islamic finance with innovative capital market solutions.
The ASEAN Social SRI Sukuk VRNs were issued under the Company's Sustainability Bond and Sukuk Framework. The proceeds are exclusively allocated to fund the purchase of affordable home financing that qualifies as eligible sustainability assets, supporting Malaysia's social agenda of promoting inclusive and accessible home ownership. The instrument offers a compelling alternative funding solution that aligns with Cagamas' sustainability objectives, while expanding its pool of sustainable liquidity sources to meet the evolving needs of the financial industry.
Kameel Abdul Halim, President/Chief Executive Officer of Cagamas said, "The successful launch of our inaugural ASEAN Social SRI Sukuk VRNs reflects our strong commitment to advancing financial innovation, Islamic finance, and sustainable capital markets. By integrating Islamic finance principles with social impact through variable-rate structuring, we offer investors a distinctive instrument that combines meaningful purpose with strong performance."
The issuance further reinforces Cagamas' position as a pioneer in sustainable finance. As of end July 2025, the Company has successfully raised RM1.5 billion in sustainability-related instruments, supporting initiatives that foster social equity and responsible development—fully aligned with Malaysia's national sustainability agenda.
As part of its forward-looking strategy, Cagamas remains dedicated to strengthening the secondary mortgage market and advancing capital market development to ensure adequate and consistent provision of liquidity for primary home financing institutions.
The ASEAN Social SRI Sukuk VRNs were issued under the Company's Sustainability Bond and Sukuk Framework. The proceeds are exclusively allocated to fund the purchase of affordable home financing that qualifies as eligible sustainability assets, supporting Malaysia's social agenda of promoting inclusive and accessible home ownership. The instrument offers a compelling alternative funding solution that aligns with Cagamas' sustainability objectives, while expanding its pool of sustainable liquidity sources to meet the evolving needs of the financial industry.
Kameel Abdul Halim, President/Chief Executive Officer of Cagamas said, "The successful launch of our inaugural ASEAN Social SRI Sukuk VRNs reflects our strong commitment to advancing financial innovation, Islamic finance, and sustainable capital markets. By integrating Islamic finance principles with social impact through variable-rate structuring, we offer investors a distinctive instrument that combines meaningful purpose with strong performance."
The issuance further reinforces Cagamas' position as a pioneer in sustainable finance. As of end July 2025, the Company has successfully raised RM1.5 billion in sustainability-related instruments, supporting initiatives that foster social equity and responsible development—fully aligned with Malaysia's national sustainability agenda.
As part of its forward-looking strategy, Cagamas remains dedicated to strengthening the secondary mortgage market and advancing capital market development to ensure adequate and consistent provision of liquidity for primary home financing institutions.
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