KUALA LUMPUR: RETIREMENT Fund Inc (KWAP) Kumpulan Wang Persaraan (Diperbadankan) (KWAP) hopes that there are more green sukuk in the pipeline as the demand has now outstripped supply. “KWAP holds the principle that integrating ESG practices can generate sustainable risk-adjusted returns and enable KWAP to perform its operations in a responsible manner. Wan Kamaruzaman said Malaysia should be able to further propel the green sukuk market, given its position as the global hub of Islamic finance and the backing of the Securities Commission (SC) which had launched the Sustainable Investment Sukuk framework back in 2014. In July 2017, Malaysia, through Tadau Energy, issued the world’s first green sukuk; a RM250 million Sustainable Responsible Investment (SRI) sukuk to finance the construction of an LSS (large scale solar) project in Kudat, Sabah. Permodalan Nasional Bhd had in November 2017 announced plans to raise a 15-year tenure secured green sukuk, the Merdeka Asean Green SRI Sukuk programme via an unrated sukuk programme of up to RM2 billion.

Source: New Strait Times February 12, 2018 05:37 UTC