Malaysia to ease IPO rules this year to lure investors

Malaysia to ease IPO rules this year to lure investors
FILE PHOTO: Malaysian Prime Minister Anwar Ibrahim gestures as he delivers his speech during his visit at the Malacanang palace, in Manila, Philippines, March 1, 2023. Aaron Favila/Pool via REUTERS/File Photo

KUALA LUMPUR : Malaysia will implement reforms this year to make it easier for companies to list on the national stock exchange in a bid to attract more investors, Prime Minister Anwar Ibrahim said on Monday.

The securities regulator and the stock exchange will expedite the process for initial public offerings and reduce time-to-market to ensure Malaysia’s competitiveness and attractiveness, Anwar said at an industry event.

He also announced a reduction in stamp duty charges for shares traded on Bursa Malaysia to increase investor interest.

From July, stamp duty will be reduced from the current 0.15 per cent to 0.10 per cent of contract value, subject to a maximum cap of 1,000 ringgit ($216.78) per contract, Anwar said.

“This change will directly reduce the cost of securities transactions and make the Malaysian stock market more competitive,” he said.

The government is also looking at policies to attract family offices to Malaysia, and improve ease of conducting business, he said.

Since taking power in November last year, Anwar’s administration has embarked on a slew of legal and economic reforms, including reducing subsidies for the wealthy and abolishing the mandatory death penalty.

($1 = 4.6130 ringgit)



Source: Reuters