INTRODUCTION

In July 2000, the Securities Commission (SC) assumed the function of the single approval authority for all corporate bond issues.

The SC’s dedicated resources in the Bond Market Department is responsible for the formulation of policies targeted at developing a vibrant and efficient bond market. The Private Debt Securities Department meanwhile processes applications relating to the issuance of private debt securities in Malaysia, which would require the prior approval of the Securities Commission under Section 32 of the Securities Commission Act 1993 (SCA).

Notwithstanding the above, the SC’s approval would not be required if the transaction is exempted under Schedule 1 of the SCA or if the instrument or transaction is exempted from the definition of “debenture" under sub-section 2(1) of the SCA.