Welcome Remarks at Launch of the Capital Market Masterplan 2026-2030

Speaker: Dato’ Mohammad Faiz Azmi, Chairman, Securities Commission Malaysia

Location: Securities Commission Malaysia, Kuala Lumpur
Delivered: 9 March 2026

Yang Amat Berhormat Dato’ Seri Anwar Bin Ibrahim, Prime Minister and Finance Minister,

Yang Berhormat Datuk Seri Amir Hamzah Azizan, Minister of Finance II,

Yang Berhormat Tuan Gobind Singh Deo, Minister of Digital,

Yang Berbahagia Tan Sri Shamsul Azri Abu Bakar, Chief Secretary to the Government,

Yang Berhomat Tuan Liew Chin Tong, Deputy Minister of Finance,

Members of Parliament, Excellencies, distinguished guests,

SC Board Members and Senior Management,

Members of the media,

Ladies and gentlemen.

Assalamualaikum warahmatullahi wabarakatuh and good afternoon.

I would like to thank Prime Minister YAB Dato’ Seri Anwar for consenting to launch the Securities Commission Malaysia’s (SC) Capital Market Masterplan 2026-2030.
One task that YAB set the SC is to help transform and grow the capital market from its current position. As of December 2025, its combined size was RM4.3 trillion. By comparison, banking assets stood at RM3.8 trillion.
Over the past year, my team and I have spent considerable time engaging with stakeholders internally and externally, as well as fellow regulators and other entities to frame issues and challenge ideas. The culmination of all this work is the Masterplan we are launching today.
This Masterplan represents the fourth iteration and each builds on where we are in our nation’s development and looks to the future for both opportunities and challenges. I am very pleased to see the Chairmans who worked on the first three plans here today – namely, Datuk Ali Kadir, Tan Sri Zarinah Anwar and Datuk Syed Zaid Albar.
Today, the MADANI government’s fiscal prudence, deficit reduction and subsidy removal provides a stable platform to encourage investment in Malaysia. Last year, approved foreign investments increased to RM207 billion¹, while foreign inflows into our bond market totalled RM25 billion. Earlier this year, the benchmark FBM KLCI moved above 1,700 points, a level not seen since 2019.
It is this strong platform that the Masterplan will leverage. Our current market is able to meet expectations with many achievements and has proven to be resilient. But there are also pressing needs going forward, such as income gaps, post-retirement issues and the impact of climate change. Broadly, the Masterplan is for the next five years but we are also looking ahead to anticipate what the scenario might be in 2045, 20 years from now.

Anchored by Strategic Pillars

The Masterplan is premised on four strategic pillars.
The first - Market Vibrancy - relates principally to our equity and bond markets. Over the past 10 years, our equity market has grown incrementally but lagged GDP growth. Also returns were modest. We feel there is scope to raise the long-term valuations and performance of all our listed companies through a Value-Up initiative. In addition, we are looking to significantly increase trading activity and access for companies seeking capital.
The second pillar is Inclusivity. The MADANI government places strong emphasis on ensuring that no one is left behind. The Masterplan will focus on better retail access to capital market products, reassessing product suitability and costs towards improving returns, particularly for those retiring. We also want a healthy pipeline of market-ready companies. This calls for enhancing mid-tier companies (MTCs) as well as MSMEs’ access to capital and for some, to progress to listing.
The third pillar addresses funding needs for Sustainability. Malaysia’s energy transition from fossil fuels to renewables requires an estimated RM1.2 trillion. The country is also developing a National Adaptation Plan to address climate-related risks. Our role is to help mobilise the private sector and concessional capital to help fund these needs, especially non-bankable ones.
The final pillar relates to regional opportunities. As Chair of the ASEAN Capital Markets Forum (ACMF) last year, we delivered five key initiatives including the ACMF Action Plan. The Action Plan aims to strengthen the region’s investability, and by extension Malaysia’s, as well as position ASEAN as an asset class.
The Masterplan will push for more exchange-traded funds (ETFs) in Malaysia, some with a distinct ASEAN focus. This pillar also seeks to widen our investor base and attract new and stickier investors from friendly countries as well as to encourage foreign listings in Malaysia.
Underpinning the Masterplan is the Islamic Capital Market (ICM). It is not just our competitive edge, but also an entrusted responsibility to meet the expectations of the Ummah in Malaysia. We hope to work together with Bank Negara, Bursa and other stakeholders to improve Shariah governance and explore products and innovations demonstrating Halal Toyyib and that better reflect commercial expectations and the Maqasid al-Shariah principles.
Finally, Regulatory and Governance excellence will be emphasised. This means no more rules than necessary, improving time-to-market and reducing friction for market players in getting things done. For investors, it is to be treated equally in disputes and compensated fairly, notwithstanding the products they invest in. We must be able to anticipate what investors wish to see in 20 years as expectations are changing. Our intermediaries must also think and start the groundwork for a future ready capital market today.

Closing

Ladies and gentlemen,

The Masterplan is an ambitious plan. We are aiming to grow the capital market size by RM1.5 to RM2 trillion in 5 years. This equates to a market size of RM5.8 trillion to RM6.3 trillion. It represents a CAGR of 6 to 8 percent which is higher than our historical real GDP growth but reflects our belief that we have more room to continue improving and accelerate growth.
In the words of a famous military leader: “Success is not final, failure is not fatal: it is the courage to continue that counts."
We cannot achieve this without the support of the government and the collective commitment of all stakeholders.
This Masterplan differs from the past in its scope and reassessment of where we are. This is necessitated by the speed of change brought in by digitalisation, AI and investor expectations. In our plan, there are many non-traditional capital market areas. However, we feel it has to be wide enough to address the rapidly changing needs of stakeholders and the nation as a whole.
This launch logo is a key manifestation of our approach. It is vibrant and inclusive as represented by its colours with the batik flowers from the different states and federal territories. At its centre is Malaysia and our hope that all these efforts will culminate in a more successful economy for the next generation.
This Masterplan is a call to action which requires a whole-of-nation approach. With that, I would like to again thank YAB Prime Minister for launching the Masterplan. InshaAllah, together we can grow the capital market for the benefit of the country.

Thank you.

Source: Malaysian Investment Development Authority (MIDA)