Stamp duty at Bursa reduce to 0.1 per cent

KUALA LUMPUR - The stamp duty rate for shares traded on the Bursa Malaysia Securities will be reduced to 0.1 per cent from 0.15 per cent of the contract value starting in July.

Prime Minister Datuk Seri Anwar Ibrahim said the rate is subject to a maximum limit of RM1,000 per contract.

"The change will reduce the cost of securities transactions and make the Malaysian stock market more competitive.

"I'm confident this move will stimulate the market and increase its attractiveness.

"The increase in market liquidity will attract more domestic and foreign funds into the Malaysian stock market encouraging SMEs to proceed with the initial public offerings (IPOs) as well as easing the publicly listed companies to raise funds and expand their businesses creating more job opportunities," he said.

He said such while addressing the Capital Market Talent Programme for Graduates (invesTED) Launch Ceremony on Monday.

Anwar, who is also the Finance Minister, said that to encourage companies to be listed on the stock exchange's main board, the Securities Commission and Bursa Malaysia will implement reforms this year.

"It aims to simplify and speed up the listing of companies on Bursa Malaysia in addition to speeding up the IPO process and reducing the time for companies to market," he explained.