China property firm Country Garden plans Islamic bond in Malaysia

Kuala Lumpur

CHINESE property developer Country Garden Holdings Company plans a debut sale of Islamic bonds, or sukuk, from a RM1.5 billion (S$494 million) programme set up by its Malaysian subsidiary, the Country Garden said in an exchange filing.

Sukuk are increasingly being considered as an alternative funding source by Chinese companies, despite low borrowing costs in the onshore bond market, as firms look to tap liquidity from Islamic investors.