Stamp duty on mid, small cap shares waived for three years
Mid and small cap companies account for more than a third of those listed on Bursa Malaysia and the total market cap stands at RM217 billion. Datuk Seri Najib Tun Razak, Prime Minister
KUALA LUMPUR: The stamp duty on mid and small capital companies shares traded on Bursa Malaysia will be waived for three years, effective March 2018.
Prime Minister Datuk Seri Najib Tun Razak said the initiative is intended to enhance better value recognition and vibrancy in this segment of the stock market.
“Mid and small cap companies account for more than a third of those listed on Bursa Malaysia and the total market cap stands at RM217 billion.
“This is a very important segment of our stock market and which will pave the way for large companies, more corporate activity and greater investment value for investors,” he said after announcing a number of initiatives to boost the capital market in his keynote address at the opening of the two-day World Capital Market Symposium 2018 yesterday.
To date, there are more than 350 mid and small cap companies listed on Bursa Malaysia.
Najib also announced that the government had embarked on extensive discussions with the Securities Commission, whereby, both parties decided to undertake measures to further stimulate vibrancy in the market.
“(The measures), margin financ- ing rules, will be liberalised to make our market more attractive, (besides), allowing intraday short selling to all investors,” he said.
He also said a new category of traders, known as “Trading Specialists” would be introduced, apart from a volume-based incentive programme by the exchange, to catalyse greater trading activity.
“All new investors will be given a fee waiver on trading and clearing fees for six months to encourage more participants to trade on our market,” Najib added. — Bernama