KUALA LUMPUR, Nov 5 (Bernama) -- Bursa Malaysia closed higher, buoyed by Bank Negara Malaysia’s (BNM) decision to maintain the Overnight Policy Rate (OPR) at 2.75 per cent, alongside positive cues from Wall Street. At 5 pm, the FTSE Bursa Malaysia KLCI (FBM KLCI) rose 19.30 points, or 1.19 per cent, to 1,635.86 from Wednesday’s close of 1,616.56. The benchmark index opened 6.72 points higher at 1,623.28, and fluctuated between an intraday high of 1,642.44 and a low of 1,622.62 during the trading session. However, market breadth was negative, with losers outnumbering gainers 723 to 497, while 466 counters were unchanged, 1,075 untraded and 10 suspended. Turnover rose to 3.74 billion units valued at RM3.61 billion compared with yesterday’s 2.81 billion units valued at RM2.57 billion.
Bank Negara Malaysia (BNM) is stepping up efforts to evaluate tokenisation and central bank digital currency (CBDC) applications as part of Malaysia’s broader digital finance agenda, according to a Finance Ministry (MOF) statement to Parliament.
Tokenisation Initiatives
BNM is working with industry experts through the Asset Tokenisation Industry Working Group forum to explore applications of tokenisation via a co-creation approach. The recently launched Digital Asset Innovation Hub (DAIH) is also supporting pilot projects to test tokenisation use cases and assess risks.
Key areas of focus include:
Risk management: addressing operational and technology vulnerabilities.
Compliance: ensuring adherence to AML/CFT frameworks.
Interoperability: overcoming potential fragmentation across platforms.
BNM will publish a discussion paper in 2H2025 on tokenisation of financial instruments, including tokenised depositsand ringgit-backed stablecoins.
CBDC Evaluation
BNM is actively evaluating the potential role of wholesale CBDCs in improving settlement efficiency between financial institutions and in cross-border payments, in collaboration with other regional central banks.
Securities Commission’s Role
The Securities Commission (SC) is focusing on:
Responsible access to crypto assets.
Expansion of securities tokenisation within Malaysia’s capital markets.
Policy Direction
The MOF highlighted that:
BNM will focus on payment systems and monetary stability.
SC will regulate capital market applications and ensure investor protection.
Investor Implications
Malaysia’s exploration of tokenisation and CBDCs signals a measured but proactive regulatory approach, positioning the country for future adoption of digital financial infrastructure. For investors, this could unlock opportunities in financial innovation, fintech partnerships, and digital asset infrastructure while ensuring regulatory safeguards remain in place.
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