KUALA LUMPUR, Dec 13 (Bernama) -- Malaysia is expected sustain the growth momentum in ringgit-denominated sukuk issuance next year, driven by the roll out of Economic Transformation Programme (ETP) projects.

HSBC Amanah Malaysia Bhd Chief Executive Officer Rafe Haneef said the growth had been significant to account for over 60 per cent of the global sukuk issuances presently.

"We see the trend to continue next year given the size of ETP projects to be launched out of Malaysia, as most of them will be funded by sukuk," he said after the official launch of the 13th HSBC Amanah Malaysia branch in Old Klang Road here Tuesday.

Given the continued interest from foreign issuers wanting to issue in both sukuk and dollar markets, it mirrored the positive prospect of the Islamic finance banking industry, he said.

HSBC Amanah Malaysia has managed more than two dozen issues so far.

Meanwhile, Mukhtar Hussain, Deputy Chairman and Chief Executive Officer of HSBC Bank Malaysia Bhd and Global CEO of HSBC Amanah, said the 13th HSBC Amanah Malaysia branch launched today was in line with the group's target to have 26 branches by end of next year.

"We will be opening another two in the Klang Valley and Penang each by end of the year, totaling to 15 HSBC Amanah outlets this year, while the remaining will be next year.

"The launch today is part of our move to expand our reach and to meet the increasing demand for top Islamic banking services in Malaysia," he said.

With strong support from Bank Negara Malaysia (BNM), the country's Islamic banking sector has grown assets under management over the past decade.

HSBC Amanah Malaysia believes Islamic banks may control a significant share of the country's banking assets by the next decade.

"Malaysia's strong financial platform makes it logical for HSBC Amanah to continue investing in this emerging market," Mukhtar said.

-- BERNAMA