Kuala Lampur, Jan. 16 -- Malaysia's capital markets saw an influx of RM20 billion in bonds last year after losing RM11 billion in 2018, as faith in the new Pakatan Harapan (PH) government's reform agenda grew, according to economic experts.

They said this reflected well on PH's reforms and was building confidence in the Malaysian economy that is still grappling with the issue of Prime Minister Tun Dr Mahathir Mohamad's promised power transition to Datuk Seri Anwar Ibrahim.

According to Lee Heng Guie, executive director of Socio Economic Research Centre (SERC), the return of foreign funds into government bonds - which make up most of the trade in ringgit-denominated securities - especially in the second half of last year, showed that the...