Negri Sembilan should be able to match the RM10.1bil in investments it secured last year in 2024, says Datuk Seri Aminuddin Harun.

The state Mentri Besar said his administration had already received queries on potential investments, but he was not yet at liberty to divulge them.

“We have also received many queries from potential investors through Invest NS and are confident we can secure at least RM10bil,” the Port Dickson MP told reporters after chairing the state exco meeting at Wisma Negri on Wednesday (March 13).

He said potential investors could get all the necessary information from Invest NS.

“We will also provide them with technical support and speedy approvals and ensure that all processes are completed quickly and efficiently,” he said.

Invest NS is a state government investment arm entrusted with promoting investment opportunities in Negri.

Last week, Aminuddin said the state government had achieved its 2023 investment target by securing 189 approved projects with a total investment of RM10.1bil, a record achievement.

He said the RM8.9bil secured in 2022 was 13% more than the investments approved by the Malaysian Investment Development Authority for 2023.

Of the total, domestic investments made up RM4.1bil while foreign investments amounted to RM6.0bil.

The manufacturing sector is the largest contributor with RM7.6bil, followed by the services sector at RM2.5bil.

Source: The Star

Negri will attract at least RM10bil investments in 2024, says MB

Malaysia has received impressive support and recognition from Germany’s leaders and captains of industry with potential investments worth RM45.4 billion.

“We have registered a very impressive support and commitment for Malaysia, not only among political leaders but also from the businesses,” Prime Minister Datuk Seri Anwar Ibrahim said.

On Monday, Anwar held a meeting with his German counterpart, Chancellor Olaf Scholz.

The two leaders discussed the progress of Malaysia-Germany relations, particularly economic cooperation, education, environment, export of palm oil and sustainability.

They also exchanged views on the humanitarian crisis in Palestine and other global issues of mutual interest. “And the exchanges have been very frank, very fruitful and wide-ranging,” he said at a dinner event with the Malaysian diaspora here on Tuesday. 

He highlighted that the Malaysian delegation received impressive support from Germany’s captains of industry. “I was told by Tengku [Datuk Seri] Zafrul [Aziz]) that it is rare to have an impressive array of CEOs, industry captains in large [numbers] coming to meet us, some were in a group and some [came as] individuals; these exchanges have been extremely useful to us,” said the prime minister.

Potential investment of RM45.4 billion, political stability vital

Malaysia, Anwar said, has drawn potential investments of RM45.4 billion during his visit here. The potential investments are from various industries such as semiconductors, aerospace, medical devices, chemicals, and services.

All these are possible due to the political stability that Malaysia has, Anwar noted, adding that political stability is important to investors.

“People must have confidence that we are staying for years. Political stability is very important for the government to bring the right policy to enable Malaysia to bring in more investments,” said the prime minister.

Earlier on Tuesday, more than 35 captains of industry and businesses joined a roundtable meeting with Anwar, who is also the finance minister.

Among those who attended the meeting were the group chief executive officer (CEO) of Siemens AG Roland Busch, CEO of B. Braun GmbH Anna Braun, and the CEO of Melexis, Marc Biron.

Also present were the president of Airbus Asia Pacific, Anand Stanley, the managing director of Volkswagen Group Malaysia, Susanne Lehmann, and Infineon Technologies AG COO Rutger Wijburg.

Representatives from the German Chamber of Commerce, the Malaysia-German Chamber of Commerce, and the German Association for Small and Medium-sized Enterprises (BVMW) were also present.

Also present during the meeting were Foreign Minister Datuk Seri Mohamad Hasan and Investment, Trade and Industry Minister Tengku Zafrul Tengku Abdul Aziz, Malaysian Investment Development Authority (Mida) CEO Datuk Wira Arham Abdul Rahman and Malaysia External Trade Development Corporation (Matrade) CEO Datuk Mohd Mustafa Abdul Aziz.

There are over 700 German companies based in Malaysia, with the creation of 65,000 jobs.

Germany has been Malaysia’s largest trading partner among European Union member countries since 2000, while Malaysia is the largest trading partner for Germany among Asean member states. 

In 2023, Malaysia’s total trade with Germany increased by 5.9% to RM63.45 billion (US$13.9 billion) compared to RM59.87 billion (US$13.62 billion) in 2022.

Source: Bernama

Malaysia receives impressive support, recognition in Germany — Anwar

Prime Minister Datuk Seri Anwar Ibrahim said renewed investor confidence in Malaysia can be attributed to its political stability.

He said the exchanges he had with captains of industry in Germany, which has so far generated potential investment interest beyond RM44 billion, have been fruitful.

“We have had impressive support, from the politics leaders such as the German Chancellor (Olaf Scholz), and the exchanges have been frank, fruitful and wide ranging.

“Support from the captains of industry have been really good. We’ve recorded potential investment interest exceeding RM44 billion and these exchanges have been useful for us,” he said during a get together with the Malaysian diaspora in Germany here today.

Political stability, he said, was important.

“People must be confident that we are staying for years to come. It’s also important that we have clarity in our policies,” he said.

Anwar said Malaysia has “lost some time” due to the political instability but has since regained its footing to improve the economy.

“We’ve lost some time but have regained our footing. Only this way can we raise country’s dignity and improve the livelihood of all Malaysians,” Anwar told a crowd of more than 300 people.

He was accompanied by International Trade and Industry Minister Tengku Datuk Seri Zafrul Tengku Abdul Aziz, Foreign Minister Datuk Seri Mohamad Hasan, Entrepreneur Development and Cooperatives Minister Datuk Ewon Benedick.

Also present was Malaysian ambassador to Germany, Datin Paduka Dr Adina Kamarudin.

Anwar had earlier in the day held a roundtable meeting with German captains of industry. He also held private meetings with senior management of selected companies as part of his six-day visit to Germany.

Source: NST

PM: Political stability key to spurring investor confidence

IN response to global demand for green energy and desire to attain higher levels of economic growth, the Sarawak Economic Development Corporation (SEDC) is shifting its development focus from services and infrastructure to sophisticated, high-value manufacturing sectors powered by renewable energy.

This transition is among the steps being taken to ensure that low-carbon and resource-efficient manufacturing contributes to 30% of Sarawak’s gross domestic product (GDP) by 2030, SEDC chairman Tan Sri Datuk Amar Abdul Aziz Husain tells The Edge in a recent interview.

“The goal is to propel the manufacturing sector up the value chain to be able to create high-value products and generate opportunities for higher incomes.

“The state wants to be [like a] developed nation by 2030, to double our GDP by then. To me, it is not possible to achieve [that status] unless we invest heavily in the manufacturing sector and the services that support manufacturing.

“All the other sectors are supporting sectors; we still have to do tourism and agriculture but manufacturing is the one that can help the state leapfrog. Of course, we have mining and, as we discover more oil and gas, that will also contribute; that will be done by Petros (Petroleum Sarawak Bhd).”

SEDC is a statutory body set up in 1972, tasked with stimulating Sarawak’s economic development by pioneering and strategic industries. Petros is the state-owned oil and gas exploration firm.

Efforts are already underway to execute action plans set out in SEDC’s blueprint for the manufacturing sector, in particular the downstream methanol and ammonia production facilities.

SEDC’s methanol plant is slated to be operational by June this year. In February, it signed a preliminary agreement with Petronas Chemicals Group Bhd to jointly study the feasibility of setting up a world-scale blue ammonia plant.

According to Aziz, the shift in strategy means Sarawak is not just exporting raw materials, but is manufacturing value-added products for export, thus moving up the value chain to secure a robust, sustainable economic future.

“SEDC is looking at the manufacturing sector’s contribution to GDP by developing our industries in Bintulu. The idea was to produce methanol and ammonia and get Sarawak to develop the downstream [sectors] of these industries. For example, siloxane plants and the downstream silicone products … This will provide higher value to our product and provide high-level, higher-paying opportunities for the people. Of course, we need to get the people ready for the jobs,” he says.

The allure of cheap hydropower boosts prospects for hydrogen power

SEDC, and the state at large, have made significant strides in high-value sectors, Aziz says, due to the emphasis on renewable energy more than a decade ago, which saw the establishment of the Baleh and Murum dams as well as the taking over of the Bakun dam from the federal government.

The decision to harness Sarawak’s cheap hydropower led to a boost in energy-intensive industries and provided a springboard for future green energy projects. Notably, SEDC’s subsidiary, SEDC Energy Sdn Bhd, has been tasked with kick-starting the state’s hydrogen ecosystem. The corporation is involved in projects set to produce 240,000 tonnes per annum of green hydrogen, making it one of the largest producers of clean energy globally.

“We can produce much cheaper green hydrogen than anyone in the region. With sun or wind, you need to invest double the amount in order to produce the same amount of hydrogen we can,” says Aziz.

Notably, SEDC Energy oversees two hydrogen-related projects — the first being H2ornbill, with oil firm Eneos and trading house Sumitomo Corp; and the second, H2biscus, with three South Korean companies: Samsung Engineering, Posco and Lotte Chemical.

Bringing Sarawakian talents home

This shift in SEDC’s strategy has been a boon for employment opportunities, enticing skilled Sarawakians who have settled overseas to return home. SEDC, Aziz says, is keen to offer more job opportunities that align with their professional capacities.

“When we advertised the posts for our methanol plant, for example, we got over 1,000 applications, but we only needed 200 people.

“So, when we have other plants, we can train more people. And, as you can see, we don’t have a shortage [of talent. It is] just that we do not have a place for them at the moment. We have so many talented Sarawakians overseas waiting to come back.”

Other investments and social responsibilities

The hospitality and services sector still accounted for the largest portion of SEDC’s investment portfolio in 2023, at 63%, followed by the consultancy and engineering works sector. This is a stark contrast to the energy sector, which accounts for only 2%.

With a progressive shift towards high-value manufacturing and green energy, Aziz says the focus of its portfolio would only change over time.

That said, infrastructure continues to play an important role in SEDC’s development strategy.

“[Investments in] infrastructure will still be there, as we need to develop the state. Our investment in Innocement Sdn Bhd, for example, is important to stabilise cement prices.

“We have small shares in CMS (Cahya Mata Sarawak) and KKB (Engineering Bhd) and other [companies, and] will remain [invested as] those are investments for us to get returns,” Aziz says.

Overall, the asset value of SEDC and its 35 subsidiaries stood at RM2.96 billion at end-2023 (from RM830.34 million in 2020), with reserves standing at RM791 million.

Aziz says SEDC also has its eye on other sectors such as electrical vehicles (EVs) and pharmaceuticals, having established a medical glove manufacturing plant at its Sarawak Medical Innovation Technology Hub.

“To develop EVs, we need batteries. The basic materials are sodium and graphite. So, SEDC has recently tied up with Gallois (New Energy Materials (M) Sdn Bhd) to produce graphite in Sarawak.

“By having a joint venture with Petronas’ (Petroliam Nasional Bhd’s clean energy outfit) Gentari, we can later use this technology to produce fuel cells. With the fuel cells and batteries, we can develop our own EV industry,” says Aziz.

Apart from commercial profitability, SEDC is also tasked with taking on socially beneficial projects.

One example is Sarawak Metro Sdn Bhd, a wholly-owned subsidiary of SEDC set up to develop the Kuching Urban Transportation System, a project not expected to be profitable in itself but considered vital for the development of the state’s economy.

While the government fully funds the capital expenditure of such projects, SEDC handles the operational costs, reiterating its commitment to corporate social responsibility. The corporation is also focusing on food sufficiency as plans are in place to increase protein production essential for childhood development, thereby enhancing public nutrition, Aziz explains.

As SEDC strides towards achieving its ambitious targets, it acknowledges potential challenges. While Sarawak’s gross national income per capita exceeded the World Bank’s US$13,205 (RM62,500) high-income threshold in 2023, Aziz says the state is more concerned about wealth distribution.

“We can get there in terms of GDP [per capita]. The bigger challenge will be the distribution of wealth, raising everyone’s income to RM15,000 per month by 2030. We want higher-paying jobs; we need higher-value products. We are in a hurry to get there.”

Source: The Edge Malaysia

SEDC to use high-value industries to power Sarawak’s new economy

New investment interests arising from the roundtable and one-on-one meetings with Prime Minister Datuk Seri Anwar Ibrahim here today are worth a potential RM45.4 billion.

Investment, Trade and Industry Minister Tengku Datuk Seri Zafrul Abdul Aziz said the potential investments encompassed new as well as expansion and diversification projects.

“The potential investments are from various industries such as semiconductor, aerospace, medical devices, chemicals and services,” he told Malaysian journalists after the roundtable and one-on-one meetings with Anwar.

A total of 38 captains of industry and businesses from German cities like Stuttgart, Munich, Berlin, and Frankfurt, as well as from Belgium and France, joined the meetings.

Anwar also had one-on-one meetings with officials from X-Fab, Melexis, Infineon Technologies AG, Schott AG, and Airbus.

The Prime Minister, who arrived here on Sunday, took the opportunity to assure German businesses that Malaysia remains one of the best and preferred locations for investors with business-friendly approaches.

The companies from the world’s biggest economies that came to see the premier are involved in sectors like energy, medical devices, semiconductors, electronics, machinery, automotive, and aerospace.

Tengku Zafrul said through the engagements with the companies, there are strong indications that German companies are positive and remain committed to Malaysia as their investment destination.

X-Fab, Melexis, and Schott to commence operations soon

According to the minister, X-Fab, Melexis, and Schott gave updates that their projects, with approved investments amounting to RM4.45 billion, are currently under construction and are expected to commence operations within this year.

During the one-on-one meeting with the prime minister, the chief operating officer of Infineon, Rutger Wijburg, said the company was on track to build the world’s largest 200-millimetre SiC (silicon carbide) power fab in Kulim. “Infineon and Malaysia building the world’s biggest SiC factory. Together, Malaysia and Infineon are fighting climate change,” he said.

Infineon, which has been operating in Malaysia since 1973, announced last year that over the next five years, the company will additionally invest up to five billion euros in Kulim during a second construction phase for its Module Three plan. The investment will lead to an annual SiC revenue potential of about seven billion euros by the end of the decade, together with the planned 200-millimetre SiC conversion in Villach and Kulim.

Among those who attended today’s meetings with Anwar were Siemens AG group chief executive officer (CEO) Roland Busch, B. Braun GmbH CEO Anna Braun, and Melexis CEO Marc Biron. Also present were Airbus Asia Pacific president Anand Stanley and Volkswagen Group Malaysia managing director Susanne Lehmann.

Representatives from the German Chamber of Commerce, the Malaysia-German Chamber of Commerce, and the German Association for Small and Medium-sized Enterprises (BVMW) were also there.

Also present during the meeting were Foreign Minister Datuk Seri Mohamad Hasan, Malaysian Investment Development Authority (MIDA) CEO Datuk Wira Arham Abdul Rahman, and Malaysia External Trade Development Corporation (MATRADE) CEO Datuk Mohd Mustafa Abdul Aziz.

There are over 700 German companies based in Malaysia, with 65,000 jobs created.

Germany has been Malaysia’s largest trading partner among European Union member countries since 2000, while Malaysia is the largest trading partner for Germany among Asean member states.

In 2023, Malaysia’s total trade with Germany increased by 5.9 per cent to RM63.45 billion (US$13.90 billion) from RM59.87 billion (US$13.62 billion) in 2022. 

Source: Bernama

New potential investments worth RM45.4b from Germany, says Tengku Zafrul

The Ministry of Investment, Trade and Industry (MITI) is aiming for Malaysia to have 100 local technology companies with annual revenue of RM1 billion by 2030, according to Deputy Minister Liew Chin Tong.

He said the government will continue to support local companies in research and development (R&D) and innovation by providing assistance to small and medium enterprises (SMEs) nationwide.

“Various types of assistance are being provided by MITI and its agencies including financing assistance, advisory services and business guidance to strengthen the SME value chain,” he said in winding up the debate on the Motion of Thanks for the Royal Address in the Dewan Rakyat today.

He was responding to Datuk Seri Amirudin Shari’s (PH-Gombak) proposals to enhance collaborations among states and expand the market especially for SMEs by building a national innovation system.

Liew said that MITI, through the Malaysian Investment Development Authority, is spearheading efforts to boost collaborations among Selangor, Kuala Lumpur, Melaka and Negeri Sembilan.

The effort is aimed at developing joint industrial clusters, including for the aerospace industry and global services hub.

Meanwhile, answering a query from Wan Ahmad Fayhsal Wan Ahmad Kamal (PN-Machang) who asked about MITI’s direction in increasing strategic investments, Liew said the government will ensure that investments coming into the country comply with 12 revenue-based indicators that will be used to gauge investment quality under the New Industrial Master Plan 2030 and National Investment Aspirations.

Among the 12 indicators are strengthening efforts in high value-added activities, accelerating regional R&D activities, and creating high-skilled job opportunities.

Source: Bernama

MITI aims to have 100 local tech companies with RM1bil revenue by 2030

Prime Minister Datuk Seri Anwar Ibrahim today held a roundtable meeting with German captains of industry.

He also held private meetings with senior management of selected companies as part of his six-day visit to Germany.

The prime minister held court with representatives from almost 40 companies, whose focuses ranged from manufacturing, automotive, aerospace to pharmaceuticals.

They included representatives from Schott AG; Siemens AG; B. Braun; X-Fab Silicon Foundries, Melexis, Volkswagen; Oldenburger Interior; PCC SE; Oryx Stainless; Fresenius; DELO Industries Klebstoffe; Airbus Asia Pacific as well as Airbus Malaysia; Infineon Technology, DHL; Bayer AG and others.

Among those who had private meetings with Anwar included Marc Biron, chief executive officer(CEO) of micro-electric semiconductor company Melexis, and Rudi de Winter, CEO of X-FAB Silicon Foundries, the foundry group for analog/mixed-signal semiconductor applications.

The prime minister, following his meeting with German Chancellor Olaf Schulz at the Federal Chancellery yesterday, had invited more German businesses to capitalise on Malaysia’s strategic location in Southeast Asia and solid infrastructure to make the country a preferred investment destination.

Germany, he said, has invested close to US$15 billion (RM70.24b) in Malaysia, citing German companies such as Infineon Technologies AG which have made Malaysia their hub for centres of excellence and training.

Germany has been Malaysia’s largest trading partner among European Union members since 2000, while Malaysia is Germany’s biggest trading partner in Asean.

In 2023, Malaysia’s total trade with Germany rose by 5.9 per cent to RM63.45 billion (US$13.90 billion) compared to RM59.87 billion (US$13.62 billion) in 2022.

Anwar, who is on his maiden visit to Germany and Europe after becoming prime minister, has lined up a series of programmes during his six days in Berlin and Hamburg.

They included meetings with German government leaders, representatives of major businesses as well as captains of industry.

Source: NST

PM holds court with almost 40 German captains of industry

The Investment, Trade and Industry Ministry (Miti) will leverage on insights from the American Malaysian Chamber of Commerce’s (Amcham) Economic Impact Survey (EIS) 2022-2023 to fine-tune trade and investment policies to further enhance Malaysia’s position as a preferred investment destination.

MITI Minister Tengku Datuk Seri Zafrul Abdul Aziz said the business association’s findings reflect confidence in the Madani Government’s policies and in its earnest efforts to facilitate the investors’ journey since December 2022.

“MITI welcomes the findings from Amcham’s EIS 2022-23, notably how United States (US) manufacturing companies’ RM92.2 billion investments to date have contributed RM199.4 billion to our exports and RM23.3 billion of spillover impact to Malaysian companies and small and medium enterprises (SMEs), notably in the electrical and electronics (E&E) sector.

“These created 126,185 jobs for Malaysians, including for 232 PhD holders and 4,219 master’s degree holders,” he said in a LinkedIn post today.

Yesterday, Amcham presented the findings from the survey, which saw the participation of 81 Amcham members. Of the respondents, 65 were American multinational companies and half were manufacturing companies, with E&E manufacturers being among the largest groups of respondents.

Tengku Zafrul said Miti appreciates Amcham members’ commitment to enhancing Malaysia’s workforce, with 65 per cent of manufacturers’ offering fully funded training initiatives.

This, he said, reflects the New Industrial Master Plan 2030’s (NIMP 2030) focus on catalysing public-private collaborations for technical and vocational education and training (TVET) and science, technology, engineering, and mathematics (STEM) programmes.

“The fact that a majority of respondents will be incorporating artificial intellegence into their business activities in the next three years signals a potential uptick for the Malaysian E&E industry.

“We are also heartened by the finding that 60 per cent of American manufacturing companies are planning additional investments in the next five years,” he said.

Tengku Zafrul said that together with the RM1.92 billion research and development allocation by American manufacturing companies in 2022-23, all these collectively support the achievement of Malaysia’s key objectives to move up the global value chain while securing higher pay for local skilled workers, as outlined by the NIMP 2030.

Source: Bernama

Ministry to leverage on insights from Amcham survey to fine-tune policies — Tengku Zafrul

Prime Minister Datuk Seri Anwar Ibrahim welcomed more German businesses to take advantage of Malaysia’s strategic location in Southeast Asia and its developed infrastructure as a preferred investment destination.

“Within the European Union, Germany, of course, is our largest trading partner and you have invested a substantial amount close to US$15 billion (RM70.24 billion),” he said.

He cited Infineon Technologies AG and many other leading German companies that has chosen Malaysia as their important hub, centre of excellence and training centres.

Malaysia looks forward to greater collaboration, not only in enhancing trade and investment, but also to strengthen bilateral relations in all fields, he said at a joint press conference with his German counterpart Chancellor Olaf Scholz at the Federal Chancellory, Berlin.

Anwar, who is also the Finance Minister, said Malaysia is keen to focus on the training of students.

“We have about 1,000 students throughout Germany for training in German companies for their initial exposure.”

The Prime Minister also said that Putrajaya welcomes Berlin’s interest in terms of new investments in renewable energy and green technology.

“Renewable energy has been our focus now and we are fortunate because we are strong in solar, green energy and strong in terms of our capacity to export in renewable energy,” he said.

Anwar said Malaysia was exporting renewable energy to Indonesia’s new capital Nusantara as well as through undersea cable to Singapore.

“So, there is a huge potential that you can see in the mushrooming of data centres and AI into the region, especially in Malaysia,” he said.

On other developments, Anwar reaffirmed Malaysia’s optimism in achieving economic growth of between 4 per cent and 5 per cent in 2024, grounded in the solid foundation that is the MADANI economy framework and the reforms outlined through Malaysia’s Budget 2024.

He also highlighted that the MADANI economy framework will leverage Malaysia’s innate strengths in enhancing national competitiveness, with emphasis on fiscal sustainability measures, good governance practices and efficacious service delivery.

There are over 700 German companies based in Malaysia, creating 65,000 jobs.

Germany has been Malaysia’s largest trading partner among European Union member countries since 2000, while Malaysia is the largest trading partner for Germany among ASEAN member states.

In 2023, Malaysia’s total trade with Germany increased by 5.9 per cent to RM63.45 billion (US$13.90 billion) compared to RM59.87 billion (US$13.62 billion) in 2022.

Source: Bernama

PM Anwar woos more German businesses to invest in Malaysia

Prime Minister Datuk Seri Anwar Ibrahim today invited more German businesses to capitalise on Malaysia’s strategic location in Southeast Asia and solid infrastructure to make the country a preferred investment destination.

Speaking at a press conference after a four-eyed meeting with German Chancellor Olaf Scholz at the Federal Chancellery, Anwar said Germany has been Malaysia’s largest trading partner since the 2000s within the European Union, while Malaysia has been Germany’s largest trading partner among Asean member states.

Germany, he said, has invested close to US$15 billion (RM70.24b) in Malaysia, citing German companies such as Infineon Technologies AG which have made Malaysia their hub for centres of excellence and training.

“Chancellor Scholz and I reaffirmed our commitment to expand and deepen cooperation in the economic sphere.

“Both Malaysia and Germany have enjoyed close economic ties for many years, which remained the cornerstone of the robust bilateral relations between both countries.

“We invite more German businesses to take advantage of Malaysia’s strategic location in Southeast Asia, and its developed infrastructure as a preferred investment destination,” he said.

He said the meeting with Scholz also saw other areas of cooperation discussed including education, technical and vocational training, palm oil, energy crisis, renewable energy and climate change.

Touching on the economic outlook in Asia and globally, he said Asia largely remains a key driver of global growth despite facing lingering headwinds.

“Within the Asean region, the near-term outlook is for continued strong growth, owing to resilient domestic demand and some improvement in exports of goods and services,” he said.

However, he acknowledged that there are various challenges that are expected to beleaguer economies around the world in 2024, as countries are still finding a firm footing after the Covid -19 pandemic.

The prime minister reaffirmed Malaysia’s optimism in achieving economic growth between 4-5 per cent in 2024, grounded in the solid foundation that is the Madani economy framework, and the reforms outlined through 2024 Budget.

The Madani economy framework, he said, will leverage Malaysia’s innate strengths in enhancing national competitiveness, with emphasis on fiscal sustainability measures, good governance practices, and efficacious service delivery.

Source: NST

Anwar invites more German businesses to make Malaysia preferred investment destination

American multinational companies (MNCs) remain upbeat on Malaysia’s economic prospects with its potential for growth and development, making the country a preferred destination for investment, according to a survey conducted by the American Malaysian Chamber of Commerce (Amcham).

Amcham’s biennial Economic Impact Survey (EIS) 2022/23 saw 81 companies participating in the survey, of which  65 are American multinational companies (MNCs).

The chamber of commerce said that half of the respondents (42) are manufacturing companies, with electrical and electronics (E&E) manufacturers being among the largest group of respondents.

The survey found that foreign direct investment (FDI) of these MNCs amounted to RM172.6 billion as of end-2023, underscoring the longstanding and ongoing commitment of these companies in Malaysia, with a history dating back to the 1950s.

Amcham chairman Antony Lee said that the commitment shown by the American MNCs in Malaysia is as strong as ever and continued to foster a strong partnership with their counterparts.

“Regardless of Malaysia’s economic conditions and even in the previous global financial crises, American companies have continued to invest (in Malaysia).

“Therefore, we are a very strong partner to Malaysia,” he said after presenting the EIS 2022/23 today.

The EIS 2022/23 results also found that 81 companies participating in the survey employed 148,778 individuals, of which 89 per cent are Malaysians, and paying RM307.7 billion in salaries.

“They also contributed to the future and security of their employees, paying RM1.3 billion towards the country’s Employees Provident Fund (EPF) and The Social Security Organisation (Socso),” the survey found.

The chamber’s chief executive officer Siobhan Das, echoed Antony’s sentiment, stating that Malaysia’s competitiveness is also ahead of neighbouring countries.

“We are right now slightly ahead of the curve, I think, very competitive. We need to be very aware of what’s coming around because that competition can be fierce,” she said.

Siobhan added that the government’s initiatives and policies, such as the New Industrial Masterplan (NIMP) 2030 and many others, had also helped to woo more investors into the country.

“I think the government has recognised that there are areas that need focus, and these master plans are being put into place to help develop Malaysia as a more attractive country for the future,” she said.

Meanwhile, former International Trade and Industry deputy minister Ong Kian Ming said that the Johor Singapore Economic Zone (JS-SEZ) and the Johor Bahru–Singapore Rapid Transit System (RTS) are other factors that can attract investment into Malaysia.

“They (the projects) will bring in joint activities in terms of promotion and investment activities between Singapore and Malaysia,” he added.

Ong noted that the National Energy Transition Roadmap (NETR) is an example of another policy that can enable new investments in various sectors.

“For example, we’re talking about investments in terms of the solar farms, and to manage those energy systems to be able to be put in industrial parks, green industrial parks, that will be able to attract even more FDI to come in,” he elaborated.

Ong added that there is a high chance that many investing companies will be from the US as they have more experience in these areas.

Meanwhile, the EIS survey also found that many of the responding companies are participating in developing Malaysia’s human capital, with 76 per cent having established internal skills and training programmes in the country.

“Additionally, 65 per cent offer fully funded training initiatives, with 23 per cent supporting co-funded programmes. American companies play a pivotal role in shaping Malaysia’s human capital landscape,” it said.

Amcham said the EIS demonstrated how deeply integrated operations are with the local ecosystem.

“Manufacturers report a host of local suppliers supporting their operations in Malaysia, with 7,291 relationships in contracts over RM100,000, valued at RM22.97 billion,” it added.

Source: Bernama

Malaysia continues be preferred investment destination for American investors

Despite competition from other ASEAN countries, Malaysia continues to stand out as a prime destination for global investors, boasting a robust ecosystem forged over the past five decades, particularly within the electrical and electronics industry.

Investment, Trade and Industry Minister Tengku Datuk Seri Zafrul Tengku Abdul Aziz said Malaysia also stands to benefit from spillovers from investments into its neighbours.

Speaking to members of the Malaysian media covering Prime Minister Datuk Seri Anwar Ibrahim’s visit to Germany, he highlighted Malaysia’s enduring appeal, emphasising its potential for sustained growth in green and digital economies, buoyed by its abundant natural resources and a stable investment environment.

He noted that during the working trip, Anwar will visit Siemens Energy, a key player in the renewable energy.

Meanwhile, the minister also highlighted that ASEAN has benefited from the redirection of investment flows and the realignment of the supply chain, even amidst a global backdrop of slowed global gross domestic product (GDP) growth and declining global foreign direct investment (FDI) flows.

“In the wake of the slow down in the global GDP, global FDIs have gone down 12 per cent but FDIs into ASEAN have increased by 5.0 per cent,” he said.

Global FDI flows declined by 12 per cent to US$1.3 trillion (US$1 = RM4.68) in 2022, after nosediving in 2020 due to the COVID-19 pandemic and rebounding in 2021.

Spillover benefits

Despite the competition to lure trade and investments among ASEAN member countries, Tengku Zafrul said Malaysia stands to benefit in terms of spillovers.

“We are competing within ASEAN but to me, it’s not a zero-sum game.

“Even if Vietnam or our neighbour Singapore gets one investment, it will spill over to Malaysia,” he said, citing instances where investments in neighboring ASEAN countries ripple through to bolster Malaysia’s own economic ecosystem.

He pointed to the establishment of data centres supporting artificial intelligence (AI) in Singapore where the spillover can be felt in Malaysia, as well as Vietnam’s procurement of parts from Malaysia as prime examples of this beneficial interplay.

On the premier’s visit to Germany, Tengku Zafrul said it was important for Malaysia to continue engaging with the world’s third-largest economy, adding that during his six-day visit, Anwar will meet captains of industry and potential investors such as Schott AG, Infineon Technologies AG, Melexis and Airbus .

There are currently over 700 German companies operating in Malaysia, creating 65,000 jobs.

Germany has been Malaysia’s largest trading partner among the European Union member countries since 2000, while Malaysia is the largest trading partner for Germany among ASEAN member states.

In 2023, Malaysia’s total trade with Germany increased by 5.9 per cent to RM63.45 billion (US$13.90 billion) from RM59.87 billion (US$13.62 billion) in 2022.

Source: Bernama

Malaysia remains attractive to global investors amid strong ecosystem – Tengku Zafrul

Malaysia’s loss of previous advantages – such as cheap labour – to neighbouring countries including Thailand, Indonesia and Vietnam do not necessarily signal the death knell for its industries.

Instead, International Trade and Industry Minister Tengku Datuk Seri Zafrul Tengku Abdul Aziz said Malaysia still holds distinct advantages over some of its regional neighbours.

Speaking to the Malaysian media here today in conjunction with Prime Minister Datuk Seri Anwar Ibrahim’s visit to Germany, Tengku Zafrul said Asean as a whole has benefited massively.

To a question on whether Malaysia is facing a challenge from other Asean countries in terms of securing major investments from abroad, including Europe, Tengku Zafrul replied in the affirmative.

He acknowledged that Asean neighbours such as Vietnam, Thailand and Indonesia now offer what Malaysia previously did, such as cheap labour.

However, he believed that Malaysia is still an attractive proposition to investors.

“Yes, we have competition in the region. The good news is that Asean as a region has benefited from the redirection of flows especially investment flows given the realignment of the supply chain.

“If we look at the global FDI (foreign direct investment) in line with the slowing down of the global GDP (gross domestic product), global FDI has gone down 12 per cent whereas the FDI into Asean has gone up five per cent. As such, Asean is actually bucking the trend and of course, Malaysia stands to benefit from that being one of the Asean countries.

“But at the same time within Asean, we are competing.”

Tengku Zafrul however does not believe that it is a zero-sum game.

“Even if let’s say Vietnam or Singapore next door secures an investment, there will be a spillover to Malaysia if we have the right ecosystem to support that. For example, we’ve seen the advancement of data centres supporting AI (artificial intelligence), where because of Singapore, the spillover effect is being felt in Malaysia.

“Similarly, when we talk about the EV (electric vehicles) ecosystem, we have a very established E&E (electrical and electronics products) sector in Malaysia with over 50 years now. We have a strong global market share as well, where the E&E share in semiconductors, especially in testing and assembly, is over 12 or 13 per cent of global market share” he said.

Tengku Zafrul said Malaysia still holds three distinctive competitive advantages.

The first, he said, were strong ecosystems in place in sectors such as E&E, which has helped convince companies to come to Malaysia.

The second, he said, was talent, which companies in Malaysia, including multinationals, have built in the country over the years.

The third, he said, was Malaysia’s strength in green economy and digital economy, key sectors which are hoped to drive growth and spillover effects to Malaysians and Malaysian companies.

“This is where we have strong natural resources. We have land and the right policies as well as incentives that have remained consistent over the years,” he said.

However, Tengku Zafrul noted that Malaysia has to be mindful that “the gap is narrowing, and that Malaysia will be competing with others with similar advantages in the future.”

Tengku Zafrul is among the ministerial delegation accompanying the prime minister in the latter’s six-day official visit to Germany.

Apart from programmes in Berlin and Hamburg with potential and existing German investors, Tengku Zafrul will also travel to Munich to discuss potential business opportunities with automotive giants BMW as well as aircraft manufacturers Airbus.

Germany has been Malaysia’s largest trading partner among European Union member countries since 2000, while Malaysia is the largest trading partner for Germany among Asean member states.

In 2023, Malaysia’s total trade with Germany rose by 5.9 per cent to RM63.45b (US$13.90 b) compared to RM59.87b (US$13.62 b) in 2022.

Source: NST

Tengku Zafrul: Malaysia still attractive to investors due to distinct competitive advantages

Prime Minister Datuk Seri Anwar Ibrahim kicked off his visit to Germany by visiting Siemens Energy, one of the world’s leading energy technology companies.

Upon arrival at Siemens Energy headquarters in Huttenstrasse here, Anwar was received by Siemens Energy executive board member, Vinod Philip.

Also accompanying the prime minister were Foreign Minister Datuk Seri Mohamad Hasan, Investment, Trade and Industry Minister Tengku Datuk Seri Zafrul Tengku Abdul Aziz, Entrepreneur and Cooperatives Development Minister Datuk Ewon Benedick and Malaysia’s Ambassador to Germany Datin Paduka Dr Adina Kamarudin.

Located in 90 countries with about 90,000 employees, Siemens Energy operates across the whole energy landscape — from conventional to renewable power and grid technology. It is also involved in storage and electrifying complex industrial processes. The plant here, which has around 3,400 workers, is involved in the assembling of gas turbines as well as electrolysis hydrogen production systems.

Anwar, who is also the finance minister, and his entourage were taken on a tour of the sprawling facility and a discussion with senior officials.

Last year, Tenaga Nasional Bhd (TNB) and Siemens Energy signed a memorandum of understanding to initiate green hydrogen advancements.

The partnership aims to accelerate the decarbonisation of TNB’s thermal power plants, utilising green hydrogen produced from renewable energy resources.

Source: Bernama

Anwar visits Siemens Energy in Berlin

An enduring friendship built on strong economic ties and mutual respect, with a keen eye on the future, will set the tone for Datuk Seri Anwar Ibrahim’s first official visit as prime minister to Germany today.

After concluding a successful tour of Melbourne and Canberra, where Australian companies expressed interest in investing RM24.5 billion in Malaysia, the prime minister will now train his sight on German investors, both new as well as those already with a presence in Malaysia, as part of his visit to Berlin and Hamburg.

Malaysian Ambassador to Germany, Datin Paduka Dr Adina Kamarudin, said the prime minister’s intensive six-day itinerary will see him meet senior German leadership, captains of industry, academics and policymakers as well as the Malaysian diaspora.

The prime minister is scheduled to arrive in Berlin Brandenburg Airport at 10pm on March 10, where he will be welcomed upon arrival by Foreign Minister Datuk Seri Mohamad Hasan, Adina as well as German government representatives.

Apart from Mohamad, also accompanying him for his visit are International Trade and Industry Minister Tengku Datuk Seri Zafrul Tengku Abdul Aziz, Entrepreneur Development and Cooperatives Minister Datuk Ewon Benedick.

Adina said the prime minister will begin his series of programmes on March 11 with a visit to the Siemens Energy plant in Berlin. Siemens, she said, had invested heavily in Malaysia and is currently focusing on renewable energy.

This will be followed by a courtesy visit to Federal President Frank-Walter Steinmeier at Bellevue Palace, who in February last year had visited Malaysia.

Steinmeier, in his visit, had stated that Malaysia is set to become a key destination for German companies to diversify their businesses and investments, with more than 700 German companies in Malaysia creating 65,000 jobs.

“This can, in a way, be viewed as a furtherance of the discussion that they had previously. President Steinmeyer is known for his deep interest in Malaysia and enjoys a keen friendship with the prime minister, evidenced from his visit to the prime minister’s office in Putrajaya during his visit to Malaysia,” she said.

Later in the evening, Anwar will be accorded an official welcome with full military honours by Chancellor Olaf Scholz at the Federal Chancellery, followed by a four-eyed meeting with Scholz.

The two leaders will hold a joint press conference with Malaysian and German media before attending a dinner hosted by Scholz.

The following day, Anwar will attend a business roundtable meeting with around 30 captains of industry, followed by a business meeting with selected companies.

These captains of industry, she said, comprise significant players in the German economy, and key investors to Malaysia.

Adina said the business meeting with selected companies, meanwhile, include major names such as Infineon, Schott AG, Melexis and Airbus, which are significant for possible investments in the future.

In the evening, the prime minister will then hold a session with the Malaysian diaspora in Germany, which will include students, working professionals as well as those who have chosen to settle down in Germany.

After the breaking of fast and Maghrib prayers, the prime minister will then join the congregation at the Sehitlik Mosque in Berlin for Isyak and Tarawih prayers. Anwar will then engage with the German Muslim community for an exchange of views.

The following day, Anwar will begin his programme with an interactive session at the Körber Foundation in Berlin, an independent, non-profit think tank which focuses on international relations including issues pertaining to the Middle East.

He will then meet with German vice-chancellor Robert Habeck before attending the Mittlestand, also known as SME Future Day, an annual small-medium enterprises conference where the prime minister will also be delivering a keynote address.

Adina said Anwar’s meeting with Habeck, who is also Minister for Economic Affairs and Climate Action, will likely see the leaders discuss issues such as Malaysia’s palm oil export to Europe and climate change.

Adina said the German economy is unique in that it does not rely heavily on multinational companies (MNCs), with its main driver being the Mittlestand, or SMEs.

“However, the size of their SMEs is on a scale vastly different than that of Malaysian companies. Their request for the prime minister’s presence at this event was done way back in July,” she said, noting that the Mittlestand offers key investment opportunities for Malaysia.

Adina said German companies have a favourable view of Malaysia due to a host of factors, such as the various incentives offered, especially customised tax incentives and the supporting role played by agencies like the Malaysia Investment Development Authority or MIDA.

“They are very comfortable with our One Stop Centre. There is also the ease of doing business with agencies such AS MIDA, with the Immigration Department providing the necessary support, as well as the English-speaking population,” she said.

In Hamburg, Anwar will attend Friday prayers at the El Nour Mosque before conducting a business meeting with Nexperia. He will then attend the 101st East Asia Friendship Dinner (Ostasiatisches Liebesmahl) by the German Asia-Pacific Business Association (Ostasiatische Verein – OAV) before departing for Kuala Lumpur.

Germany has been Malaysia’s largest trading partner among European Union members since 2000, while Malaysia is Germany’s biggest trading partner in Asean.

In 2023, Malaysia’s total trade with Germany rose by 5.9 per cent to RM63.45 billion (US$13.90 billion) compared to RM59.87 billion (US$13.62 billion) in 2022.

Source: NST

Germany welcomes Anwar on maiden visit, fostering economic cooperation and mutual growth

Malaysian Ambassador to Germany, Datin Paduka Dr Adina Kamarudin said Anwar will be holding a bilateral meeting with his German counterpart, Chancellor Olaf Scholz besides paying a courtesy call to President Frank-Walter Steinmeier.

“Prime Minister Anwar is expected to discuss various bilateral and global issues during his meetings with the two German leaders,” she said at a press conference with Malaysian media covering the premier’s visit here.

President Steinmeier made a state visit to Malaysia from Feb 16 to 19 last year, where he also visited two of Germany’s largest investors in Malaysia — manufacturer of semiconductors Infineon and medical technology specialist B. Braun.

During the visit, Steinmeier had said that Malaysia would be an important location for German companies to diversify their businesses and investments, adding that there are over 700 German companies there now, creating 65,000 jobs.

According to Dr Adina, Anwar, who is expected to arrive here at 10pm Sunday (5am Monday), will meet top industry leaders at six meetings and engagements, most of them are the country’s top small and medium-sized enterprises (SMEs) which are the backbone of Germany’s economy.

Meet 30 captains of industry

On Monday, Anwar will kick off his visit by visiting the Siemens Energy plant in Huttenstrabe, said Dr Adina, adding that the company which had invested heavily in Malaysia is currently focusing on renewal energy.

Siemens Energy produces renewable energy from sun, wind, water and biomass, and the key player in the country’s energy transition employs about 26,000 workers.

On Tuesday, Anwar will meet about 30 captains of industry and potential investors from Europe at a business roundtable meeting.

“German companies continuously looking at Malaysia because of the various incentives offered, especially the customised tax incentives and the supporting role played by our agencies like the Malaysia Investment Development Authority or MIDA.

“They are very comfortable with our One Stop Centre… the ease of doing business with agencies like MIDA, Immigration Department providing the necessary support, as well as the English speaking population,” she said.

Dr Adina said issues like Malaysia’s palm oil export to Europe and climate change are likely to be brought up during Anwar’s meeting with Deputy Chancellor and Minister for Economic Affairs and Climate Action Robert Habeck before the premier delivers a keynote address at “Mittelstand or SME Future Day” on Wednesday.

There are 3.2 million small and medium-sized enterprises (SMEs) in Germany, employing 56 per cent of the more than 38.4 million employees in 2021.

Anwar will also meet the Malaysian diaspora before attending prayers and Tarawih at Sehitlik Mosque during his stay in the capital.

While in Berlin, the Prime Minister will have a speaking engagement at Körber Foundation, a non-profit organisation focusing on social and political issues.

Anwar will also visit Hamburg to attend the 101st East Asia Friendship Dinner (Ostasiatisches Liebesmahl) hosted by the German Asia-Pacific Business Association, where he is scheduled to deliver an address.

Dr Adina said due to the Ukraine war which has affected Germany, especially the availability of cheap gas, the country is now looking at South East Asia to diversify its business.

During the visit, the premier will be accompanied by Foreign Minister Datuk Seri Mohamad Hasan, Investment, Trade and Industry Minister Tengku Datuk Seri Zafrul Tengku Abdul Aziz and Entrepreneur and Cooperatives Development Minister Datuk Ewon Benedick.

Germany has been Malaysia’s largest trading partner among EU member countries since 2000, while Malaysia is the largest trading partner for Germany among ASEAN member states.

In 2023, Malaysia’s total trade with Germany increased by 5.9 per cent to RM63.45 billion (US$13.90 billion) as compared to RM59.87 billion (US$13.62 billion) in 2022.

Source: Bernama

PM Anwar’s visit to Germany will focus on enhancing bilateral and business ties – envoy

Sarawak’s political stability, coupled with a stable and progressive government, is among the critical factors which attracts billions of Ringgit in foreign investment, said state Transport Minister Datuk Seri Lee Kim Shin.

He said the state’s economic growth in recent years has been progressive, thanks to the government’s policies.

Moreover, the policy of inclusiveness practised by the Sarawak government, where it takes care of all communities and religions, is also among the factors.

“For example, in Chinese education, the state government has recognised UEC qualifications since the late Tok Nan was Chief Minister, and this has been followed by our Premier Datuk Patinggi Tan Sri Abang Johari Tun Openg.

“Our premier has increased allocation for Chinese independent schools from RM3 million to RM10 million in the last few years,” he said in his speech at the Federation of Miri Division Chinese Associations’ (FCA) Chinese New Year dinner here on Friday.

He added the Sarawak government is the only government in the country which set up the Unit for Other Religions to help other religions in the state.

“Last year, the allocation was RM100 million and this year it has been increased to RM110 million, and the financial assistance is also given to mission schools by the state government,” he said.

During the event, the handing over of two RM5,000 mock cheques to Riam Road Secondary School and SMK Chung Hua Miri was carried out. Both schools have been adopted under FCA for Chinese cultural development.

Also present at the banquet were Yang di-Pertua Negeri Tun Pehin Sri Dr Wan Junaidi Tuanku Jaafar and his wife Toh Puan Fauziah Mohd Sanusi; Deputy Minister of Utility and Telecommunications Datuk Dr Abdul Rahman Junaidi; Deputy Minister of Youth, Sports and Entrepreneur Development Datuk Dr Ripin Lamat; Pujut assemblyman Mayor Adam Yii; Miri MP Chiew Choon Man; FCA president Datuk David Goh and his wife Datin Ting Lee Chong; and Penghulu Pui Kuan Peng.

Source: Borneo Post

Sarawak’s political stability, stable govt main draw for foreign investment, says state minister

Prime Minister Datuk Seri Anwar Ibrahim has instructed the cabinet to follow up on four memoranda of understanding (MoUs) signed with Australian companies.

Communications Minister Fahmi Fadzil said Australian companies were seeking to invest RM24.5 billion during Anwar’s recently-concluded visit to the country.

“The prime minister has instructed cabinet members follow-up actions to be taken on the series either on the four MoUs or intention to invest including in expediting the (relevant) processes,” he said in a post-cabinet meeting press conference today.

Fahmi, who is also the unity government’s spokesman, said the prime minister also met leaders of other Asean countries, including Thailand, in bilateral meetings to discuss tourism.

He said the Tourism, Arts and Culture Ministry would follow-up on the rising costs and prices in Langkawi.

Among the major potential investors, Anwar said, were data management centre companies AirTrunk, with an investment value of RM11 billion, and NextDC with RM3 billion.

He said the investments would also open job opportunities to some 1,200 skilled workers in Malaysia.

Source: NST

Investments: Ministries to follow-up on 4 MoUs signed with Australian companies

The East Coast Rail Link (ECRL) is anticipated to contribute a 3.8 per cent increase to Malaysia’s gross domestic product (GDP) by 2047 by enhancing trade, boosting tourism, and stimulating regional development.

Investment, Trade and Industry Minister Tengku Datuk Seri Tengku Zafrul Abdul Aziz said the ECRL project, valued at almost RM75 billion, is more than just a rail link cutting across Kelantan, Terengganu, Pahang and Selangor, but also a cornerstone for economic growth and social progress.

“The ECRL is poised to be a game changer for Malaysia, linking us more closely to the Pan-Asia railway network and enhancing our connectivity with Asean and Eurasia regions.

“Spanning 665 kilometres and connecting our east and west coasts, the ECRL represents Malaysia’s significant integration into a broader network of trade and cultural exchange,” he said in his keynote address at the Seminar on East Coast Rail Link – Economic Accelerator Project (ECRL–EAP) Business and Investment Opportunities here today.

He said by “facilitating quicker coast-to-coast movement and offering an alternate maritime gateway for cargo and passenger flow, it is poised to slash cargo vessel travel time by a significant 2.5 days between the Port Klang and Kuantan Port ports.”

“As of February 2024, the project is 62 per cent complete, with each state’s alignment progressing steadily towards the finish line,” he noted.

With a target completion date set for December 2026 and operations kicking off in January 2027, the ECRL-EAP is set to enhance Malaysia’s economic landscape and connectivity.

“On this, we see significant potential for government-linked investment companies (GLICs) and private sector players to actively participate and invest in projects along the ECRL corridor,” he said.

Prime Minister Datuk Seri Anwar Ibrahim recently announced a RM1 billion fund as part of the New

Empowerment Agenda for Bumiputera, to be managed by GLICs. This is aimed at cultivating a new generation of Bumiputera entrepreneurs in high-growth sectors.

MITI and its agencies, particularly MIDA, will continue to position Malaysia as a regional gateway for international businesses and multinational corporations (MNCs).

Source: Bernama

ECRL anticipated to contribute 3.8 pct increase to Malaysia’s GDP by 2047 – Tengku Zafrul

The Federation of Malaysian Manufacturers (FMM) seeks to improve China-Malaysia cooperation.

A Memorandum of Understanding (MOU) between FMM and the RCEP Industry Cooperation Committee (RICC) has been signed.

FMM said in a statement that its goal is to create a framework for cooperation between the federation and RICC in order to assist China’s and Malaysia’s economic development.

By utilising the Regional Comprehensive Economic Partnership (RCEP), it also aims to develop mutual understanding and cooperation between the corporate communities of both parties.

“China, being Malaysia’s largest trading partner for 15 consecutive years since 2009, this MOU will serve as a platform for businesses in Malaysia and China to further elevate trade and investment cooperation among businesses by tapping on RCEP, which is the world’s largest free trade area in terms of combined gross domestic product (GDP) and market size, accounting for almost one-third of the world’s population,” said FMM’s president, Tan Sri Soh Thian Lai.

Xu Ningning, the chairman of RICC, said he is confident that this MOU will provide the pathway for businesses in both countries to leverage RCEP for their market opening and potential cooperation in new areas such as artificial intelligence, new energy, and other fields.

Source: NST

Strengthening cooperation between Malaysia, China

Malaysia is determined to expand the country’s trade linkages by ensuring the successful implementation of the ASEAN-China Free Trade Area (ACFTA) and the Regional Comprehensive Economic Partnership (RCEP).

Ministry of Investment, Trade and Industry (MITI) secretary-general Datuk Hairil Yahri Yaacob said Free Trade Agreements (FTAs) have been instrumental in facilitating businesses and ensuring that supply chains operate smoothly across the region, particularly amidst prevailing global uncertainties.

The ACFTA has been the cornerstone of ASEAN-China economic relations, and Malaysia has been committed to elevating the ACFTA to ensure that it remains comprehensive, relevant and mutually beneficial to all members. 

“As the country coordinator for ASEAN-China from July 2024-2027, Malaysia will assume a constructive role in advancing ASEAN-China relations, particularly in supporting the efforts towards the conclusion of the ACFTA 3.0 Upgrade Negotiations,” he said in his keynote address at the soft launch of the Malaysia-China Summit 2024 (MCS 2024) here today.

Furthermore, Malaysia is continuously reviewing and updating its regulatory regime, keeping pace with the changes in the global economic landscape to capture economic opportunities. 

MITI is also making every effort to position Malaysia as the globally preferred investment destination, underscored by good governance and environment, as well as environmental, social and corporate governance (ESG) goals, he said.

In enhancing industrial collaboration, Hairil Yahri affirmed the government’s commitment to bolstering industries’ capabilities, thereby reinforcing Malaysia’s pivotal role in global supply and value chains.

To solidify Malaysia’s leading position and strengthen the ecosystem, the New Industrial Master Plan (NIMP) 2030 has set a clear direction for the development of strategic manufacturing sectors in Malaysia, including the semiconductor industry. 

He noted that the NIMP 2030 outlines strategies to attract globally competitive wafer fabrication companies to set up local operations in Malaysia.

Simultaneously, the government remains proactive in encouraging investors to explore opportunities for strategic partnerships with local industries, particularly in the high-tech sector.

“This includes initiatives such as joint research and development, talent exchange, collaboration in emerging technologies, and the implementation of smart manufacturing practices to bolster production efficiency,” he said.

Hairil Yahri said MITI is set to coordinate 58 programmes under the economic pillar, including MCS 2024.

“These initiatives aim to foster dialogue and collaboration, facilitating business matching, and exploring new opportunities for growth and cooperation,” he added.

Source: Bernama

Malaysia to expand trade linkages by ensuring successful implementation of ACFTA, RECP

A total of 75 projects for the information and communications technology (ICT) industry with an investment value of RM5.42 billion were approved in Selangor from January to September last year.

State executive councillor for investment, trade and mobility Ng Sze Han said of this total, RM3.27 billion comprised local investments while RM2.15 billion were foreign investments.

“This industry contributed 22% of the total investment in the services sector in the state with 4,940 potential job opportunities created,” he added.

Ng was responding to questions by Pua Pei Ling (PH-Bukit Lanjan) on whether the digital economy has contributed to the economic and investment performance in Selangor, at the Selangor state legislative assembly on Thursday.

Ng said that based on the current trend, investment in the industry showed encouraging growth of 5% in the first quarter of 2023 and continued to chart an increase of 39% in the third quarter of the same year.

He said the positive growth reflected that the digital economic sector needs to be emphasised to ensure a sustainable expansion of the Selangor economy.

Ng added that the focus on the development of the digital economy is also encompassed in the policy and implementation of initiatives under the First Selangor Plan (RS-1).

He also stated that the establishment of the Smart Selangor Delivery Unit (SSDU) is to plan and implement digital initiatives in Selangor to boost development of the digital economy in the state.

“By leveraging technologies such as the Internet of Things (IoT), big data analytics and artificial intelligence (AI), SSDU aims to optimise the use of resources, increase efficiency and create a conducive environment to drive the digital economy,” he said.

Source: Bernama

Selangor recorded RM5.4b in ICT investments from Jan-Sept 2023, says state exco

As parties to four economic frameworks, including the Regional Comprehensive Economic Partnership (RCEP), economic relationship between Malaysia and Australia is set to strengthen further, Prime Minister Datuk Seri Anwar Ibrahim said today.

He said economic relations between Australia and Malaysia have grown from strength to strength in recent years based on mutual geo-economic interests and the pursuit of regional prosperity.

“Last year, our trade was valued at about A$27 billion (RM83.7 billion), cementing Malaysia’s position as Australia’s second-largest Asean trading partner. Globally, we are Australia’s tenth-largest trading partner,” he said in his lecture at the 2024 Gareth Evans Oration entitled “Navigating Geopolitical Currents: Malaysia and Australia’s pivotal role in Asia Pacific” at the Australian National University (ANU) here today.

Anwar, who is also the Finance Minister, said commodities such as hydrocarbons, coal, palm oil and refined copper are a significant part of the bilateral trade and underscore the trade element of geostrategic interests in the Asia Pacific.

“Malaysia and Australia are parties to four economic frameworks, including the world’s largest Free Trade Agreement (FTA), namely the RCEP, and the Indo-Pacific Economic Framework. These signal our joint interest in facilitating trade and investment across this dynamic region.

“We are also heartened by the trade-focused components of Australia’s recent Southeast Asia Economic Strategy (SEAS), which recognises the need to deepen such collaboration between Australia and Asean amid growing geopolitical uncertainty,” he said in the public lecture that was attended by more than 500 students.

Nationally, Malaysia is on track, with its New Industrial Master Plan 2030 and MADANI Economy Framework outlining similar priority areas alongside the SEAS.

Anwar pointed out that in the years to come, new opportunities will emerge for Australian investors in digitalisation, renewable energy and energy transition, agro-processing and the downstream of the chemical and mineral sectors, coinciding with Malaysia’s push towards becoming a complex, advanced economy.

“A recent hallmark in our relationship, formerly categorised as a Strategic Partnership, is its elevation to a Comprehensive Strategic Partnership, which reaffirms our strong bilateral ties, with cooperation cutting across multiple spheres, often stretching beyond the traditional economic, diplomatic, security and cultural ties.”

More importantly, it also emphasises shared regional aspirations and the intent to cooperate strategically on a multilateral level, said the Prime Minister.

Among those present at the public lecture were Australian Foreign Minister Penny Wong, Deputy Vice-Chancellor (Academic) Professor Grady Venville and Professor Gareth Evans.

The Prime Minister arrived in Canberra from Melbourne earlier today as part of his back-to-back official visits to Australia, at the invitation of the Australian Prime Minister Anthony Albanese.

The special aircraft carrying Anwar and his wife, Datuk Seri Dr Wan Azizah Wan Ismail, landed at Canberra Airport at about 12.32 pm local time (9.32 am Malaysian time) for a one-day official visit.

Besides the lecture, he will pay a courtesy call on General David Hurley, the Governor-General of Australia, at the Government House here before departing for Malaysia this evening.

Australia is a close and important partner for Malaysia and both countries have deep cooperation in various sectors that include education, trade and investment, defence, cybersecurity as well as science and technology.

In 2023, Malaysia and Australia’s bilateral trade stood at US$18.57 billion (RM84.64 billion), solidifying Australia as Malaysia’s 10th largest trading partner.

As of December last year, Australia had approved investments in Malaysia involving 582 projects, with realised investments involving 366 projects.

In Melbourne, he led the Malaysian delegation to the second Malaysia-Australia Annual Leaders’ Meeting (2nd ALM) on March 4 and the Asean-Australia Special Summit, hosted by Australia, held from March 5-6, 2024, to commemorate the 50th Anniversary of Asean-Australia Dialogue Relations.

Source: Bernama

Malaysia, Australia strengthen economic ties through four key frameworks

Urging Australian and Asean investors and businesses to seriously consider Malaysia, Prime Minister Datuk Seri Anwar Ibrahim underscored the importance of political stability, clear policies, and good governance in creating a conducive environment for investment and economic growth in Malaysia.

In a mission to court Australia and Asean investors and businesses at the Invest Asean Conference in Melbourne on Thursday, Anwar, who is also the Finance Minister, said Malaysia currently under his stewardship is stable and strong.

“Now with political stability, we focus on good governance, and there’s clear clarity in policies – a clear plan and priority,” he said when addressing the international audience.

Anwar said the government realised that to propel the economy forward, it was essential to fast-track and accelerate the pace of priorities, for example, in the digital transformation.

“We are committed to doing whatever is necessary to ensure this happens,” he said.

Anwar stressed that the role of government was not only to facilitate but also accelerate the process and “know your priorities”.

“I think the problem with government is that sometimes we think we know everything.

“That’s why I mentioned to my colleagues in the Cabinet that even if we have charted this clarity of policy in terms of energy transition, we have to think about the future,” he said.

In response to a question on sovereign wealth funds, Anwar said that, while these funds are technically under government control, business decisions made by entities like Khazanah Nasional and Petronas, which he chairs back home, are purely business.

“Although I technically chair, I mean it very clearly. The decisions, business decisions, I provide the policy guidelines.

“Business decisions must be made purely by the business people, experts,” he said.

Source: Bernama

PM Anwar courts Australia, Asean investors with Malaysia’s conducive environment

Malaysia asserts confidence in its economic progress, signalling to the global stage that it is a top-tier investment and capital destination.

Prime Minister Datuk Seri Anwar Ibrahim said Malaysia had achieved an all-time high of investments in 2023 and he was confident the number would grow in 2024.

“Malaysia is back in business. I am so confident in Malaysia’s economic prospects and our future as a people and nation.

“For 2023, we realised a 23 per cent surge in approved investments to an all-time high of RM329.5 billion.

“We have every confidence this number will improve across 2024, with accretive benefits for the rakyat, as committed investments translate into new projects, new high-paying jobs, new opportunities for technology transfer and upskilling and yes, an improvement in the prospects for the ringgit,” he said during the Invest Asean conference 2024 today in Melbourne, Australia.

Anwar who is also the finance minister, said the transformation programme being implemented by the Madani government would allow for improved political, economic and social environment for international investors.

“Malaysia Madani is a lot more than a return to traditional values, or pure inculcation of new values. It is a comprehensive programme that seeks to develop fundamentally positive, yet transformative changes in fiscal policy, subsidy reforms and a heightened sense of governance alongside improved performance of private economic participants.

“Within our Madani transformation programme are new economic pillars: an Energy Transition Roadmap and New Industrial Master Plan, which will underpin our transformation to a greener, more sustainable and more prosperous 21st-century economy,” said Anwar, who is one of the keynote speakers at the forum.

He also shared a few key economic indicators that underscored the sound fundamentals of the Malaysian economy.

“The Malaysian economy continues to display both resilience and steady growth; in this, the IMF (International Monetary Fund) projects a 2024 growth rate of 4.3 per cent against a moderating inflation level of 2.7 per cent.

“Our unemployment rate stands at 3.3 per cent, having steadily fallen during the first year of my government, and from a high of 4.5 per cent during the worst of the pandemic.

“Additionally, our international reserves remain healthy, standing at RM529.7 billion as of Feb 15,” he said.

The prime minister told the international investment community that there was no better time than now to look at Malaysia as a top-tier investment and capital destination.

“Malaysia is a talented nation, with ambitious people, comprising 33 million-plus Malaysians of Malay, Chinese, Indian, Sabahan, Sarawakian and many other ethnicities, religions, minorities and communities, working together for a shared purpose: a future of peace and prosperity, and where Malaysia’s growing prosperity can be used to do more, for more, on the world stage,” he added.

Anwar’s speech came at the conclusion of his official visit to Australia.

The Invest Asean conference was hosted by Macquarie, Australia’s largest and most diversified financial group, and Asean Exchanges in collaboration with the stock exchanges of leading Southeast Asian economies.

Source: NST

Anwar: Malaysia a top-tier investment, capital destination