Singapore, Nov 20- Singapore businesses have been urged to seize opportunities, explore mutually beneficial cross-border collaboration and consider deepening their business penetration in Malaysia.
In his welcoming address at the Malaysia Business Forum in the republic, Wednesday, Singapore’s Minister for Trade and Industry Lim Hng Kiang said: “Malaysia has long been a key destination for Singaporean companies planning to expand overseas.
“In recent years, Malaysia has made important strides in enhancing its business environment and competitiveness.
“Malaysia’s Economic Transformation Programme (ETP) launched in 2010, has generated impressive results.
“As of December last year, 149 projects with a total committed investment of RM211.3 billion had been announced. The country has also made good progress in liberalising 15 out of 17 services sub-sectors and embarked on a series of business-friendly reforms,” he said.
Lim noted that as a result, private investment in the country had tripled since the launch of the ETP to reach RM139.5 billion in 2012.
He said the ETP had strengthened Malaysia’s domestic resilience, amidst external uncertainties and boosted private sector confidence.
“The annual Malaysia Business Forum continues to be an important platform for businesses to keep abreast of latest developments and opportunities in Malaysia, network and explore potential collaborations.
“Today’s solid turnout reflects strong business interest in Malaysia and the potential for our companies to continue reaping cross-border synergies,” he said.
He noted that Malaysia’s commitment to economic transformation had garnered international recognition and according to the latest World Bank Ease of Doing Business Report 2014, the country had surged to 6th spot from 12th previously among 189 economies.
Malaysia has also made steady progress in the World Economic Forum Global Competitiveness Report in attaining 24th spot amongst the 148 countries.
“These achievements are a testament to Prime Minister Datuk Seri Najib Razak’s vision and stewardship in generating economic growth and improving government delivery,” Lim said.
According to the minister, the recently announced Budget 2014 also underscored Malaysia’s commitment to tackling its fiscal deficit and federal debt.
“Not only does this send the right signal to businesses, it also represents an important step towards safeguarding the country’s long-term economic stability,” he said.
Touching on Malaysia-Singapore ties, Lim said both countries continued to enjoy robust economic ties with strong trade and investment links.
“I am pleased to share that in 2012, Malaysia continued to be Singapore’s top trading partner. Singapore’s trade with Malaysia grew 1.2 per cent year-on-year to reach S$113.4 billion (RM283.5 billion).
“Investment linkages are also healthy. According to the Malaysian Investment Development Authority (MIDA), Singapore was the third largest investor in Malaysia’s manufacturing sector in 2012, with investments reaching RM2.2 billion.
“The close people-to-people ties have also bolstered the strong economic relationship,” he said.
On Iskandar Malaysia (IM), Lim said it is an important symbol of bilateral economic activity, which continues to make substantial progress.
IM has attracted close to RM129 billion in investment commitments as at October this year and Singapore emerged the top foreign investor within it.
As of June 2013, Singapore’s investments in IM accounted for 16 per cent of the total foreign investment.
Lim said the proximity between Singapore and IM allowed investors to position their full value chain of business and manufacturing functions across both locations.
“This helps reduce business costs and improves efficiency. I encourage businesses to strengthen investment linkages and leverage on both countries’ complementary strengths.
“With the right mix of industries and enhanced connectivity, there is potential for both countries to develop seamless economic space. Singapore companies have consistently expressed keen interest in a range of industries in Malaysia, including the manufacturing and services sectors.
“I encourage our companies to take advantage of Malaysia’s achievements and deepen their presence in the country,” he added.
The half-day business forum hosted by MIDA in Singapore is to brief businesses and investors on the latest policy measures taken by Malaysia, mainly in the investment and economic fronts.
The event is being held in conjunction with the trade and investment mission to Singapore led by Malaysia’s Minister of International Trade and Industry, Datuk Seri Mustapa Mohamed.
Besides Mustapa who delivered a keynote address, Minister in Prime Minister’s Department Datuk Seri Abdul Wahid Omar, will also speak at the event.
–Bernama
