Daniel Leong

MITI to execute the implementation of the Green Investment Strategy to attract green investment to Malaysia and catalyse sustainable socio-economic development.

6

1 Comment

I was in Parliament today for Question Time to reply on behalf of MITI. Simpang Renggam MP Dato' Hasni Mohammad asked about the government's plan to tackle the impact of China's overcapacity on our local industry players. I explained that MITI is the sole authority in the country empowered under the Countervailing and Anti-Dumping Duties Act 1993 (Act 504) to conduct investigations and introduce trade remedies such as anti-dumping duties, countervailing duties, and safeguard against foreign manufacturers or exporters causing harm to local industries, including the SMEs in Malaysia. The government is currently conducting anti-dumping investigations on four iron and steel, and plastic products, potentially caused by overcapacity in China's manufacturing industry. It is interesting (and alarming) to note that if all approved steel mill projects start running as planned, the entire Southeast Asia region will see a total steel production capacity of 151.9 million metric tonnes by 2026, more than double of the 75.2 million metric tonnes figure of 2021. The government's approach to managing unfair trade practices must be up to date and effective in ensuring a healthy trade ecosystem. As such, MITI is also working on amendments to Act 504 to enhance the process.

59

2 Comments

ISKANDAR PUTERI (Nov 27): Forest City's Special Financial Zone (SFZ) will prioritise two key sectors: banking and financial services, alongside logistics services, global service centres, and transfer services. Johor Menteri Besar Datuk Onn Hafiz Ghazi stated that services for the first sector will be provided in Pulau Satu, Forest City, while the second sector will be developed in the mainland area of the city. "Forest City benefits from the unique advantage of being a duty-free island within the SFZ. It includes two areas — Pulau Satu and the mainland area — each offering conditional incentives tailored to specific sectors," he said. Onn Hafiz made these remarks in response to a question from Fauziah Misri (Barisan Nasional-Penawar) regarding the status and development of the SFZ at the Johor State Legislative Assembly meeting in Kota Iskandar on Wednesday. Onn Hafiz, who also serves as the Machap assemblyman, highlighted nine incentives for Pulau Satu, including a concessional corporate tax rate of between 0% and 5%, compared with the current rate of 24%. Additionally, Pulau Satu will be the first location in the country to offer a 0% tax rate for family offices for 20 years. For the mainland area, he outlined two key incentives: a 100% investment tax allowance for five years, reducing statutory income by up to 100% for the logistics service sector; and a 5% tax rate for up to 20 years for global service centres and transfer services. Onn Hafiz also noted that several local and international financial institutions, as well as logistics industry players, had expressed interest in investing in the SFZ. The state government is fully committed to supporting the SFZ initiative, as it will significantly benefit Johor's economic growth and provide high-income job opportunities for the people," he said. In response to a question from Chiong Sen Sern (Pakatan Harapan-Bukit Batu) regarding measures to prevent counterfeit products from entering the SFZ's logistics sector, Onn Hafiz outlined several strategies. These include the establishment of a new customs complex in Forest City, equipped with advanced technologies such as artificial intelligence-based baggage scanning machines and a facial recognition system. On Aug 25, 2023, Prime Minister Datuk Seri Anwar Ibrahim announced the formation of the SFZ in Forest City, along with several incentives designed to stimulate economic activity in Johor and its surrounding areas.

4

Two things that matter in an organization today. HR and IT. People are the strategic resources in an organization while Technology such as IT can be used to improve productivity and change. Leaders today have to master HR and IT. I heard Mr Piyush Gupta gave this insightful presentation in the recent World HR Congress in Singapore about the DBS bank. #HR #IT #Leadership #Culture

27

3 Comments

Can entrepreneurs successfully perform the functions of civil servants and politicians? This central question is the inverse of Dr Goh's point in 1972. My preliminary answer is: No. The reason: There will be just too many conflicts of interest. The entrepreneur seeks the highest return on their invested capital; the government seeks to create a fair (and safe) marketplace for entrepreneurs. These are two fundamentally different aims. When you mix the two liberally, you get cronyism, corruption and nepotism. The insidious thing is that you can enjoy unbelievable growth in the short run. But, in the long run, you risk destroying your country.

34

29 Comments

Maybank's InvestASEAN 2024 conference titled "FDIs: What Matters" The Penang state government sees the Maybank InvestASEAN 2024 conference as an opportunity to highlight how the Mutiara LRT project and Penang Silicon Island are key drivers for attracting foreign direct investments (FDIs). Penang state government stressed upon the importance of Penang's LRT project (Mutiara LRT) as a crucial game changer in connecting Penang Island and the mainland. This will not only improve mobility of Penangites but also serves as one of the catalysts to the State's economic growth. The State Government is also impetuous in expanding its Bayan Lepas Free Industrial Zone through the establishment of high-tech Green Tech Park on Penang Silicon Island. Through Penang Silicon Island, the State Government anticipates a projected gross domestic product (GDP) contribution of RM1.1 trillion, attracting investments totaling RM74.7 billion and creating 220,000 job opportunities. Overall, it seems like Penang is trying to position itself as a well-connected and innovative state, making it a favourable destination for foreign investments.

2

@Karen Strandgaard: this resonates with me on so many levels. The “perception is reality” approach has been invaluable in my work as a PPI rep/ advocate, especially when navigating feedback that can be hard to both hear and deliver to others. The challenge often comes when those receiving the feedback take responses personally, which can shift focus away from the issue itself and onto the person delivering it. By depersonalizing feedback and treating it as just one valid perspective among many, It is much easier to zero in on the actual issue and work toward a collective solution. This approach also encourages others to stay focused on the problem at hand, rather than getting sidetracked by personal feelings or knee-jerk defensiveness. It’s such a powerful way to create more open, constructive dialogues, and engage with perspectives that don’t align perfectly with your own, but nonetheless are valuable. Thank you for articulating this so well and I hope in a world where personal sensitivities and egos can sometimes get in the way of not only growth and innovation, but relationships and building powerful and co-dependent network opportunities for success - this is heard.

4

1 Comment

Malaysia’s government is bracing for a public backlash as it commits to rolling back petrol subsidies in mid-2025, a politically sensitive and long-delayed pledge that’s key to convincing investors it’s serious about fiscal reform. The government is mulling a two-tier price system for the country’s most-widely used fuel, so that the wealthiest 15% pay the market rate for RON95 petrol while the rest enjoy the current subsidized price, Economy Minister Rafizi Ramli said in an interview on Saturday. That’s expected to save the government 8 billion ringgit ($1.9 billion) a year — though it could also trigger second-round price hikes and lead to a surge in inflation, he said.

21

100 years of the Causeway The Johor-Singapore Causeway opened a century ago today! My state constituency of Perling is adjacent to the Causeway while the Second Link is located within my parliamentary constituency of Iskandar Puteri, keeping me constantly thinking about the future of economic activities and human stories between Malaysia and Singapore. On 9 May, my friend Dr Francis Hutchison of ISEAS-Yusof-Ishak Institute invited me to speak at a conference organised by Asia Research Institute (ARI), National University of Singapore with the title “The Johor-Singapore Causeway: Celebrating and Conceptualizing its Centenary”. I was especially honoured to find that Professor Wang Gungwu, someone whom I have immense respect for, was seated in the audience at this fascinating event. In my speech, I shared my view that since taking office, Prime Minister Datuk Seri Anwar Ibrahim has put collaboration as the central feature of the Malaysia-Singapore relations, paving the way for initiatives such as the Johor-Singapore Special Economic Zone which is being negotiated now. The Yang di-Pertuan Agong Sultan Ibrahim is known for his support for closer ties between the two countries. Trust between the leadership is important. As far as economics is concerned, gone was the hyper-globalisation period when Singapore was the financial centre and China was almost the only consequential factory for the world. Post-Covid-19 with other geopolitical challenges, corporations are now looking for shorter and more secure supply chains. Collaborations between the two sides of the Causeway to ensure a safe and secure supply chain is what matters today. For seamless mobility, beyond the Causeway and the Second Link, as well as the Johor Bahru-Singapore Rapid Transit System (RTS) that will be operational in 2027, more physical connections should be explored, such as ferries from Puteri Harbour and Forest City to Tuas, and other potential new linkages should be considered. In the long run, to make collaboration sustainable, it is the ordinary people on both sides of the Causeway that must benefit. More jobs at a much higher pay and more economic activities at a much higher level of complexity and sophistication must be created in Johor so that Malaysians will no longer have to work as cheap labour in Singapore.

145

3 Comments

Insightful.. Rethinking ‘Who’s Rich?’ in Malaysia: Lines and Meanings. The 2025 Budget and the introduction of the T15 (top 15 per cent) classification has ignited a debate over the accuracy and relevance of the Bottom 40 (B40), Middle 40 (M40), and Top 20 (T20) income classifications. A new study by Khazanah Research Institute (KRI) has revealed that a division of income groups based on the categories of bottom 20% (B20), middle 50% (M50), and top 30% (T30) is a better reflection of economic realities. The KRI researchers, Dr Suraya Ismail and Gregory Ho have proposed a new approach to classifying Malaysia's population, one based on actual spending patterns, showing the structure of expenditure from basic needs to more complex goods and services. B20 referred to households that are focused on basic necessities such as food, housing, and clothing. M50 refers to economically unstable households navigating trade-offs between essential and aspirational goods. T30 meanwhile consists of households that show aspirational spending patterns indicative of the middle class, but which are not necessarily wealthy according to global standards. Policies ensuring access to affordable housing, food, healthcare, and other basic necessities are key to safeguarding their well-being. The definition and classification of the “T15” income group for the provision of government aid and subsidies. A decision is expected in the first quarter of next year. As the economy continues to evolve, it becomes clear that the existing classification system needs rethinking. The lines between the different income groups are not as clear-cut as they seem, and a more nuanced approach may be necessary to ensure that the needs of all households are adequately addressed.

13

1 Comment

Entrepreneur Development and Cooperatives Ministry and Suruhanjaya Koperasi Malaysia (SKM) will set up engagement and collaboration with related ministries and agencies to ensure that cooperatives are recognised as business entities, similar to micro, small and medium enterprises (MSMEs). Its minister Datuk Ewon Benedick said currently, there are legal restrictions preventing cooperatives from venturing into certain business sectors unless they establish subsidiaries under the Companies Commission of Malaysia (SSM). https://lnkd.in/gKqwwV9G

8

1 Comment

MIDA'S COMMITMENT TO INVESTORS - A STRONGER, MORE UNIFIED INVESTMENT LANDSCAPE Kuala Lumpur, 18 December 2024 – The Domestic Investment Division, MIDA has successfully organised MIDA Networking Dinner with Prominent Stakeholders. In an unprecedented display of economic unity,the Malaysian Investment Development Authority (MIDA) hosted a landmark gathering of the nation's most influential investment ecosystem partners at The Majestic Hotel. The exclusive event, marking Chief Executive Officer (CEO) Datuk Sikh Shamsul Ibrahim Sikh Abdul Majid’s first major convening since his April appointmDi ent, brought together an elite coalitAion of government agencies, state bodies, economic corridors, diplomatic missions, financial institutions, strategic partners and consulting powerhouses. The event showcased MIDA's evolution into a dynamic investment facilitator, positioning itself as a strategic ally for investors navigating Malaysia's diverse economic landscape. Distinguished attendees engaged in discussions about transformative investment opportunities, sustainable development initiatives, and innovative approaches to economic growth."Malaysia's success is a team effort," said Datuk Sikh Shamsul Ibrahim Sikh Abdul Majid, CEO of MIDA. "It's about partnerships, creating jobs, and building a legacy of growth that benefits everyone – Malaysians and investors. MIDA is committed to supporting investors every step of the way, acting as their biggest supporter, troubleshooter, and sounding board."The evening revealed impressive figures that underscore Malaysia's growing economic momentum. Investment approvals have soared to RM254.7 billion in the first nine months of 2024, marking a robust 10.7% year-on-year increase. This surge in investment is projected to create more than 159,000 high-value job opportunities across various sectors, significantly boosting the nation's employment landscape."Our vision extends beyond traditional investment attraction," emphasised Datuk Sikh Shamsul Ibrahim. "We're cultivating an ecosystem where high-impact, future-ready investments can thrive. This requires the synchronised efforts of every partner present here tonight."Looking ahead, MIDA unveiled its strategic focus on attracting investments that align with Malaysia's New Industrial Master Plan (NIMP) 2030 and sustainable development goals. Under this transformative blueprint, MIDA will prioritise investments in advanced technology sectors, digital transformation, and sustainable industries. The authority reaffirmed its commitment to facilitating high-impact investments that create substantial economic multiplier effects, drive innovation, high paying jobs for locals and advance technological capabilities across local supply chains. The high-level networking dinner concluded with a clear message - Malaysia's investment ecosystem is more unified and dynamic than ever.

55

2 Comments

[Pacers: A stretch, or a limitation?] This year's 10km charity run that my company participated in reminded me of a realisation that I had mid-way through last year's run. Back then, I had no pre-determined target pace nor did training for distance runs and just winged it based on then level of fitness. I noticed pacers running at different speeds, each marked by balloons and bibs displaying their target pace. Runners who wanted to hit those times just needed to gather around them, knowing that by sticking with the pacer, they’d achieve that pace. Simple and effective. Whenever I spotted a pacer ahead within sight, I would try to push myself to catch up. If i could reach and stay with them, I’d secure that pace. But as the race went on, I realized I was comfortable at that pace - maybe too comfortable. Can I push harder and sustain a faster pace? So, I went ahead aiming to catch the next pacer in front and it became a challenge. Can I reach the next pacing group? If yes, keep up. If no, drop back. And if possible, surpass this and find the next. Rinse and repeat without gassing out. Following a pacer can pull us out of your comfort zone, but it can also hold us within it. As leaders, are we operating at a pace that stretches our team’s potential, or are we inadvertently limiting their growth? Are we the force multiplier, or the limiting factor? I often try to check if I am the limitation. Because the leader is the common denominator of a team. Some unideal outcomes may not be my fault, but it is my responsibility. We all know the answer lies in a balance of unknown specifications, thus it is more art than science. May we have the wisdom to know better.

18

Paving the Future of ASEAN’s Energy Collaboration As ASEAN faces the pressing energy trilemma—balancing energy security, affordability, and sustainability—there's a pressing need for greater collaboration. During my recent courtesy visit to the ASEAN Center for Energy (ACE), I had the privilege of meeting with Pak Beni Suryadi Acting Executive Director, to discuss how ASEAN Council on Petroleum (ASCOPE) can actively contribute to ASEAN’s Plan of Action for Energy Cooperation (APAEC). The conversation centered around how ASCOPE can enhance its collaboration with ASEAN across key areas like exploration & production, gas advocacy, clean energy, and policy research & capability building. So, how can ASCOPE make a meaningful impact in ASEAN’s energy landscape? Strengthening exploration & production efforts while advancing CCS/CCUS technologies. Promoting gas infrastructure and LNG trade through the Trans ASEAN Gas Pipeline and APAEC Post-2025. Accelerating the energy transition by focusing on geothermal, hydrogen, and clean funding mechanisms. The work of ASCOPE’s four task forces is central to driving these changes: Exploration & Production, Gas Advocacy, Clean Energy, and Policy, Research & Capability Building. It is a privilege to lead these efforts as we work together to ensure a sustainable and prosperous energy future for ASEAN.

180

1 Comment

Glad to know that banks are committing more funding to help Malaysian businesses to transition to ESG practices, by: • greening the value chain: providing technical training and tools to SMEs to report carbon emissions; • standardising due diligence: helping businesses with the financing applications; • providing a climate data catalogue: listing granular data for businesses. According to BNM, the financial industry allocated RM240 billion to ESG last year, compared with RM110 billion in 2022. #esg #sustainability

1

3 Key Lessons from Dato' Khairussaleh Ramli, Maybank President and Group CEO at the One Young World ASEAN Leadership Forum 2024 During the forum, I was privileged to hear from the President and CEO of Maybank, who imparted three invaluable lessons that resonate deeply with me: 1. Define and Live Your Purpose: Understanding your 'why' is crucial. It guides your actions and fuels your passion. 2. Work Hard and Stay Resilient - Know Your Way: Perseverance is key. Stay focused on your path, and don’t let obstacles deter you. 3. Build Your Network: Your connections are your greatest assets. Cultivate and nurture relationships that support your growth. These lessons are not only essential for personal development but are also foundational for creating meaningful impact in our communities. #OYWASEAN #ASEANImpact #Maybank #Leadership #Innovation #SustainableFuture

29

4 Comments

Sarawak – new economic Power-house* A key development in 1H24 was the appointment of state-owned company, Petroleum Sarawak Bhd (Petros) in Feb 2024 as Sarawak's sole gas aggregator. Elsewhere, after taking on 4.8 per cent equity holding in Affin Bank Bhd in 2023, the Sarawak state is poised to take on a larger stake, which could make Affin Bank a dominant bank in Malaysia. Maybank IB said this will effectively give Sarawak full control over the distribution of gas resources in the state, in-line with Sarawak's 10-year Gas Roadmap. It also said that a larger stake in a banking group should help mobilise more financing to industrialise and develop the state over the longer term. In addition, Maybank IB said Sarawak remains committed to its hydrogen economy aspiration – the state is poised to be a commercial hydrogen producer by 2027, according to its Premier. "In November 2020, Petroliam Nasional Bhd (Petronas) and Sarawak Energy signed an MoU to explore the commercial production of green hydrogen and its supply chain in Asia - this would position Sarawak as a hub for the hydrogen value chain," it added.

4

1 Comment

Sarawak’s rapid growth, lofty plans should not be seen as desire for independence: Premier Abang Johari Led by Premier Abang Johari Openg, Sarawak is making moves to cement its status as one of Malaysia’s most important states and has likened itself to the economic powerhouse region of Bavaria in Germany. Summary: Under the leadership of Premier Abang Johari Openg, Sarawak is experiencing rapid growth and implementing ambitious plans to enhance its status within Malaysia. Drawing parallels to Bavaria in Germany—a region known for its economic strength—Sarawak is asserting itself as an economic powerhouse. The state has reclaimed assets like Bintulu Port from the federal government, acquired regional airline MASwings from Malaysia Airlines, and is in the final stages of securing a controlling stake in Affin Bank. These strategic moves aim to boost Sarawak's infrastructure and economic ecosystem, attracting more investment and fostering development. A significant initiative is the plan to offer free tertiary education to Sarawakians in selected science and technical fields at state-owned universities starting in 2026. Premier Abang Johari believes that investing in education is crucial for developing quality human resources and lifting people out of poverty. By focusing on fields like aerospace, semiconductor technology, and green energy, the state aims to prepare its workforce for industries that will drive future economic growth. Sarawak is also positioning itself as a renewable energy hub. With a 70% hydro and 30% gas mix for power generation, the state has achieved carbon-negative status. Plans are underway to install floating solar panels on its dams, potentially supplying up to 15 gigawatts of renewable energy by 2035. Sarawak has been supplying electricity to Indonesia's West Kalimantan and aims to extend this to Sabah, Brunei, and Singapore, contributing to a potential Southeast Asian electricity grid. The Sarawak-Singapore electricity supply interconnection project is expected to be operational by 2031. Despite these significant developments and a push for greater autonomy as outlined in the Malaysia Agreement 1963, Premier Abang Johari emphasizes that Sarawak's ambitions should not be misconstrued as a desire for independence. He dismisses calls by some activists for the state to exit Malaysia, insisting that the focus is on strengthening the economy within the Malaysian federation. He downplays the notion of Sarawak being a "kingmaker" in federal politics, instead likening the state's role to that of Bavaria in Germany—strong and prosperous, yet integral to the nation. #SarawakDevelopment #PremierAbangJohari #EconomicPowerhouse #RenewableEnergyHub #FreeTertiaryEducation #MalaysiaAgreement1963 #InfrastructureExpansion #BorneoEconomicGrowth #AutonomyWithinMalaysia #GPSCoalition https://lnkd.in/gbewpmZg

7