Wealthy Chinese rise to 1.6mln in past decade, up nearly 9 times – survey

Posted on : 20-06-2017 | By : sabah today | In : International Business

The number of high net worth individuals (HNWIs) in China has risen nearly 9 times since a decade ago, a private survey released on Tuesday showed, as strong growth in the world’s second-largest economy has spurred wealth creation.

Chinese with at least 10 million yuan ($1.47 million) of investable assets hit 1.6 million in 2016, up from 180,000 in 2006, according to the 2017 China Private Wealth Report by Bain Consulting and China Merchants Bank. The overall value of the private wealth market increased to 165 trillion yuan in 2016, growing at 21 percent annually in 2014-2016.

But the growth rate of China’s private wealth market is expected to decline to 14 percent in 2017 to a total size of 188 trillion yuan.

Around 120,000 HNWIs had at least 100 million yuan worth of investable assets, up from less than 10,000 people in 2006.

The percentage of HNWIs with overseas investment increased to 56 percent in 2017, up from 19 percent in 2011, but the overall percentage of assets invested overseas has stabilized since 2013.

The top five destinations for overseas investment were Hong Kong, the United States, Australia and Canada although Hong Kong’s popularity fell 18 percent and the United States dropped 3 percent from 2015 to 2017.

Respondents said their top three reasons for investing overseas were to diversify investment risks, to capture market opportunities of overseas investments and to migrate.

Sixty-three percent of rich Chinese rely on financial service providers to manage their domestic financial assets and among them, around half use private banking services provided by commercial banks.

China’s wealthy are concentrated in major cities and coastal areas, the survey found, but now 22 Chinese provinces have at least 20,000 HNWIs. Most respondents said their top priorities. were “wealth preservation” and “wealth inheritance”, in contrast to 2009 when nearly half of HNWIs surveyed said “wealth creation” or “quality of life” were their main goals.

($1 = 6.8166 Chinese yuan)

(Reporting by Sue-Lin Wong and Shu Zhang; Editing by Jacqueline Wong)

SOURCE:- REUTERS

First flying car set for take off in 2018

Posted on : 19-06-2017 | By : sabah today | In : International Business

KUCHING: CIMB Bank Bhd (CIMB Bank) and Lazada Malaysia have entered into a strategic partnership to introduce an exciting Mastercard prepaid card which can be approved online, making it the fastest and most convenient prepaid card for the digitally savvy shopper.

The card offers great cash rebates as well as merchant discounts to reward customers when they shop at Lazada, the number one online retailer in Malaysia and Southeast Asia.

The card is available online on CIMB Clicks and the Lazada website. Upon the issuance of the virtual 16-digit card number, customers can start shopping almost right away. Subsequently, they will be issued with a physical CIMB Lazada Prepaid Mastercard for offline spending and banking facilities in Malaysia, including ATM cash withdrawals and internet/mobile banking.

Chief executive officer, Group Consumer Banking, CIMB Group Samir Gupta said, “We are proud to partner with Lazada and Mastercard on this fully digital co-brand card, to bring unique benefits and great convenience to our customers.

“The online shopping segment in Malaysia and Southeast Asia is expanding rapidly and we are excited to contribute to this growth story. This fits into our overall digital strategy to lead in the e-commerce payment ecosystem, as we go the extra mile to enhance our customers’ experience by making it easier, more efficient and more secure for them to shop online.”

With this card, customers will enjoy a one per cent cash rebate, capped at RM25 per month for online Lazada purchases at www.lazada.com.my. Other non-Lazada purchases are eligible for a 0.50 per cent cash rebate up to RM25 per month.

In addition, from now until December 5, 2017, customers can enjoy the first-year annual fee waiver and an additional 15 per cent bonus cash rebate, capped at RM25 per month for purchases from Lazada.

“We are thrilled to embark on this partnership with CIMB Bank in launching this virtual co brand Mastercard. This collaboration ties in with Lazada’s commitment to continuously improve consumers’ shopping experience online through exceptional customer service, a wider variety of products and a range of payment solutions.

“With Lazada’s Riang Ria Raya campaign happening from now until 30 June, this card would enable consumers to shop for their Raya needs while enjoying a secure and hassle free experience on our platform,” said Hans-Peter Ressel, CEO of Lazada Malaysia.

“The Mastercard Online Shopping Study 2017 showed that eight in 10 consumers across Asia Pacific intend to make at least one online purchase in the first half of this year.

“The continued interest and optimistic online shopping attitude showcases the potential innovative e-payments have to support the burgeoning growth of the e-commerce industry.

“The CIMB Lazada Prepaid Mastercard has a strong and relevant customer proposition, combining the convenience, safety and efficiency that consumers value with a range of unique benefits that match their lifestyle demands,” added Perry Ong, country manager, Malaysia and Brunei, Mastercard.

The CIMB Lazada Prepaid Mastercard is exclusively available to all existing CIMB customers. CIMB customers who have yet to have access to CIMB Clicks can simply logon to www.cimbclicks.com.my to register for CIMB Clicks first prior to applying online for the CIMB Lazada Prepaid Mastercard.

SOURCE:- THE BORNEO POST

Alibaba’s Tmal World targeting South-East Asia mart

Posted on : 14-06-2017 | By : sabah today | In : International Business

HANGZHOU: Alibaba Group’s online shopping platform for China’s merchandise, Tmall World, is targeting the sizeable 500 million population from South-East Asia.

Director Tmall World, Elaine Hu, said in South-East Asia, Malaysia is experiencing rapid growth in terms of new users due to good product offerings, promotions and logistics.

“We are focussing on localised products such as fashion and accessories which are popular in Malaysia,” she told the Malaysian media on a site visit to Alibaba’s Xixi Campus yesterday.

Hu said efforts had been made to improve on delivery time for Malaysian consumers with a 20 per cent reduction in delivery time since last year.

“However, we discovered that delivery is not the only issue, as pricing is also another important factor,” she said.

Tmall World, Hu said, worked with local partners in Malaysia to handle last-mile delivery and based on feedback, consumers were satisfied with the logistics services.

“Traditional dresses and decorations are also popular in Malaysia,” she said.

To attract the large Malaysian consumers, she said, products offerings were also extended to discounts on logistics and products.

Along with the mid-year mega sale from June 18 to June 20, 2017, she said, Tmall World, with other Alibaba’s online shopping channels, were also rolling out new sea freight option for Malaysian market with lower courier fee ranging from RM6 per kilogram (kg), excluding the six per cent Goods and Services Tax charges.

“This offer is applicable for individual consignments of up to 100 kgs each or consolidated consignments of up to 200 kgs each,” she said.

SOURCE: Bernama

Bank Mandiri (Indonesia’s leading commercial bank) to open first branch in Malaysia

Posted on : 14-06-2017 | By : sabah today | In : International Business

JAKARTA: Bank Mandiri, Indonesia’s leading commercial bank, will be opening its first branch in Malaysia within the next few months.

According to a report in Indonesian newspaper, Koran Tempo, the Malaysian government, via Bank Negara Malaysia, had given the green light to Bank Mandiri’s ‘Qualified Asean Bank’ (QAB) status application recently.

The newspaper quoted Bank Mandiri’s chief executive officer, Kartika Wirjoatmodjo, as saying that the bank is currently finalising its proposals and that it was expecting to receive its operating licence by August this year.

He said Bank Mandiri had allocated RM300 million to fund the opening of its branch in Malaysia, adding that the bank would be injecting its capital in three stages, with an initial commitment of around RM100 million or between US$50 million and US$60 million (US$1=RM4.26).

Bank Mandiri was established by the Indonesian Ministry of Finance in 1998, in which the Indonesian government retained a 60 per cent stake, while the balance are owned by local and foreign shareholders.

SOURCE: The Borneo Post (Sabah)

Economic pundits forecast 2.9 pct global economic growth in 2017

Posted on : 14-06-2017 | By : sabah today | In : International Business

NEW YORK: Economists at the New York-based Conference Board, a global, independent business membership and research association, forecast that the current cyclical upswing and recovery in productivity will raise global growth to 2.9 per cent in 2017, up from 2.5 per cent last year.

In its latest Global Economic Outlook report released recently, the Conference Board, which won the US Consensus Economics 2016 Forecast Accuracy Award, said that the Leading Economic Index for the global economy showed a widespread strengthening of leading indicators around the world, especially in emerging markets and, particularly, in India and China.

While most of 2015 and 2016 showed a weakening in business cycle dynamics with the recession risk far greater during the late 2015 and early 2016, it said the recent turnaround reflected a confluence of positive forces.

“Strong consumer and business confidence, strengthening stock markets, a turnaround in the global industrial cycle, and a recent rise in the rate of global trade all point to strengthening cycle dynamics,” explained Bart van Ark, chief economist at the Conference Board.

But van Ark also warned that recovery supported by a pro-cyclical improvement in productivity, could die out if businesses did not accelerate investment.

He pointed out that medium term challenges manifested in the slowing labour supply and the sluggish pace at which new technologies were translating themselves into a higher growth potential for the global economy.

The latest estimates of monthly leading economic indicators and quarterly gross domestic product (GDP) growth indicated that rising confidence among business and consumers in recent quarters was finally translating into some positive impact on the “real economy”, van Ark noted.

He envisaged the mature economies, mainly in the west and Japan, would show a “small improvement” rising from 2.0 per cent in 2016 to 2.1 per cent in 2017, but cautioned that the cyclical dynamics which had helped the Euro Area outlook, had weakened in the UK even before last year’s disruptive Brexit vote.

The UK growth is projected at 1.5 per cent for 2017 but the present economic uncertainty and Brexit strategy point to increasing risks in that outlook.

Among emerging economies, of special interest was the economic performance of India and China, with India’s economy rebounding well after the demonetisation in late 2016 while China beat expectations with a fairly strong first quarter, benefiting from the strengthening of the global industrial cycle.

However, future growth for China remained at risk as fiscal and monetary policy becomes less supportive, which in turn may contribute to a slowing environment for business investment and real estate,” van Ark observed.

The Conference Board lowered its projections for the Middle East and Turkey which face increased political uncertainties, enhancing the vulnerability of some of the region’s major economies, including Saudi Arabia and Egypt.

The Conference Board’s economists also touched on major issues of global interest.

SOURCE: The Borneo Post (Sabah)

Malaysia to have Tmall World (Alibaba Group)

Posted on : 13-06-2017 | By : sabah today | In : International Business

Chinese e-commerce giant Alibaba Group Holding Ltd (BABA.N) on Monday said it is launching new sales channels in Singapore, Malaysia, Hong Kong and Taiwan as China’s deep-pocketed e-commerce firms vie for new users in the region.

The new service, Tmall World, will allow overseas Chinese users to buy goods from Alibaba’s Tmall brand-to-consumer retail site, the company said in a statement.

“Alibaba will provide end-to-end solutions including logistics, payment, and localization support catering to each local market’s needs,” the statement said.

The firm plans on extending the Tmall World network to other countries in the future.

Alibaba has invested heavily in Southeast Asia, seeking to meet lofty user acquisition goals as the Chinese retail market shows signs of maturing.

Alibaba chairman Jack Ma told investors on Friday the company is aiming to have 2 billion customers within 15 years, with overseas customers accounting for 1.2 billion of those users.

Alibaba had roughly 450 million active annual buyers on its China marketplaces in the year ended March 31.

In 2016 it agreed to invest $1 billion in Southeast Asian retailer Lazada Group, and launching a service that allows local users to purchase a selection of Tmall goods.

The latest sales channels take aim at the 100 million Chinese citizens living overseas, and users must have an active Chinese payment method to purchase goods.

It comes as Alibaba payment affiliate Ant Financial is also expanding heavily in the region through investments and joint ventures.

In the past year the finance firm has sealed deals in Thailand, Indonesia, South Korea, Hong Kong and India, as well as rebranding Lazada Group’s payment arm Hello Pay under Ant Financial’s own Alipay brand.

It also comes as rival Chinese e-commerce firm JD.com Inc (JD.O) is expanding operations in Southeast Asia.

On Friday JD.com Chief Executive Richard Liu told Reuters that the firm plans to launch services in Thailand by the end of the year, building on existing activities in Indonesia.

SOURCE:- REUTERS

Malaysia, Kazakhstan ink MoU cooperation in green technology

Posted on : 12-06-2017 | By : sabah today | In : International Business

ASTANA, KAZAKHSTAN: Malaysia and Kazakhstan today signed a memorandum of understanding (MoU) to increase bilateral trade and cooperation in green technology and energy.

The MoU will see both countries identifying ways of implementing programmes or projects in areas of green technology, including renewable energy, green buildings, smart cities and carbon emission mitigation.

The MoU was signed by Malaysia’s Energy, Green Technology and Water Minister Datuk Seri Maximus Johnity Ongkili and Kazakhstan’s Vice-Minister of Energy, Gani Sadibekov at the Malaysia Energy Forum held here today, in conjunction with Astana Expo 2017.

The energy, green technology and water ministry in a statement indicated that Malaysia aimed to achieve RM1 billion in trade, investments and cooperation through its participation at Astana Expo 2017 from June 10 until Sept 10.

“The MoU will certainly help to achieve this target,” said the statement.

In 2015, the volume of trade between Malaysia and Kazakhstan was about RM429.5 million (USD100 million).

However, the figure dropped slightly to RM360.7 million (USD84 million) last year as a result of foreign exchange fluctuations.

Themed, ‘Energy of the Future’, Astana Expo 2017 is an internationally specialised exhibition aimed to inspire global debate between countries, non-governmental organisations, companies and the public regarding the decisive impact that energy management has on the lives of the people and planet.

SOURCE—BERNAMA

Malaysia offers vast opportunities for foreign franchise companies

Posted on : 01-06-2017 | By : sabah today | In : International Business

HO CHI MINH CITY— Malaysia offers vast opportunities for franchise companies from abroad, particularly Asean countries, to expand into the local market.

Domestic Trade, Cooperatives and Consumerism Minister Datuk Hamzah Zainuddin said Malaysia has specific legislation to regulate the franchise industry in order to spur its growth.

“Malaysia leads the franchise industry in the region as we are armed with the Franchise Act 1998, and has an inclusive development plan to support the industry.

“Not many countries have such laws to regulate the franchise industry like Malaysia,” he said during the Malaysia-Vietnam business forum in conjunction with the ninth Vietnam International Retail & Franchise Show here today.

Hence, Malaysia is willing to share its experience in the franchise industry development with Vietnam, he said, adding that likewise Vietnam should have similar legislation to enable both countries to make forays into the Asean market.

He said Malaysia has a dedicated agency, namely Perbadanan Nasional Berhad to provide advice and financial assistance to franchisors and master franchisees to strengthen their capabilities.

Hamzah later opened the Malaysia Franchise Pavilion which featured 12 Malaysian home-grown franchisors, namely Global Art, Poney, House of Healin, Place2stay, Old Town White Coffee, The Manhattan Fish Market, Dapur Penyet, Bangi Kopitiam, Constant, Ibu Sayang, Q-dees, and GTC.

Seven Malaysian franchise brands, namely Bonia, Gintell, Global Art, U C Mas, Tomei, Lovely Lace, and GTC have already made their presence in Vietnam, boasting 143 outlets between them.

Hamzah was accompanied by Domestic Trade, Cooperatives and Consumerism Ministry Secretary-General Datuk Seri Jamil Salleh, PNS Managing Director Datuk Syed Kamarulzaman Syed Zainol Khodki Shahabudin, MyIPO Director-General Datuk Shamsiah Kamaruddin, and Companies Commission of Malaysia Chief Executive Officer Datuk Zahrah Abdul Wahab Fenner.

SOURCE— BERNAMA

Malaysian F&B products gaining popularity in Thailand

Posted on : 31-05-2017 | By : sabah today | In : International Business

BANGKOK – Malaysian food and beverage (F&B) products have gained popularity in Thailand, accounting for 28.2 per cent of the nation’s total exports to the country, said Malaysia External Trade Development Corporation’s (MATRADE) Trade Commissioner in Thailand, Norman Dzulkarnain Nasri.

“Processed food was Malaysia’s fourth biggest export to Thailand last year, and the country has huge business potential that could be explored by Malaysian F&B companies,” he told Bernama here today.

He said this week, 63 Malaysian F&B companies were participating in the THAIFEX World of Food Asia 2017, Southeast Asia’s largest F&B exhibition, starting from today and ending on June 3.

As one of the world’s largest F&B exhibitions, THAIFEX will benefit the Malaysian participants as it will help to expose them to the business opportunities available in the F&B sector worldwide.

“Moreover, the halal certification by Malaysian authorities proves to be advantageous for the F&B products, as they would be able to penetrate the global market with the certification,” he said.

Norman said this year, THAIFEX organisers had invited 72 buyer companies from all over the world to meet with participating Malaysian companies, giving them the chance to market their products to international customers.

He added that MATRADE would continue to assist Malaysian companies to expand their operations in Thailand through efforts which included business-matching sessions with their Thai counterparts.

Thailand was Malaysia’s fifth biggest trade partner last year, with exports amounting to RM44.1 billion, comprising crude petroleum (66.7 per cent), transport equipment (47.2 per cent), steel products (36.8 per cent), processed food (28.2 per cent), and chemicals and chemical products (22.9 per cent).

During the first quarter of this year, the nation’s exports to Thailand increased 15.1 per cent to RM12.6 billion compared to the same period last year.

SOURCE– BERNAMA

Thailand’s largest oil and gas firm plans new Asia investment

Posted on : 24-05-2017 | By : sabah today | In : International Business

Thailand’s largest oil and gas explorer PTT Exploration and Production Pcl (PTTEP) is planning new investments or an extension of its operations in fields in Thailand, Malaysia and Myanmar, it said on Tuesday.

In Thailand, state-owned PTTEP would bid to extend its concession to operate the Bongkot gas field beyond the existing expiry date of 2023, Executive Vice President Yongyot Krongpanich told an investor briefing.

“We are confident that we will win the concession as we have expertise from operating in this field for two decades,” he said, adding the result was expected in the first quarter of 2018.

PTTEP was also in talks for a joint bid with Chevron Group for Thailand’s Erawan gas field concession, but was ready to compete against the U.S. major when the tender opens in September if no agreement for a joint bid was reached, he said.

The existing concession for Erawan, which is now operated by Chevron, expires in 2022.

Yongyot also said PTTEP planned investments in Malaysia and Myanmar, but did not give details.

PTTEP had $4.4 billion cash and had no plans to issue bonds, he said.

PTTEP said earlier this month it was suspending investment in Indonesia after the Indonesian government filed a $2 billion lawsuit against the Thai state-owned energy firm for alleged damage from an oil spill eight years ago.

The firm said it expected an average sale of about 300,000 barrels of oil equivalent per day (BOED) in the second quarter, compared with 304,000 BOED in the first quarter.

Parent firm PTT Pcl, Thailand’s largest energy firm, plans an initial public offering (IPO) in 2018 of its spin-off company, PTT Oil and Retail (PTTOR), Investor Relations Manager Pichin Apiwanaphon told another investor briefing.

PTTOR will include service stations, petroleum products, and lubricant products. It will also oversee non-oil retail businesses such as Café Amazon, the coffee franchise, and Fit Auto, the vehicle maintenance service.

After the IPO, PTT will remain a major shareholder of PTTOR but with less than 50 percent. (Reporting by Chayut Setboonsarng; Editing by Edmund Blair)

SOURCE:- REUTERS

Asia ministers in push for China-led free trade pact

Posted on : 22-05-2017 | By : sabah today | In : International Business

HANOI – Asian trade ministers met Monday to hammer out the terms of a massive China-led pact that has taken center stage as Washington pulls away from regional free trade deals in favor of bilateral agreements.

The 16-nation Regional Comprehensive Economic Partnership (RCEP) is poised to become the largest free trade agreement in the world, covering about half of its population.

It notably excludes the United States, which had been leading another regional trade pact — the Trans-Pacific Partnership (TPP) — until US President Donald Trump abruptly abandoned it in January after calling it a “job killer”.

At a meeting in Hanoi on Monday, the 19th time RCEP negotiators have met, the rhetoric in favor of free trade stood in stark contrast to Trump’s “America First” campaign speeches.

“In the context that protectionism is emerging in a number of major economies in the world, we believe that the conclusion of the RCEP Agreement negotiations will convey a clear and consistent message of the opening-up and economic integration-enhancing policy of the countries in the region,” said Vietnam’s Trade Minister Tran Tuan Anh, who was chairing the meeting.

Apart from Beijing, the planned RCEP pact would group the 10 members of the Association of Southeast Asian Nations plus India, Japan, South Korea, Australia and New Zealand.

The deal has gained attention since the US pullout from the TPP, which was billed as the world’s biggest trade pact when it was signed in February 2016 following years of negotiations.

Under then-US president Barack Obama it was sold to American allies as a unique opportunity to seize the initiative on worldwide trade — and ensure China does not get to dictate global terms of commerce.

On Sunday in Hanoi the 11 remaining TPP nations vowed to resuscitate the deal without the US. They are eager to lock in future free trade and strengthen labour and environmental rights despite the loss of the world’s number one economy.

But Beijing is now keen to use Washington’s rejection of TPP to build enthusiasm for its own deal and increase influence in the region.

RCEP is a more modest deal that prescribes lower and more limited regulatory standards.

China is also pushing a major global infrastructure and investment drive called the One Belt, One Road initiative, which aims to revive ancient land and sea trade routes.

SOURCE:- ABS-CBN

Titijaya formalises collaboration with China’s CREC for RM575 million GDV (Gross Development Value)

Posted on : 15-05-2017 | By : sabah today | In : International Business

BEIJING: Titijaya Land Bhd (Titijaya), a Bursa Malaysia Main Market Listed Company involved in property development, has formalised its collaboration with CREC Development (M) Sdn Bhd (CRECD) to collaborate on a property development project known as The Shore in Kota Kinabalu, Sabah, which has a gross development value (GDV) of RM575 million.

Both parties exchanged the memorandum of understanding, witnessed by the Prime Minister, Dato Seri Najib Abdul Razak in Beijing on Sunday.

CREC is one of the world’s largest construction companies. It is also the JV partner with Titijaya on a project at Embassy Row.

Titijaya group managing director Tan Sri Lim Soon Peng said through the collaboration with CREC, both parties will be leveraging on each other’s capabilities to make this project a success.

“We are honoured to have CREC’s trust to work together for the second project,” he said in a statement.

“Jointly, we will be tapping into the growing property market in Sabah and aim to attract more investors from China, particularly those who favour the commercial and residential property industry, as well as investments in hospitality properties.”

Sabah is a popular tourism location, which is ranked at 6th on the 2016 Overseas Retirement Annual Index for the Best Places in the World to Retire. In recent years, it has become a place of choice as investments for investors and top tourist destination for the Chinese.

Located on the last vacant land in the heart of Kota Kinabalu City Centre, The Shore is a new waterfront premium class hub that entails luxury mixed-use commercial hub docked within a prime waterfront enclave of Kota Kinabalu.

Its unique U-shape design makes it the first of its kind within the vicinity. With 25 storeys in total, the development shall comprise 561 units in build-up sizes ranging from 409 square feet and 541 square feet. The project is expected to be completed within 48 months from the commencement of construction.

SOURCE:- THE BORNEO POST

China open huge opportunities for businessmen from Malaysia – PM

Posted on : 15-05-2017 | By : sabah today | In : International Business

BEIJING: China has opened huge opportunities for Malaysian businessmen who want to foster economic cooperation for mutual benefit, said Datuk Seri Najib Abdul Razak.

The prime minister said the trust between Malaysia and China is at the highest level making it easier for Malaysian businessmen to foster economic cooperation than ever before.

“The warmth on the part of China seems to open their door as wide as possible,” he told Malaysian journalists at the end of the One Belt, One Road Forum for Economic Cooperation here, on Monday.

Najib said while here, he met with Malaysian businessmen who told him it is easier to discuss with their counterparts in China.

“They seem to hold the keys to open doors that previously had so many obstacles. The benefits (Malaysia- China close ties) are difficult to describe.”

Najib said Malaysia enjoys economic benefits with China as it is among the early countries to commit to the One Belt, One Road initiative inspired by Chinese President Xi Jinping.

“These are exciting times (for Malaysia). This is why people are jealous of us for having this link. That is why people criticised us for the wrong reasons. It is not rationally based.”

Najib said there is now a paradigm shift in the world economic order in which Malaysians are well-positioned because of the strong links with China.

“This is a wonderful opportunity for us to advance the Malaysian economy together with the Chinese economy. As President Xi said whatever we do it is based on a win-win basis and shared benefits and shared prosperity.”

Najib said the opportunities created by the Belt and Road initiative were enormous.

“Traditionally, the West export their capital to the East and people in the East would be their workers.

“But now, the East (China) is exporting capital to the West and other parts of the world and able to create jobs, provide technology and create markets.”

On the digital economy, Najib said the Digital Free Trade Zone (DFTZ) to be implemented in October was expected to provide double digit growth which would contribute to overall growth of the country’s economy.

“Jack Ma wants to do a lot of things in Malaysia. He has designated Malaysia as the hub for his involvement in the digital economy for the Asean Region.”

Before arriving in Beijing on Thursday, Najib made a brief visit to Hangzhou to meet with Jack Ma, the founder and executive chairman of Alibaba Group, China’s largest e-commerce operator.

While there, Najib visited the headquarters of Alibaba Group and was given a briefing on the mechanism of the company’s e-commerce platform.

He said the communique issued at the end of the two-day forum stressed the importance of people-to-people ties, mutual respect and adherence to the rule of law.

While here, Najib witnessed the signing of nine MoUs between Malaysian and Chinese companies with a total investment estimated at US$7. 22 billion (about RM30 billion).

They include AirAsia’s opportunity to penetrate the Chinese market after several years of trying to establish collaboration in the budget carrier sector.

Najib said Malaysia has the opportunity to benefit from collaboration via the Belt and Road initiative at a time when the world economic situation is uncertain.

For example, the East Coast Rail Line (ECRL) project that will create the infrastructure that will enhance the growth of industry and create jobs for local residents.

On the sidelines of the forum, Najib held discussions with Britain’s Chancellor of the Exchequer, Philip Hammond, International Monetary Fund managing director, Christine Lagarde and Prime Minister of Poland, Beata Szydlo.

The prime minister said China plans to organise another such forum in 2018.

SOURCE— BERNAMA

MoUs for RM31 billion investments signed in China

Posted on : 14-05-2017 | By : sabah today | In : International Business

BEIJING: Nine business agreements were signed here on Sunday between Malaysian and Chinese companies with proposed investments estimated at US$7.22 billion (about RM31.3 billion).

The memoranda of understanding (MoUs) are for various sectors particularly construction, agriculture, stock exchange, infrastructure and port and airport cooperation.

The signing ceremony for the various agreements was witnessed by Prime Minister Datuk Seri Najib Abdul Razak. Most of the projects will be carried out in Malaysia.

The highest investment is for the Strategic Alliance Agreement between Johor Corporation and Siasun Robot Investment Co. Ltd to develop 400 hectares of land for the Robotics Future City in Johor worth US$3.458 billion (RM15 billion).

The futuristic city aims to develop the robotics industry and at the same time spur the growth of various supply chains in Malaysia.

Another MoU is for the development of a methanol and derivatives complex in Tanjung Kidurong, Bintulu, Sarawak, costing US$2 billion (RM8.69 billion).

It was between Yayasan Hartanah Bumiputera Sarawak, Consortium of Huanqiu Contracting & Engineering Co, and MACFeam Sdn Bhd.

The project is estimated to be completed by 2021.

Another MoU is between KAJ Development and Power China, Shenzhen Yantian Port Group and Rizhao Port Group, to jointly develop Melaka Gateway as a mixed development comprising four islands for tourism, smart-city and commercial hub, deep sea port, shipbuilding and repair services and maritime industrial park.

The gross development value of Melaka Gateway is US$6.92 billion (RM30 billion) as of November 2016.

A cooperation agreement was also signed to promote and develop the Malaysian Innovation Cluster within the China-Malaysia Qinzhou Industrial Park.

Agrofresh International Sdn Bhd and Dashang Co.Ltd signed an exclusive agent agreement for the supply of Cavendish Banana and Tropical Fruits, worth US$1.53 billion (RM6.65 billion).

The investment for a mixed development , “The Shore” in Kota Kinabalu, Sabah is valued at US$132.58 million (RM575.93 million).

The Shanghai Stock Exchange will collaborate with Bursa Malaysia Bhd in exploring potential ways to improve market accessibility and products in both markets.

Also present were Sarawak Chief Minister Datuk Amar Abang Johari Tun Openg, Melaka Chief Minister Datuk Seri Idris Haron and Prime Minister’s Special Envoy to China Tan Sri Ong Ka Ting.

Meanwhile, AirAsia Bhd signed an MoU with China Everbright Group and Henan Government Working Group to establish a low-cost carrier in China.

SOURCE— BERNAMA

POIC Sabah signs memorandum with four China firms

Posted on : 04-05-2017 | By : sabah today | In : International Business

BEIJING: State-owned POIC Sabah Sdn Bhd signed memorandum of understanding with four China companies here Thursday that has once again brought into focus the economic potentials in oil palm and biomass in the state.

The four companies are Hebei-based Tangshan Chunhua Grain & Oil Croup Co Ltd and Xinji Xinyuan Biotech Co Ltd; and Top Honesty Biotechnology Co Ltd and Hong Kong-based Utility Sugar Trading Ltd.
The signing was witnessed by Malaysia’s Deputy Minister of Plantation Industries and Commodities (MPIC) Nasrun Haji Mansur, who welcomed the China companies’ interest in Sabah the credited it as a result of promotional efforts undeterred by current economic challenges.

Nasrun noted that all four companies have footprints around the globe and in sectors that can exploit the vast potentials in the abundance of palm oil and oil palm-based biomass.

“We (Sabah) have a lot (about 1.5 million hectares) of oil palm plantations. We export most of our crude palm oil and are still waiting for serious investors to exploit the biochemical potentials,” he told investors in a MPIC seminar in the Chinese city.”

Nasrun, who is also Member of Parliament of Lahad Datu and chairman of POIC Sabah, pointed to recent trends in China’s interests in Malaysia evidenced by massive investments in properties and industries, as well as growing tourist arrivals.

“We in Sabah can surely benefit from your company’s expertise and exposure in technologies, financial strength and marketing.”

Chunhua, based in Tangshan City in Hebei Province, is a 38-year-old company specialised in agriculture products and edible oil, especially peanut oil and processes about 300,000 metric tons per year.

It also value-adds to the various types of edible oil it refines, and has gone upstream into planting its own raw materials, including a10,000-hectare peanut plantation in Sudan.

Xinji Xinyuan Biotech is part of the Xingyuan Group, based in Xinji City. The group was incorporated in 1990 specialising in machinery such as boiler, foam & plastic machines, and is increasingly being known for its aggressive forays into producing activated carbon from waste materials.

It also has factories producing bio-coal and activated carbon from coconut shells in Indonesia, Thailand, Philippines and Peninsular Malaysia (Johor), and has sent feelers to Sabah to identify the feasibility of using oil palm biomass to produce the two products.

Utility Sugar Trading Ltd, based in Hong Kong, is a major global supplier of sugar and syrup set up in 1985, with an annual turnover of about US$60 million.

Top Honesty Group, based out of Macau, is a public-listed company with a market capitalisation of USD59.6 million. Its core businesses are in consumer durables and renewable energy.

SOURCE:- BORNEO TODAY