Home » Malaysia Expected To Receive RM2.3 Billion In Investment From France

Malaysia Expected To Receive RM2.3 Billion In Investment From France

News From : DagangHalal.com (07 Apr 2010)

PARIS, April 7 (Bernama) — Malaysia is expected to receive investments amounting to RM2.3 billion in the next two to four years from French investors, particularly in the aerospace field, Deputy Prime Minister Tan Sri Muhyiddin Yassin said.

The French investors’ intention to invest in Malaysia was clearly relayed during a meeting between the minister and 20 industry leaders from the country, representing 16 companies.

“The Malaysian Investment Development Authority (MIDA) will be arranging for these French companies to come to Malaysia and introduce them to our potential entrepreneurs keen to work with them,” he told Malaysian journalists at the conclusion of his official visit to the country Wednesday.

Muhyiddin was here for the two-day UNESCO’s Executive Board meeting at the UNESCO headquarters in Paris.

Among the industries in which the French investors are keen to invest are aerospace where there are four interested companies, information communication technology (three companies) and electronics (two companies).

The biotechnology, automotive, engineering, hotel, defence and private business industries have attracted one investor each.

A company has also offered its expertise in halal product certification and forensic DNA identification.

The company is expected to set up a laboratory in Malaysia with an initial investment of about 500,000 euro to one million euro to identify halal contents, especially food products.

Based on discussions he has had, Muhyiddin said a good percentage of the companies have already understood the government’s policies including the incentives which have been described as attractive by them.

The interest from French investors in Malaysia as an investment destination is an encouraging development as they have been following the developments in Malaysia such as the New Economic Model, through the Malaysia-France Business Council.

French investments in Malaysia is still not that big yet as they have so far not seen the country as a destination in terms of historical background and language.

“Therefore, we need to have closer interactions,” he said.

Currently, there are only 18 French companies out of the more than 2,600 from the region operating in Malaysia.

On two-way trade, France is the Malaysia’s fourth largest trade partner among the European Union countries, with total trade with France amounting to US$3.55 billion with exports at US$1.55 billion and imports at US$2 billion last year.

From Caroline Jackson — BERNAMA

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