Asean Summit set to unlock RM300b in FDI, boosting Malaysia's economy, says Juwai IQI
KUALA LUMPUR, May 22 — The Asean Summit will be a platform to integrate regional economies and promote trade through potential agreements with an estimated RM300 billion in foreign direct investment (FDI) in the next five years, according to Juwai IQI.
Its co-founder and group chief executive officer Kashif Ansari said in a statement today that it is important for Asean member countries to work together as the region faces a complicated world, with global strategic rivalries, new technologies, and artificial intelligence (AI) disruptions.
'The summit could boost Malaysia's economy through regional integration, Asean unity in global trade, and foreign direct investment. Changes in these three areas could mean hundreds of billions of ringgit in additional trade and capital over the coming years.
'The Johor-Singapore Special Economic Zone (JS-SEZ) is a prime example of integration, which could contribute as much as RM110.9 billion to Malaysia's economy annually by 2030,' he said.
Kashif said a tighter-knit Asean could boost Malaysia's total trade volume significantly, to about RM3.87 trillion by 2027; exports could reach an all-time high of RM2.13 trillion in annual export volume by 2030.
'While the agreements coming out of the summit could have us shipping more goods out by 2030, we will also be receiving more inbound FDI, with that money going into local innovation, infrastructure, employment, and property,' he noted.
In the property sector, based on IQI's analysis, FDI inflows during this period will generate at least RM15 billion in new real estate activities, which include industrial parks, commercial centres, logistics hubs, and housing developments, said Kashif
'With RM300 billion of FDI projected by 2030, we estimate RM15 billion, or five per cent, will be channelled into the real estate industry.
'We have estimated this five per cent ratio between FDI and real estate based on typical patterns seen across the region. The real number could be lower, or much higher,' he said.
According to Kashif, global brands have built data centres, electric vehicle facilities, and logistics hubs over the past few years.
These developments create high-quality property demand in the industrial sector and have a spillover effect on housing, office, and retail.
'This Asean Summit is a platform for improving Malaysia's future. If regional leaders can agree to deepen intra-Asean trade, harmonise regulations, and reduce trade barriers, Malaysia and all our partner nations will benefit,' he added.
The Asean Summit will be held at the Kuala Lumpur Convention Centre on May 26 and 27, alongside the second Asean-Gulf Cooperation Council (GCC) Summit and the inaugural Asean-GCC-China Summit.
This is the fifth Asean chair for Malaysia. Its previous terms were in 1977, 1997, 2005 and 2015. — Bernama
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Barnama
an hour ago
- Barnama
ASEAN Voices Deep Concern Over US Tariffs, Commits To Regional Economic Unity
GENERAL KUALA LUMPUR, May 27 (Bernama) -- ASEAN leaders have voiced deep concern over the United States' (US) recent move to impose unilateral sweeping tariffs, during the 46th ASEAN Summit. According to the Chairman's statement issued following the conclusion of the summit on Tuesday, the leaders had affirmed that they will continue to engage the US in a frank and constructive dialogue on the matter and commit not to impose any retaliatory measures in response to US tariffs. 'We express deep concern over the recent announcement by the US to impose unilateral tariffs and their potential impact on our economies. 'The uncertainties arising from these tariffs and potential retaliation could heighten volatility in both capital flows and exchange rates,' the statement read. ASEAN leaders reaffirmed the bloc's commitment towards regional unity, economic stability and practical cooperation in navigating external challenges, it said. They also reaffirm commitment to strengthen financial resilience and accelerate financial integration within ASEAN, thus supporting greater intra-ASEAN trade and Investment integration, amid rising global trade tensions. 'We remained committed to ASEAN as a reliable economic partner and will work to foster a strengthened economic cooperation framework with the US, particularly in high-value and future-oriented sectors,' the statement read. They also pledged to strengthen and expand economic links with ASEAN's external partners, including with Dialogue Partners, and to seek out opportunities for cooperation with new partners. The ASEAN Summit, which drew leaders and high-level delegations from ASEAN and partner countries, was held under Malaysia's 2025 ASEAN Chairmanship theme 'Inclusivity and Sustainability'.
2 hours ago
Asean to deepen global partnerships in face of economic challenges
Beyond external partnerships, Asean member states also committed to strengthening its internal resilience through deeper intra-regional trade and investment. KUALA LUMPUR : Amid escalating global trade tensions and a volatile international economic landscape, Asean leaders today reaffirmed their strong commitment to expanding and upgrading their Asean+1 free trade agreements (FTAs) and the Regional Comprehensive Economic Partnership Agreement (RCEP). This pledge, made during the 46th Asean Summit held here today, underscores the bloc's determination to navigate external challenges through strengthened partnerships. Chief among these challenges is the prospect of punitive tariffs ranging from 10-46% imposed by the bloc's second-largest trading partner, the US, on April 3. In a joint statement, the Asean leaders described unilateral and retaliatory trade actions as 'counterproductive and risk exacerbating global economic fragmentation, especially when these actions create indirect impacts on Asean'. The member states also pledged to deepen cooperation with existing external partners and are actively seeking new and emerging partnerships, including region-to-region linkages such as with the Gulf Cooperation Council (GCC) and China through its tripartite summit, which convened for the first time earlier today. These efforts are seen as reinforcing Asean's resilience, expanding economic opportunities, and solidifying its position as a dynamic global trade and investment hub. Beyond external partnerships, Asean also committed to strengthening its internal resilience through deeper intra-regional trade and investment. This includes accelerating key initiatives in its Digital Economy Framework Agreement and the upgrade of the Asean Trade in Goods Agreement. The bloc expressed confidence that this would enhance regional integration, boost business certainty and competitiveness, and ensure Asean remained cohesive and adaptable to emerging challenges. Domestically, Asean member states will also take individualised steps to mitigate the impact of high tariffs, including safeguards to support regional industries vulnerable to trade disruptions. Speaking at a press conference following the conclusion of the 46th Asean Summit today, Prime Minister Anwar Ibrahim emphasised the importance of protecting the interests of approximately 660 million people across the region. 'On (the US) tariffs, while proceeding with bilateral negotiations, the consensus was that there should be some form of understanding within Asean, and that any decision should not come at the expense of other countries,' he said.
Barnama
2 hours ago
- Barnama
ADB Recognises Malaysia's Vibrant Economic Growth
Anwar Ibrahim fb KUALA LUMPUR, May 27 (Bernama) -- The Asian Development Bank (ADB) has acknowledged the strong economic fundamentals of Malaysia, recognizing its vibrant growth in creating opportunities not only for Malaysians but for the entire Southeast Asian region. This was conveyed by ADB President Masato Kanda during a meeting with Prime Minister Datuk Seri Anwar Ibrahim on the sidelines of the 46th ASEAN Summit. Anwar stated that Kanda expressed ADB's commitment to supporting Malaysia's leadership in driving economic integration in Southeast Asia. This support includes providing financing for cross-border projects like the ASEAN Power Grid. "In the same context, I express my deepest appreciation for ADB's commitment to intensifying cooperation with Malaysia, especially in the area of private sector financing for strategic infrastructure development, energy transition encompassing green and renewable energy, and efforts to strengthen research and knowledge sharing," Anwar wrote on Facebook tonight. The Prime Minister emphasised the importance of this meeting for Malaysia, particularly in strengthening ties between Malaysia and ADB, in a spirit of inclusive and visionary regional cooperation. "Malaysia is committed to continue being a strategic partner of ADB in realizing a greener, more competitive, and resilient future for the sustainability of this region," he said, adding that Kanda also congratulated Malaysia on hosting this ASEAN Summit. BERNAMA provides up-to-date authentic and comprehensive news and information which are disseminated via BERNAMA Wires; BERNAMA TV on Astro 502, unifi TV 631 and MYTV 121 channels and BERNAMA Radio on FM93.9 (Klang Valley), FM107.5 (Johor Bahru), FM107.9 (Kota Kinabalu) and FM100.9 (Kuching) frequencies. Follow us on social media : Facebook : @bernamaofficial , @bernamatv , @bernamaradio Twitter : @ , @BernamaTV , @bernamaradio Instagram : @bernamaofficial , @bernamatvofficial , @bernamaradioofficial TikTok : @bernamaofficial
