Malaysia eyes up to US$10bil in trade, investment with Russia

New Straits Times

15-05-2025

KAZAN: Malaysia could unlock up to US$10 billion in trade and investment opportunities with Russia over the next five years as both countries intensify bilateral cooperation across strategic sectors, said Datuk Seri Anwar Ibrahim's aide.
Political secretary to the prime minister Muhammad Kamil Abdul Munim said Anwar's official visit to Russia had laid the groundwork for substantial economic collaboration, particularly in high-tech industries and halal trade.
"There is tremendous investment potential in the years ahead and if all moves in the right direction, we foresee between US$5 billion to US$10 billion in realisable trade and investment flows between Malaysia and Russia," he said.
Kamil was speaking to Malaysian reporters at the Kazan Kremlin during the prime minister's meeting with Rais (head) of Tatarstan Rustam Minnikhanov.
Anwar's visit to Kazan marks the second leg of his four-day official trip to Russia, which began in Moscow on May 13.
Kamil said Russia's technological strengths, particularly in aerospace, artificial intelligence and halal manufacturing, aligned well with Malaysia's development priorities.
One of the key developments, he added, would be the soon-to-be-resumed direct flight service by Russian airline Aeroflot between Moscow and Kuala Lumpur, a move expected to boost two-way tourism and facilitate business travel.
"This is significant, especially considering the sharp increase in tourist arrivals between both countries over the past two years," Kamil said.
"We see real demand and the reopening of this route will further catalyse economic and people-to-people exchanges."
Among the outcomes of the visit was a letter of intent signed by the Agriculture and Food Security Ministry to begin importing meat products from Russia.
In return, Malaysia will assist Russia in enhancing its halal certification capabilities, an area where Malaysia is widely recognised as a global leader.
Kamil also confirmed that more memoranda of understanding (MoUs) were in the pipeline, covering sectors such as digital technology, education and agri-innovation.
"Both governments have pledged to act swiftly on previously signed MoUs and are committed to following through," he said.
On Western sanctions against Russia, Kamil said Malaysia would continue to oppose unilateral measures and uphold its independent foreign policy stance.
"Malaysia does not support unilateral sanctions and continues to seek constructive solutions to facilitate smoother cross-border transactions with Russia," he said.
Despite current geopolitical challenges, including financial transaction barriers due to sanctions, Kamil said both governments were working closely to overcome obstacles.
On trade performance, he said that it remained on an upward trajectory, driven by Russia's growing exports to Malaysia and increased engagement from both public and private sectors.
"This visit is a remarkable success for Malaysia," Kamil said.
"In the current global climate, this is an extraordinary achievement and a bold move by the prime minister to assert Malaysia's independent foreign policy while protecting national interest."
He added that the MH17 issue, which resurfaced in international discourse ahead of Anwar's visit, was raised directly with President Vladimir Putin.
This, he said, underscored Malaysia's firm commitment to justice for the victims without politicising the tragedy.
"The prime minister clearly conveyed Malaysia's position and Putin responded with a commitment to cooperate with an independent and credible investigation."
Anwar's official visit to Russia is set to conclude on May 16, with the final leg centred on engagements in Kazan, including a keynote address at the KazanForum 2025 plenary session.