Qatar to invest US$5b in Malaysia

An interesting development, and I hope both parties will benefit from this agreement and will enhance the relationship between the two great nations. Let us see how this MOU and framework agreement will be materialized during the implementation. 

NST -Business Times : Published: 2010/05/14

THE Qatar Investment Authority (QIA) has proposed to invest US$5 billion or about RM16 billion in Malaysia. A memorandum of understanding (MoU) between the QIA and 1Malaysia Development Bhd (1MDB) was signed today. The MOU provides a framework for facilitating investment cooperation between the two entities to explore, evaluate and implement investment opportunities in Malaysia.

"It will include investing in the energy sector and a strategic real estate development in the Klang Valley," said the QIA and 1MDB is a joint statement here.

The signing, held at the Prime Minister’s office in Putrajaya, was witnessed by Prime Minister Datuk Seri Najib Tun Razak and his Qatari counterpart, Sheikh Hamad Jassim.

The statement also said a Joint Committee would be established between the QIA and 1MDB, to assess the viability and other commercial aspects of the various investment opportunities, to be considered.

Founded in 2005, the QIA is tasked to strengthen the country’s economy by diversifying into new asset classes.

Its growing portfolio of long term strategic investments, helps complement the state’s wealth in natural resources.

Meanwhile, 1MDB is a strategic development company, wholly-owned by the government.

It drives strategic initiatives for long term sustainable economic development, by forging partnerships and promoting the inflow of foreign direct investments (FDIs).

BERNAMA

Read more: Qatar to invest US$5b in Malaysia 

DISCLAIMER: Notice :Opinions, stories , thoughts expressed are blogger's own and do not necessarily represent the views of the institution or the organizations by which the blogger is employed or any specific person who so ever, either dead or alive.

Formula1 means business

It all started with Petronas's involvement in Formula 1 back 1995. Critics said, Petronas spent so much money and waste of public funds. In addition, then Malaysia's first involvement dated back in 90s with Alex Yoong became one of Minardi's driver, but unfortunately he did not make the cut. It was then followed by AirAsia as one of the William's team sponsor. Come 2010 yet, through another Malaysian companies Proton, Tune Group and Naza Group, dare themselves to venture into this dubbed as the pinnacle of motorsport event, and the most glamorous and expensive sports on earth. Naturally, again we heard the noises , that so much money are being wasted and Malaysian publics are once again denied from benefiting the tax payer money [ through Proton is a Government -Linked Company]. The money shall be better spent on improvement of public toilets !, said one the critics. 

I have written about it in great length, in one of the entries dated 17th & 21st December 2009, respectively. You may want to read more at Kenza4u

However, in summary venturing in Formula 1 is all about  business decision, and branding. Claim to have largest number of sporting events worldwide, one can just imagine the exposure to the potential market capitalization through the investment.

PETRONAS:  It is now a global brand. For example ; its lubricant products are now in the Europe market [ dubbed as the most sophisticated and established lube business market]. Petronas is making in-roads into the areas that were previously difficult and almost impossible to penetrate. Its E&P arms secured four (4) blocks out of 5 tendered during the recent concluded Iraq's oil blocks tendering exercise. PETRONAS is considered as one of the 7-seven sisters, along with Saudi Aramco [ Saudi Arabia], PDVSA [ Venezuela], Petrobras [ Brazil],  NIOC [ Iran], Gazprom[ Russia], and of most influential national oil companies and the only members where it does not sit on any largest reserve of hydrocarbon in the world. and not even an OPEC members. Seven Sisters Oil Companies

I am sure, the involvement in Formula 1 is yet another effort to make Malaysian companies to become global champions, emulating PETRONAS' success. Hopefully, one day Proton will compete head to head or collaborate with industry player like Mercedes, BMW, Audi and Ferrari.

AirAsia, will become a global brand competing and collaborating with Virgin?

Naza Group will become another global company with diverse business interest globally.

I read the following news in the newspaper with great interest ;

Lotus Racing teams up with LG

KUALA LUMPUR: Lotus Racing has teamed up with LG Electronics (LG) to enhance the Malaysian Formula One (F1) team’s technical ability in its maiden F1 World Championship.
The Star after securing sponsorship deals with Maxis [ another Malaysian Company] and CNN.

Another news;

Door of opportunity to open for Emas

A major car company in Europe is interested in joint development and marketing of Proton Holdings Bhd's planned global car, called Emas, people close to the national carmaker said.

Business Times NST

Don't you think it is now making a business senses ? and the investment starts to bear the fruits ? My view has always been, if the business decision is made with clear mission and vision, together with good comaderie and good leadership, with it will strive and goes far.  It has to have the right ingredients, even for the food and the cake to taste good , right ?

DISCLAIMER: Notice :Opinions, stories , thoughts expressed are blogger's own and do not necessarily represent the views of the institution or the organizations by which the blogger is employed or any specific person who so ever, either dead or alive.

KLIA - A late boomer to challenge Changi and Suvarnabumi ?

I read with interest, an article written by Kang Siew Li on her weekend note @NST

Somehow, airline industry and aviation industry have always within my radar and always excite me, for reasons I do not know myself, but  I just do.

I wrote about the same in my 10th & 13th December 2009 entries at Kenza4u, outlining my ideas of what I think the initiatives to make Kuala Lumpur International Airport KLIA as real contender to Changi and Suvarnabhumi. I remember , during last Ramadhan, I had a brief chat with the officer in-charge on the matter and the answer of " chicken and egg situation" doesn't sound good in my ears. Aren't there anything that Malaysia can do about it ? Is it easier way out and will always the same answer all over again "of chicken and egg situation" ? 

The recent spats between Malaysia Airlines and Air Asia shall in one way or another, if I view positively is actually wake up call for the authority to do something about it, if our vision is to make KLIA THE hub in the Far East. I can equate similar spat between Virgin and British Airways, very similar. Actually, it reminds me more of " Sindir Menantu, Anak di Tangankan " something like "You hit and blast the other person, by doing it to another person " with the hope you will get the point. Will they get the point ?

I wish all the best, and my pray one day that KLIA will become THE HUB similar to if not better than London Heathrow Airport [LHR] and I have trust on the management and the team.  

Yet ...Another Journey and Milestone

Today, 7th May 2010 I decided to create another blog something close to my profession , called 911-Business, Accounting & Economics Journal : 911- BAEJ the given codename. The idea was born while I was reading newspapers, and it is just like Eureka ! The blog is created to achieve the following objectives ;

- As one stop centre and guidance for any Business, Accounting and Economics related topics;
- Sharing my 2-cents worth of professional experiences, street and fresh perspective about issues in Business, - Accounting and Economics of which might be useful for my readers at any given points in time;
- Part of my capability and capacity building, through listening, memorizing and sharing/teaching;  
- Part of pay-it forward and one of my way of giving back to the society;
- Network with my readers who have the same passion 


Wish me all the best, and looking forward to embark on this challenging and interesting journey. 

Sincerely,

Eone