It is hoped that the relationship between the two countries will attain great heights

By ALIFAH ZAINUDDIN

Global investors are confident with Malaysia’s economic potential and the current administration’s ability to drive the nation’s economy forward, said Finance Minister Lim Guan Eng.

“Malaysia continues to be regarded as an attractive investment destination by investors. What more with the government’s commitment to the competency, accountability and transparency principles in its governance under the leadership of Prime Minister (PM) Tun Dr Mahathir Mohamad, an international statesman well-known and much respected in Japan.

“They are confident that their investments will be used to grow Malaysia’s economy to the fullest,” Lim said in a statement last Friday.

Lim led a 20-person delegation to Japan to meet with Japanese businessmen and senior government officials last week to entice buyers for the forthcoming Samurai bond issuance, guaranteed by state-run Japan Bank of International Cooperation (JBIC).

It is a part of the government’s effort to woo fixed- income investors to participate in the ¥200 billion (RM7.6 billion) Samurai bond programme to fund its sovereign debt.

The issuance of the 10-year Samurai bond is expected before March 2019 with a coupon rate of 0.65%.

Lim said the trip was to promote Malaysia as a stable and high-potential investment destination.

During the three-day trip, Lim held meetings with Japanese Deputy PM and Finance Minister Taro Aso, as well as advisor to the PM and chairman of the National Public Safety Commission Hiroto Izumi.

He conveyed the government’s appreciation towards Japan’s willingness to guarantee the Malaysian Samurai Bond via JBIC to reduce the interest cost of the loan.

The minister said the Japanese government not only facilitated the bond’s issuance in a short span of time, but it had also opened up potential trade opportunities in other areas.

The meeting also discussed future directions in the relationship between the two countries, and opportunities to increase collaboration and investment in various strategic areas.

Lim said the long-held close relationship and cooperation between the two governments is expected to develop further through the three-day trip and deliver a positive impact for all Malaysians.

“It is hoped that the relationship between the two countries will attain great heights to that when the Look East policy was first introduced by Dr Mahathir, where Japan played a major role in Malaysia’s economic development at that time,” he said.

The Malaysian delegation included Treasury secretary general Datuk Ahmad Badri Mohd Zahir, Treasury deputy secretary general Datuk Siti Zauyah Md Desa and Bank Negara Malaysia assistant governor Marzunisham Omar.

The roadshow was organised by Daiwa Markets Ltd in collaboration with Affin Hwang Investment Bhd, HSBC Bank Malaysia Bhd, and Mizuho Bank (M) Bhd, as co-lead arrangers appointed by the ministry for the bond’s issuance.