LARGE INFLOW OF INVESTMENTS FROM CHINA TO MALAYSIA EXPECTED

KUALA LUMPUR, Nov 2 (Bernama) -- A large inflow of Chinese investments into
Malaysia is expected following China's recent approval of the country as a
destination for its portfolio funds through the China Qualified Domestic
Investor Status.

Deputy Prime Minister, Muhyiddin Yassin said Chinese businesses can
participate directly in Malaysia's Economic Transformation Programme (ETP).

"We have identified investment projects in 12 National Key Economic Areas
(NKEAs) in which Chinese investors could participate.

"Investors from China have huge resources and potential for investment in the
oil and gas, tourism and construction sectors," he said, during the opening of
the Second World Chinese Economic Forum here Tuesday.

He said Malaysian investors can also collaborate with those from China.

Malaysia has become China's largest trading partner among Asean countries and
the two-way trade volume between both countries in 2009 exceeded US$53 billion.

"We are confident that trade between the two countries could be better this
year, compared to previously," Muhyiddin said.

The "go-out" policy, he said, encourages Chinese companies to invest abroad.

He added that it has helped develop Malaysia and China's economic ties through
investments in many industries and will hopefully lead to further opportunities
for companies from both countries in future.

"For Malaysia, the maturity of bilateral relations with China, has been
accompanied by positive developments in many sectors," he highlighted.
-- BERNAMA