MIDA INVITES MIDEAST FIRMS TO SET UP SERVICES-BASED OPS

By Muin Abdul Majid

DUBAI, July 17 (Bernama) -- Malaysia has invited companies from the Middle
East to set up services-based operations in the Southeast Asian nation,
particularly to serve the regional market.

Malaysian Industrial Development Authority (MIDA) director-general Jalilah
Baba said opportunities for investments by Gulf Cooperation Council (GCC) in
Malaysia's services sector included business and professional services,
integrated logistics, information and communications technology (ICT) services,
education and training, health services and tourism services.

The Malaysian government in April announced the liberalisation of 27
services sub-sectors, with no equity conditions imposed.

"GCC companies are also invited to set up regional entities such as
operational headquarters, international procurement centres, regional
distribution centres, regional offices as well representative offices to serve
as affiliates and subsidiaries in the region," Jalilah said at the opening of
MIDA Dubai office here Thursday.

GCC groups Bahrain, Oman, Kuwait, Qatar, Saudi Arabia and the United Arab
Emirates.

Jalilah touted several advantages that Malaysia offered to prospective
Middle Eastern partners -- a well-developed infrastructure, relatively lower
cost of doing business, educated and multilingual workforce, attractive
investment incentive packages, and liberal policies on employment of
expatriates.

She underscored the emergence of Malaysia as an important hub for shared
services, data centres, back office operations and customer service centres.

"Many ICT multinationals have also shifted their operations from mature
markets to Malaysia, using the country as a base to serve the growing markets
in the region," Jalilah told guests who had converged at MIDA's office located
on the 22nd floor of Tower A, Business Central Tower, in Dubai Media City.

The director-general mentioned renewable energy as another new sector of
significant prospects for growth.

"Malaysia has targeted the solar industry as a new source of growth and
would like to invite Middle East companies to contribute to the development of
a solar cluster in Malaysia through joint ventures or collaborations with
technology holders," she said.

Jalilah noted that the infrastructure and support facilities to accommodate
investment in the solar photovoltaic industry were well in place.

"Global manufacturers from the United States and Germany have already
established their production plants in Malaysia," she said.

Jalilah also touched on Malaysia's push to be a global hub for the
production and distribution of halal products and services which include food,
cosmetics, pharmaceuticals and health products.

Present at the launching were Malaysian ambassador to the United Arab
Emirates Yahaya Abdul Jabar, Dubai Chamber of Commerce and Industry chairman
Abdul Rahman Saif Al-Ghurair, Ras Al Khaimah Chamber of Commerce and Industry
director-general Dr Abdulrahman Al Shayeb Al Naqbi, and Malaysian consul-general
in Dubai Syed Mohamad Hasrin Tengku Hussin.

At the helm of MIDA Dubai office is its director Mohamad Ismail Abu Bakar.
-- BERNAMA