Market Driven Vs Cronyism

The global economy confidence on Prime Minister Dato’ Sri Mohd. Najib Tun Razak’s leadership and administration is reflective on the bullish growth of the economy, capital market and amount of trade, weathering out of the global economic recession of 1995-6.

The Malay Mail Online story based on Bernama report:

Malaysian capital market grows 9pc to RM3.1t in over six months of 2017, says Najib

 

Tuesday July 25, 2017
12:43 PM GMT+8

Datuk Seri Najib Razak delivers his speech during an Invest Malaysia 2017 event at Shangri-La Hotel in Kuala Lumpur, July 25, 2017. ― Picture by Yusof Mat IsaKUALA LUMPUR, JULY 25 — The Malaysian capital market increased nine per cent to RM3.1 trillion in the first six months of this year and is now ranked fifth in Asia, relative to the gross domestic product (GDP), Prime Minster Datuk Seri Najib Tun Razak said.

He said Malaysia is also home to the largest number of listed companies in Asean and at US$29 billion (RM billion), Bursa Malaysia also recorded the highest in funds raised in the last five years among the 10-member regional body.

“All this can point to only one conclusion, namely, our economy continues to prosper and we are stronger than ever as a result of the reforms and programmes the government has put in place,” he said in his keynote address at Invest Malaysia 2017 here today.

He said as the business community and companies like strength and stability, they want the certainty provided by a government that understands the prosperity of its people, is best served by being business-friendly and that sovereignty is not compromised by foreign direct investments.

“The business community wants the certainty of knowing the government is committed to the necessary reforms and to fostering a culture of entrepreneurship, transparency, accountability, and good regulations,” he added.

He said among the major investments pledged by foreign companies in Malaysia include China’s Huawei, which is making the country its global operations headquarters, data hosting and global training centre, at a project cost of RM2.2 billion, while employing more than 2,370 people.

He also said another significant investment is Saudi Aramco which is investing US$7 billion – the company’s biggest downstream investment outside Saudi Arabia — for a 50 per cent stake in the Petronas Refinery and Petrochemical Integrated Development in Johor.

“That is the single largest investment in Malaysia, and shows the confidence Saudi Arabia has in our people, our technology, and ability to be a strong partner with their most important business,” he added.

Apart from that, Najib said London-based HSBC is investing over RM1 billion to build its future regional headquarters at the Tun Razak Exchange, recognising Malaysia’s increasing status as an international financial and business centre.

Another company, Broadcom Ltd, one of the world’s largest semi-conductor entities with a market capitalisation of nearly half a trillion dollars, is transferring its global distribution hub that will manage the group’s global inventory of RM64 billion annually to Malaysia from Singapore this year.

“Others who are already here are expanding their operations. Finisar Corporation, a global technology leader in optical communications, will invest a further RM610 million in its operations in Perak, bringing its total investment in Malaysia to RM1 billion,” he said.

Najib also criticised those opposing the Goods and Services Tax (GST) and said the government would always be straight with the people and do what is right for them.

“We will always put their interests first, from economic welfare to security. Even if it is not the most popular thing to do, we will not hesitate, because it is the responsible thing to do for the country,” he added.

He said this is a reason what he is not very popular with a certain person, under whose leadership, many corners were cut, and the people had to pay a very high price, so that a few of his friends benefited.

“This was even when symbols of national pride had horrendous and catastrophic decisions hoisted on them.

“But, under this government, we are cracking down on crony capitalism. No more sweetheart deals. No more national follies to keep stroking the ego of one man. No more treating national companies as though they are personal property,” he said. — Bernama

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This is also coupled with the bullish economic outlook by a global financial authority. The International Montetary Fund (IMF) also revises the Malaysia’s 2017 economic growth forecast from 4.5 to 4.8%.

The Malaysian Reserve story:

IMF revises Malaysia GDP forecast upwards to 4.8%

Tuesday, July 25th, 2017 at , Economy | News

By DASHVEENJIT KAUR

The International Monetary Fund (IMF) has revised its 2017 growth forecast for Malaysia upwards to 4.8%, driven by favourable economic data and monetary policy.

IMF economic counsellor and director of research Maurice Obstfeld said favourable economic data and a very steady hand in monetary policy for Malaysia were among the main reasons for the upgrade.

Previously, in its April 2017 World Economic Outlook (WEO), IMF forecast gross domestic product (GDP) growth for Malaysia in 2017 to hit 4.5%.

“Steady-handed monetary policy and successful efforts to increase the sustainability of debt levels, which have been trending downward, are among the reasons.

“Based on our upgrade, we also expect upside risks,” he told reporters in Kuala Lumpur yesterday during the release of the fund’s updated WEO.

For the first-quarter (1Q) of this year, Malaysia’s economy recorded a robust growth of 5.6% in 2017 against 4.1% registered in the same quarter of 2016.

The climb was boosted by strong domestic demand and private expenditure.

Domestic demand increased to 7.7% supported by continued expansion in private sector expenditure, which grew by 8.2% and the turnaround in public sector expenditure.

Private consumption rose 6.6%, while investments grew sharply by 12.9% following continued capital spending in the services and manufacturing sectors.

Bank Negara Malaysia (BNM) governor Datuk Seri Muhammad Ibrahim said during the 1Q GDP performance growth announcement in May that the result was the best since the corresponding quarter of 2015, which saw GDP at 5.8%.

BNM announced it was keeping its full-year growth forecast at 4.3%-4.8%, as it is expecting growth to be sustained from the 1Q this year.

The ringgit has also recovered from being among the weakest emerging Asian currencies in 2016, following measures by the central bank to reduce volatility in the ringgit and domestic foreign-exchange market.

Obstfeld said IMF was optimistic that Malaysia would continue to perform well with the appropriate measures put into place.

On the global front, the fund kept its growth forecasts for the world economy unchanged for this year and next, although it revised growth expectations for the eurozone and China upwards.

On global growth, IMF noted GDP would grow 3.5% in 2017 and 3.6% in 2018 — unchanged from estimates issued in April.

While risks around the global growth forecast appear broadly balanced in the near term, they remain skewed to the downside over the medium term, IMF said in its updated forecast.

IMF shaved its forecasts for US growth to 2.1% for 2017 and 2018, slightly down from projections of 2.3% and 2.5% respectively just three months ago.

The fund reversed previous assumptions that President Donald Trump administration’s planned stimulus measures would boost US growth, largely because no details of those plans have been made public.

Obstfeld said the global economy had been the subject of considerable protectionist rhetoric, such as Trump’s proposed tariff on steel imported from China, but such talk had yet to translate into much action.

“What will happen in the future, we don’t know. These threats are in our downside thinking and they’re not built into our forecast because hopefully they don’t happen, but there are risks,” Obstfeld said.

IMF said growth in the eurozone was expected to be slightly stronger in 2018 and pointed to “solid momentum”.

It upgraded 2017 GDP growth projections for the eurozone to 1.9%, up 0.2 percentage points from April.

IMF said eurozone growth would be slightly stronger at 1.7%, a 0.1 percentage point change from three months ago.

It said the expected higher growth in the eurozone indicated “stronger momentum in domestic demand than previously expected”.

IMF revised down its 2017 forecast for the UK by 0.3 percentage points to 1.7%, citing a slump in economic performance since last year’s vote to
quit the European Union.

It left its 2018 forecast unchanged at 1.5%, adding that it expected slightly higher growth in Japan this year of 1.3% — revised from a forecast of 1.2% in April.

It noted stronger 1Q growth would be buoyed by private consumption, investment and exports. Its forecast for Japan’s 2018 growth was unchanged at 0.6%.

IMF expected stronger growth of 6.7% in 2017 for China, up a 0.1 percentage point from the April forecast.

It said China’s growth would still moderate in 2018 to 6.4%, but noted the estimate was up 0.2 percentage points from the April forecast on expectations that Beijing would maintain high levels of public investment.

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These bullish results and outlooks is demonstration of the confidence for the Malaysian economy and fundamentals, amidst a stream of two years of rabid and venomous political demonisation by Fourth Prime Minister Tun Dr. Mahathir Mohamad about Malaysia becoming a “Failed State”.

Channel News Asia story:

Mahathir confident of support for campaign to oust Malaysia PM Najib

 

 

 

Former Malaysian prime minister Dr Mahathir Mohamad says he is confident that the Save Malaysia movement can collect 1 million signatures before the end of the year.

 

By Melissa Goh @MelGohCNA

27 Mar 2016 10:12PM (Updated: 13 Jun 2017 01:08PM)

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SHAH ALAM: Former Malaysian prime minister Dr Mahathir Mohamad is confident that the “Save Malaysia” movement will have enough support to pressure the country’s traditional rulers to act against Prime Minister Najib Razak.

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Speaking at Save Malaysia’s first people’s congress held behind closed doors on Sunday (Mar 27), Dr Mahathir said he is confident that the movement will collect 1 million signatures before the end of the year.

The 90-year-old statesman has been leading the campaign to oust the prime minister, saying it is in order save the country from becoming a failed state. Dr Mahathir earlier this month cobbled together an unlikely alliance of former political foes including former government and opposition leaders, as well as civil rights activists to form the movement.

While the consensus was to remove Mr Najib, whom they blame for the country’s institutional breakdown, there were also heightened calls for the release of jailed opposition leader Anwar Ibrahim.

Former bar council president Ambiga Sreenevasan stressed that it was high time for a reset in the country’s political system and urged government leaders and civil servants to come on board.

“If you turn your back on us, you may save yourself but if you stand with us, you can help save the nation for your children and grandchildren. I invite all, particularly those in power, to join us and be on the right side of history,” she told the congress, which attracted about 2,000 participants.

But few government leaders have spoken up so far, and those who dare to face expulsion from their party.

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Dr Mahathir quit UMNO last month after he failed to gather enough support from within the ruling party to oust party president Najib. He is now urging the people to sign the Save Malaysia petition in order to step up pressure on Mr Najib.

Said Dr Mahathir: “People are afraid to sign because this government frightens people. They arrest the people but they cannot take action against 1 million people, can they?”

The Save Malaysia movement has collected more than 140,000 signatures since its launch on Mar 4.

Source: CNA/xq

Read more at http://www.channelnewsasia.com/news/asiapacific/mahathir-confident-of-support-for-campaign-to-oust-malaysia-pm-n-8123836

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All have been been proven wrong. Nothing Dr. Mahathir said or prophecises materialised. In fact, it turn out the opposite.

Prime Minister Najib had a plan to transform the Malaysian economy, government and society and stuck with his plan, which is both strategic and comprehensive.

Hence, he had the right to lambast against his former master for the wrongs he did against the Sixth Malaysian Prime Minister, who is legally elected by Malaysians through a democratic process.

The Malay Mail Online story:

Before international investors, Najib denounces Dr M’s legacy

Datuk Seri Najib Razak delivers his speech during the Invest Malaysia 2017 event at Shangri-La Hotel in Kuala Lumpur, July 25, 2017. ― Picture by Yusof Mat Isa

 

KUALA LUMPUR, July 25 ― Speaking before the international business community here today, Datuk Seri Najib Razak denounced the legacy of his predecessor Tun Dr Mahathir Mohamad as being rife with cronyism and corruption.

Najib rarely uses international business platforms to criticise his political foes but today the Umno president said it was necessary to appeal to investors to avoid placing faith in an Opposition bloc led by a man with a track record for “cutting corners” and rolling out policies that only benefited his close allies.

“This government..will always be straight with the people and we will always do the right by the people,” Najib said in his keynote address at Invest Malaysia 2017, a private event for investors.

“We will always put their interests first, from economic welfare to security even if it’s not the most popular thing to do..this is also one of the reasons I am not very popular with that certain nonagenarian.

“Under his leadership many corners were cut, and the Malaysian people had to pay a very high price so that a few of his friends benefitted,” the prime minister added.

Najib has increasingly targeted Dr Mahathir since the latter began a campaign to remove him, which included resigning from Umno, forming an Opposition party, and becoming chairman of the Pakatan Harapan pact.

Continuing with his salvo against the former PM, Najib said today his government was undoing much of the damage caused by Dr Mahathir’s policies, such as by “cracking down on crony capitalism”.

Dr Mahathir had a preference for trickle-down economics that favoured select businessmen and companies, but which ended up concentrating wealth in a handful of elites.

“No more sweetheart deals. No more national follies kept going to stroke the ego of one man,” the BN chairman said.

Najib also warned of a campaign to discourage the business community from supporting his government through what he described as deliberate “misinformation” by the Opposition.

The BN chairman accused the Opposition of starting a drive to sabotage the economy through smear tactics that are often reported by pro-opposition press.

“There has in fact been a concerted campaign to send such misinformation overseas to damage Malaysia’s economy for their own selfish political objectives.

“So if you receive these smears, or you read it in publications that do not check facts properly, please beware”.

The prime minister previously asserted that political rivals were aiming to undermine the economic success of his government in order to generate political support.

But Najib said they have been unsuccessful as Malaysia’s economy continued to grow robustly and draw in investments.

He noted Malaysia’s GDP has grown at an average of 4 per cent annually since he took office in 2009. This year alone trade increased to 24 per cent or RM430 billion compared to the same period last year.

Najib said the data proved investors remain confident in his government.

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Prime Minister Najib did prove his ways of taking the Malaysian economy and trade forward forward at the same time uplift the quality of life of Malaysians, is market driven compared to Dr. Mahathir’s administration, which was filled with cronyism to meet his objectives.

He also beefed up Khazanah Nasional Bhd.’s role, which is one of the strong organisations that perked and propped the nation’s engine of growth on top ensuring the corporatised essential services are delivered for the consumers’ benefit.

The Edge Market story:

Khazanah companies to be Malaysia’s ‘engines of growth’ – Azman Mokhtar

^–A⁺A

KUALA LUMPUR (Sept 26): Khazanah Nasional Bhd managing director Tan Sri Azman Mokhtar said the Malaysian Government investment arm’s companies would continue to be the nation’s “engines of growth” as policy makers planned Budget 2017.

Azman said the Government had to be fiscally responsible as the nation pursued economic growth in an uncertain global environment. He was speaking to reporters on the sidelines of the Khazanah Megatrends Forum 2016 here today.

“We expect the continuation of pro-growth, pro-society developmental goals, but at the same time the Government must be fiscally responsible.

“Our various companies in various sectors will continue in contributing as engines of growth. We need to keep the growth engine running,” he said.

Khazanah is a major shareholder in public-listed companies like Axiata Group Bhd and Telekom Malaysia Bhd where Khazanah owns 37.77% and 28.65% stakes respectively, Bloomberg data shows.

In property developer UEM Sunrise Bhd, Khazanah owns a controlling a 66.06% stake.

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Detailed in in the 13th Khazanah Annual Review 2017:

THIRTEENTH KHAZANAH ANNUAL REVIEW (KAR 2017)

13 January 2017

Khazanah posts stronger profits and resilient performance in 2016

Profit Before Tax rises 32%, resilient and long-term value creation intact

Highlights:

• Amidst a volatile year for equity and currency markets, Khazanah posts stronger Profit Before Tax (Unaudited) in 2016, an increase of 32% to RM1.56 billion from RM1.18 billion in 2015
• In line with weakness in most benchmark equity markets and currencies, the portfolio Net Worth Adjusted (“NWA”) declined slightly, posting an unrealized decline of 6.4% to RM101.9 billion as at 31 December 2016 (2015: RM108.9 billion). Nonetheless, the long-run value creation trend remains strong with NWA up by 3.1x or a CAGR of 9.3% p.a., for the period May 2004 to 31 December 2016, with a high-quality portfolio with an Asset Cover of 2.9x
• Continued strong focus on long-term value creation across financial, economic, strategic and societal value creation
• Highlights for 2016 include the 10^th Anniversary of Iskandar Malaysia and continued focus on catalytic domestic investments; the launch of Khazanah’s fifth overseas office in London and continued gradual internationalization in Khazanah’s portfolio, especially in innovation & technology; and continuous improvements at core Khazanah-linked companies as domestic and regional champions.
• More than RM150 million spent on CR activities in 2016, principally through Yayasan Hasanah, and support of the SL1M training programme, with the cumulative spend and allocation of more than RM3.9 billion over the period 2006-2016
• More than RM10.6 billion of dividends and taxes paid and payable to the Government over the period 2004-2016

Khazanah Nasional Berhad (“Khazanah”) today presented its 13^th Khazanah Annual Review (“KAR 2017”), demonstrating resilience and sustained long-term progress across its financial, strategic and value distribution performance.

Tan Sri Azman Hj. Mokhtar, Managing Director of Khazanah said: “Khazanah recorded both a profitable and resilient performance in 2016, amidst the challenging and volatile global economic environment that affected all core benchmark markets and currencies. In spite of general weakness in global market conditions and in equity and currency markets in emerging economies especially, the underlying strength and quality of our portfolio ensured that long-term value creation remained intact. Profitability, as represented by Profit Before Tax, while relatively modest in absolute terms, was stronger by 32% in 2016 from the previous year. Just as importantly, many risk management and prudential measures have been put in place over the years, resulting in a strong and resilient portfolio which allows us to ride short- and even medium-term volatility, and continue focusing on long-term value creation, as we have done over the last decade and more.”

1. Financial Performance

a. Long-term value creation
Khazanah recorded a 32% increase in unaudited Profit Before Tax (“PBT”) of RM1.56 billion (2015: RM1.18 billion), with cumulative PBT since May 2004 amounting to RM25.08 billion. Khazanah also declared dividends of RM650 million for 2016, with total dividends declared since May 2004 amounting to RM9.11 billion. Taxes paid for 2016 amounted to RM123 million, with taxes paid since 2004 totaling RM1.55 billion.

Portfolio Realisable Asset Value (“RAV”) stood at RM145.1 billion as at 31 December 2016, decreasing RM5.1 billion or 3.4% from RM150.2 billion as at 31 December 2015. Net Worth Adjusted (“NWA”) stood at RM101.9 billion as at 31 December 2016, decreasing RM7.0 billion or 6.4% from RM108.9 billion as at 31 December 2015.

Despite the challenging year, the overall uptrend in Khazanah’s portfolio since May 2004 remained intact. Over the period May 2004 to 31 December 2016, RAV increased RM94.2 billion to RM145.1 billion or 2.8 times as at 31 December 2016 (May 2004: RM50.9 billion), while NWA increased RM68.6 billion to RM101.9 billion or 3.1 times over the same period (May 2004: RM33.3 billion). This translated into a RAV Compounded Annual Growth Rate (“CAGR”) of 8.6% per annum (“p.a.”) and NWA CAGR of 9.3% p.a.. Meanwhile, the RAV cover (assets/liabilities) remained strong at 2.9x. This key prudential ratio provides a position of relative strength for Khazanah to move forward into a year which is expected to see continued volatility and uncertainty.

b. High-quality portfolio assets
The resilience was boosted by the positive performance of several key investee companies. In terms of year-on-year NWA movement, portfolio gains were contributed by Tenaga Nasional Berhad (+RM1.5 billion), CIMB Group Holdings Berhad (+RM600 million), UEM Group Berhad (+RM400 million), and Alibaba Group Holding Ltd (+RM300 million), while portfolio decreases were due to the telecommunications sector (-RM5.8 billion), aviation sector (-RM900 million) and IHH Healthcare Berhad (-RM800 million). In terms of RAV segmentation by sector in 2016, media & communications (17.8%), healthcare (16.2%), power (15.7%), financial services (15.3%) and property (11.0%) sectors were the five largest portfolio components.

In 2016, Khazanah made investments totaling RM6.9 billion, including 17 new investments, and 13 divestments providing proceeds amounting to RM4.7 billion, with gains on divestments totaling RM2.6 billion. From 2004 to 2016, Khazanah has made a total of 161 investments worth RM81.6 billion and 90 divestments providing proceeds amounting RM52.8 billion, with overall gains on divestments totaling RM24.9 billion.

2.  Strategic and Operational Performance

Despite the challenging operating environment, the year saw the sustained execution of Khazanah’s strategic mandate to catalyse growth, create and distribute value. This includes supporting domestic growth, driving further internationalisation, including among investee companies, and maintaining a strong focus on innovation and technology.

a. Catalysing domestic growth
On the domestic front, there was continued development in Iskandar Malaysia, which celebrated its 10^th anniversary last year. There was further progress of catalytic investments in the leisure & tourism, education, wellness, property development, Business Process Outsourcing (“BPO”), and creative industries, among others. Overall, Iskandar Malaysia has secured RM218.8 billion in cumulative committed investments from 2006 to September 2016. Khazanah investee companies continued to be involved in key domestic projects, including the launch of KLIA Aeropolis by Malaysia Airports Holding Berhad (“MAHB”), and Telekom Malaysia Berhad’s (“TM”) Broadband Improvement Plan. In the area of Islamic Finance, Khazanah provided further support for Malaysia as a centre for Islamic Finance, with the issuance of a USD750 million straight Sukuk, and a USD399 million Sukuk exchangeable into Beijing Enterprises Water Group Limited shares.

b. Harnessing technology and innovation
Khazanah further rolled out its internationalisation strategy, with the official opening of Khazanah Europe Investment Ltd’s (“KEIL”) office in London by the Prime Minister of Malaysia in May 2016. The KEIL office extends Khazanah’s international presence, which also includes Beijing, Mumbai, Istanbul, and San Francisco.  In tandem, Khazanah made further investments in innovation and technology across several geographies, including the United States, United Kingdom, India, China and Singapore. The continued strong focus on innovation and technology is funded primarily by recycling returns from the earlier investment in Alibaba Group Holding Ltd. It underscores Khazanah’s mandate as a strategic investment fund that creates long-term value for the nation via multiple sources, including harnessing creative disruption and innovation by playing the role of what some have referred to as a “Sovereign Venture Fund”.

c. Furthering regionalisation among investee companies
Khazanah investee companies also expanded their international presence, including:

• IHH Healthcare Berhad’s (“IHH”) acquisition of Tokuda Group and City Clinic Group in Bulgaria; development of a new hospital in Myanmar; partnership with Taikang Insurance Group Inc in China; and joint-venture by IHH subsidiary Parkway Pantai to build a hospital in China.
• Completion of Tenaga Nasional Berhad’s (“TNB”) acquisition of 30% stake in GAMA Enerji in Turkey and 30% stake in GMR Energy Ltd in India
• Completion of Axiata’s acquisition of Ncell Private Limited in Nepal, and merger of Robi Axiata Limited and Airtel Bangladesh Ltd in Bangladesh
• CIMB Group Holdings Berhad (“CIMB”) strategic partnership with China Galaxy Securities Co. Ltd. in China, and the award of a banking licence to CIMB Bank (Vietnam) Limited in Vietnam
• UEM Edgenta Bhd’s acquisition of Asia Integrated Facility Solutions Pte Ltd in Singapore
• Themed Attractions Resorts & Hotels Sdn Bhd’s launch of Kidzania Singapore

Overall, Malaysia remained the largest component of Khazanah’s portfolio in 2016, accounting for approximately 54.9% of RAV by geographic exposure, while overseas investments accounted for the remainder.

d. Malaysia Airlines recovery on track
Meanwhile, there was also steady and continued progress in the rollout of the five-year 12-point MAS Recovery Plan, which after 28 months of implementation, or approximately half-way through, is on track and on schedule. Key milestones in 2016 include the appointment of Peter Bellew to helm Malaysia Airlines Berhad (“MAB”), formation of the Malaysia Aviation Group, and the establishment of the Malaysian Aviation Commission.

3. Value Distribution and Nation-Building Initiatives

a. Delivering societal returns
Khazanah continued to deliver societal returns via corporate responsibility (“CR”) efforts led by Yayasan Hasanah (“YH”), a Khazanah foundation provided with a RM3 billion endowment which focuses on five core areas: Education; Community Development; Environment; Arts, Heritage and Culture; and Knowledge. Overall, Khazanah and YH have collectively spent more than RM900 million on CR initiatives since 2006, including RM89 million on the Khazanah-Skim Latihan 1 Malaysia programme since 2015.

b. Developing human capital and promoting social inclusion
In the education sector, 21 Trust Schools were rolled out in 2016 under the Yayasan AMIR (“YA”) Trust School Programme, bringing the total to 83 schools in 10 states to-date. YA is a not-for-profit foundation incorporated by Khazanah to improve accessibility of quality education in schools through a Public-Private Partnership with the Ministry of Education. Meanwhile, Yayasan Khazanah (“YK”) introduced two new scholarships, Rhodes Scholarship, in Partnership with Yayasan Khazanahand Chevening-Khazanah Scholarship, last year. Yayasan Khazanah awarded 114 scholarships in 2016 under its various scholarship programmes, and has awarded a total of 649 scholarships since 2006. In addition, a total of 5,160 graduates have been trained under the Khazanah-SL1M programme since 2015.

Other social inclusion initiatives rolled out in 2016 include urban rejuvenation projects in Johor Bahru, Kuala Lumpur, Butterworth and George Town by Think City Sdn Bhd, a wholly-owned subsidiary of Khazanah. In addition, the development and promotion of public spaces continued, including the launch of the Taman Tugu Project, an urban rainforest park in the heart of Kuala Lumpur that is being developed through a public-private-civil society partnership. Meanwhile, Khazanah has committed RM71 million for social development initiatives in Iskandar Malaysia, in the areas of affordable housing, capacity building, entrepreneurship development and livability enhancement.

c. Continuing contribution to national transformation
As part of the mandate to create sustainable value for a globally competitive Malaysia, Khazanah continued to provide further support for government policy formation through various platforms in 2016, including the Bumiputera Empowerment Agenda (“BEA”), Unit Peneraju Agenda Bumiputera (“TERAJU”), Special Economic Committee, Performance Management and Delivery Unit (“PEMANDU”), Malaysian Global Innovation and Creativity Centre (“MaGiC”), Talent Corporation Malaysia Berhad (“TalentCorp”), and Global Science and Innovation Advisory Council.

d. Facilitating public policymaking & knowledge development
Meanwhile, Khazanah continued to provide support for government policy formation and deepen linkages across global knowledge networks. Key milestones in 2016 were Khazanah Research Institute’s (“KRI”) publication of “State of Households II”, which examines the latest available data on the state of Malaysian households, and “Climbing the Ladder: Socio-economic Mobility in Malaysia”, a study of inter-generational social mobility in Malaysia, including educational and occupational mobility. In addition, the Khazanah Megatrends Forum 2016, the twelfth in the annual series, was also held with the theme “Geography As Destiny?”, which focused on the political economy of location, environment and demographics. The 12^th Khazanah Global Lecture[1] featured Dr. Jane Goodall, the world-renowned ethologist, conservationist and United Nations Messenger of Peace, who delivered a lecture on “Caring for the Earth: Reasons for Hope”.

4. Outlook for 2017
The volatile, uncertain, complex and ambiguous global business and market environment is expected to continue in 2017. Khazanah will continue to drive long-term value creation, further develop a high-quality and resilient portfolio, ensure holistic value creation in financial, economic and societal terms, as well as strengthen institutional integrity and governance.

END

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All these manifest towards bullish Malaysian economy, increased global trade, higher per capita income, better quality of life.

It is very much Prime Minister Najib’s agenda for the ‘Bigger Picture’, to take Malaysia and Malaysians to a better spot from where it has become, amidst the nation moving towards its sixtieth Merdeka in five weeks time.