Malaysia's Titiwangsa MP Johari Ghani said it is important to monitor the implementation of MoUs entered by Malaysian companies with foreign entities. (Photo:freemalaysiatoday.com)Kuala Lumpur (VNA) –Malaysian Prime MinisterAnwar Ibrahim has announced that the his government cabinet will set up a committeeto supervise investments.
Earlier, Malaysia secured a record of 170 billion MYR(40 billion USD) worth of investment commitments from China. This was a resultof the signing of 19 Memorandum of Understandings (MoUs) between Malaysian andChinese companies.
The projects are being monitored by the Ministry ofInternational Trade and Industry (MITI), the Malaysian Investment DevelopmentAuthority, and Malaysia External Trade Development Corp.
Former second finance minister Datuk Seri Johari AbdulGhani said the government should set up a committee under the InternationalTrade and Industry Ministry to monitor investments coming into the country.
Johari, who is the Titiwangsa MP, said it wasimportant to monitor the implementation of MoUs entered by Malaysian companieswith foreign entities so they can take the next action steps as well as graspthe difficulties and obstacles that investors encounter.
He emphasised that there must be a team to monitor suchinvestments and this can be done through MITI. Reports from time to time areneeded, on why the investments were successful, why they were not, and whypostponements were warranted.
He said there must be follow-ups on the MoUs tounderstand the issues, including those faced by potential investors.
In an interview granted to the Vietnam News Agency, Dr. Carmelo Ferlito, Chief Executive Officer of Centre for MarketEducation (CEM), said there are three main issues that need to be monitoredand popularised properly, namely the difference between the approved MoU,foreign direct investment (FDI) and actual (realised) FDI; the transition fromMoUs to FDI which have been approved and then to FDI implemented; and the finalmatters that have hindered the implementation of FDI projects.
To enhance Malaysia's ability to attract FDI anddevelop an appropriate communication strategy, the official suggested that MITI should establish an FDI monitoring committee with the participation ofInternational Chambers of Commerce and representatives from Malaysia’s industry./.
