18/07/2025

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FRIDAY | JULY 18, 2025

National tech investment framework in the works

OPR likely to stay at 2.75% for rest of year: AmBank chief economist KUALA LUMPUR: AmBank Group expects Bank Negara Malaysia (BNM) to maintain the Overnight Policy Rate (OPR) at 2.75% for the remainder of the year, with the existing level supportive of current economic con ditions. AmBank Group chief eonomist Firdaos Rosli said the current OPR level is appro priate and no adjustments are anticipated in the near term. “We believe the current OPR of 2.75% is adequate. Given the prevailing economic landscape, we do not foresee any changes in the coming months. It is likely to remain unchanged through the end of 2025,”he told reporters at the National Economic Forum 2025 yesterday. However, Firdaos cautioned that the outlook for 2026 may differ, depending on external developments. “There is still considerable uncertainty surrounding economic conditions in the United States and other key markets. The situation could evolve in ways that impact our projections,” he noted. On Malaysia’s economic performance, Firdaos said second-quarter gross domestic product (GDP) growth may moderate slightly to the lower end of the 4% range, following a decline in the Industrial Production Index (IPI). “Given the slowdown in industrial output, GDP growth for Q2 could come in closer to 4%, although still within the targeted range. External trade has remained relatively resilient, which supports overall performance,” he said. He attributed this resilience to front loading activities, particularly among ex porters shipping goods to the United States and other international markets ahead of potential trade disruptions. Firdaos pointed out that the strong 4.4% GDP growth recorded in the first quarter was likely boosted by early festive spending, some of which carried into the second quarter. “Consumer spending remained stable, especially with the Hari Raya period falling within the quarter,” he said. AmBank’s full-year GDP forecast stands at 3.8%, slightly below the World Bank’s pro jection of 3.9%. “We are anticipating a general economic slowdown, primarily driven by external headwinds. Consumer and investment confi-dence remain somewhat subdued, and we expect this trend to continue in the near term,” Firdaos said. While not attributing the slowdown to any specific policy or shock, he emphasised the broader sentiment-driven nature of the deceleration. “It’s a general, broad-based slowdown – not due to any one specific factor such as tariffs – but rather an accumulation of uncertainty in the external environment,” he said. Tariffs, however, remain an area of concern. “In my view, tariffs continue to pose a significant uncertainty in the global trade landscape. The United States is taking a bilateral approach, and it’s still unclear how other Asean countries will be treated under this policy direction,” he said. In light of this uncertainty, Firdaos said, companies may accelerate trade activities to hedge against potential tariff hikes. - by HAYATUN RAZAK

Ű BY HAYATUN RAZAK sunbiz@thesundaily.com

said, has already made strong global commitments. “For instance, we’ve pledged to achieve net-zero emissions by 2050, which anchors our national sustain ability agenda. We’ve also aligned ourselves with international frame works and developed national strategies like the New Industrial Master Plan and the National Energy Transition Roadmap.” He added that Malaysia is actively collaborating with global partners to ensure that its sustain ability efforts remain credible, transparent, and impactful. “Collaboration remains key. We are not doing this alone,” he emphasised. Through strategic frameworks, global partnerships, and a strong national commitment to sustain ability, the country aims to build investor confidence and position itself at the forefront of the global green economy, Mohd Nor Azman said. “As Malacca’s state-backed ICT leader, MICTH plays a vital role in accelerating deployment in the state, supporting our ambition to achieve 80% nationwide CoPA by the second half of 2026. “Through this MoU, 5G con nectivity in Malacca will be enhanced for both consumers and enterprises alike. U Mobile’s Next Gen 5G network will also help advance Malacca’s digital trans formation agenda and drive the growth of its digital economy,” he said. MICTH CEO Dr Nazdiana Ab Wahab said the company values its strategic partnership with U Mobile in accelerating the deployment of 5G in Malacca. “MICTH remains steadfast in its commitment to ensuring seamless and inclusive connectivity across the state, supporting Malacca’s digital transformation and infra structure development for the benefit of the economy and the people of Malacca,” she said. The MoU exchange ceremony took place during the Appreciation Ceremony and Malacca State Tele communication Synergy Event in Kuala Lumpur. The exchange was conducted by Woon, U Mobile head of network programs and rollout Jaime Chee Kar Yean, Nazdiana and Malacca exco for science, technology, inno vation and digital communication Datuk Fairul Nizam Roslan. The event was witnessed by Malacca Chief Minister Datuk Seri Utama Ab Rauf Yusoh and State Secretary Datuk Azhar Arshad.

o Aim is to tap into growing investor interest in green economy and position Malaysia as key player in sustainable sectors, says Mosti

KUALA LUMPUR: The government is developing a National Tech nology Investment Framework to tap into growing investor interest in the green economy and to position Malaysia as a key player in sus tainable, future-focused sectors. Ministry of Science, Technology and Innovation (Mosti) deputy sec retary-general (technology de velopment) Datuk Dr Mohd Nor Azman Hassan said a major chal lenge lies in convincing investors that Malaysia has the capabilities, resources, and long-term vision to support and sustain green invest ments. “While we are rich in natural resources, many of them are still in the development phase. This means we must present a com pelling and credible roadmap to demonstrate our readiness,” he said

He said Malaysia must show that it is not just keeping pace with global trends but actively leading in areas such as responsible mining and the sustainable use of bio diversity and bio-based resources – sectors where the country holds an international comparative advantage. Using rare earth elements as an example, he explained that these materials are crucial in techno logies such as electric vehicles and clean energy systems. However, the challenge is to ensure that the development of these resources is truly sustainable, not only in policy but also in execution. Malaysia, Mohd Nor Azman

during a panel discussion at the National Economic Forum 2025 (NEF 2025) yesterday. He was speaking in a session focused on attracting investments into Malaysia’s emerging economic sectors, especially in areas aligned with global trends such as artificial intelligence and clean energy. “We believe that with clear and consistent steps, Malaysia can rise to the occasion and become a preferred destination for strategic, long-term investments,” he said. Mohd Nor Azman stressed the importance of demonstrating lea dership in sustainability as the world shifts towards greener development.

U Mobile partners Melaka ICT to accelerate 5G rollout in Malacca PETALING JAYA: U Mobile,

their respective expertise to establish an efficient process for 5G site deployment, enabling faster and broader coverage. U Mobile chief technology officer Woon Ooi Yuen said the company has the full support of MICTH as part of its growing list of collaborators who are key to the rollout of its Next Gen 5G network.

ability to achieve its target of 80% nationwide coverage of populated areas (CoPA) by the second half of 2026. The collaboration will see MICTH providing U Mobile with access to its tower and site infrastructure, as well as comprehensive support to expedite site implementations throughout the state. Both parties will also leverage

Malaysia’s next-gen 5G network provider, has signed a memo randum of understanding (MoU) with Melaka ICT Holdings Sdn Bhd (MICTH), a state-backed company of Malacca, to accelerate the deployment of its Next Gen 5G network in the state. The MoU reinforces U Mobile’s

From left: Woon, Nazdiana, Ab Rauf, Chee, Azhar and Fairul Nizam at the MoU exchange ceremony.