23/07/2025

BIZ & FINANCE WEDNESDAY | JULY 23, 2025

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Malaysian Paper

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Harnessing AI to transform KL into flagship ‘smart city’

DagangHalal makes strategic expansion into Central Asia PETALING JAYA: DagangHalal.com, the world’s largest halal-verified B2B e-marketplace, is accelerating its global expansion strategy by deepening its presence in key Asean markets while forging new trade pathways into emerging frontier economies. A core focus of this expansion is Central Asia, where DagangHalal aims to tap into the region’s rapidly growing halal sector, valued at over US$453 billion (RM1,9 trillion) across Kazakhstan, Kyrgyzstan, Tajikistan, Turkmenistan and Uzbekistan. This strategic move has been significantly supported by Martin Ang, president of the Malaysian Consortium of Mid-Tier Companies, who has played a pivotal role in driving efforts to explore and unlock opportunities within this underpenetrated region. DagangHalal’s recent participation at Thaifex–Anuga Asia 2025 in Bangkok, held from May 27 to 31, further solidified its regional presence. The event, Asia’s leading food and beverage trade show, served as a valuable platform for the company to strengthen its regional trade networks and showcase Malaysian MSMEs to a global audience. “Our success at Thaifex–Anuga Asia was a clear validation of our strong positioning within the Asean halal ecosystem,” said a DagangHalal spokesperson. “It allowed us to connect Malaysian MSMEs with thousands of international buyers. But our ambitions reach beyond established markets. We are also laying strategic foundations in untapped regions such as Central Asia. “Recent high-level engagements with Central Asian leaders mark a critical first step in opening access to this vast and underserved market. “Our two-pronged approach – reinforcing our presence in Asean while expanding into new frontiers – enables us to deliver broader market access for our partners.” To support Malaysian businesses entering these new markets, DagangHalal is leveraging its proprietary digital compliance platform, the Halal Internal Assurance System. The system simplifies halal compliance, enhances traceability, and improves operational efficiency – removing key barriers for companies seeking international market entry, including in Central Asia. The company’s presence at Thaifex, which attracted over 88,000 visitors from 143 countries, also opened the door to new strategic partnerships across Asean, East Asia, Europe, and the Middle East. These alliances, combined with DagangHalal’s expansion into Central Asia, form a powerful and interconnected halal trade network.

o We want Kuala Lumpur to be showcase for region, says Gobind

Ű BY DEEPALKSHMI MANICKAM sunbiz@thesundaily.com

KUALA LUMPUR: Malaysia is setting the stage for an artificial intelligence-driven future, beginning with Kuala Lumpur as the flagship city for smart urban governance and seamlessly integrated digital infrastructure. As the nation’s capital transforms into a model of intelligent city planning, it signals the country’s broader commitment to harnessing AI for sustainable, efficient, and citizen-centric development. Digital Minister Gobind Singh Deo unveiled ambitious plans to transform the capital into a model AI city during a visit to the Kuala Lumpur Command and Control Centre (KLCCC) yesterday, laying the groundwork for a broader “Smart Nation” strategy under Malaysia Digital 2030. “It is clear that the focus is on how we can build a command centre that enables us to deploy smart solutions,” Gobind said during a press conference at the KLCCC. “What is important now is to bring together the existing strengths of each agency and look towards building a National Smart Nation Centre.” The KLCCC, operated by Kuala Lumpur City Hall, serves as the city’s nerve centre for smart traffic management, emergency response and urban planning. With AI-driven systems already in place, including real-time traffic signal adjustments, citywide surveillance analytics, and a developing “digital twin” of Kuala Lumpur, the centre marks a pivotal milestone in Malaysia’s digital transformation. The digital twin, a virtual replica of the city, allows for real-time simulation and analysis of urban dynamics. This supports more effective planning, emergency response and resource optimisation. It is one of several AI-enabled features integrated into Kuala Lumpur’s urban management framework. A key enabler of the AI-driven city model is the country’s data infrastructure.

Gobind speaking during his visit to the Kuala Lumpur Control and Command Centre yesterday. – BERNAMAPIC

Gobind said integration is key to reducing inefficiencies, cutting costs and improving public service delivery. “We must make sure that the data we have is integrated. There is no need to recreate the wheel. This allows us to move faster and optimise what we already have.” Kuala Lumpur will host the Smart City Expo Kuala Lumpur 2025 from Sept 17 to 19, with co-hosts Malaysia Digital Economy Corporation and Digital Nasional Bhd. The event, a satellite of the global Smart City Expo World Congress held annually in Barcelona, will position KL as a regional hub for smart city innovation. “We are preparing now. I’ve been visiting other countries to understand their strengths and to invite them to Kuala Lumpur,” Gobind said. “We want KL to be the showcase for this region.” The event is expected to attract AI solution providers, tech investors, and city planners, making KL a bridge for Asean digital collaboration. Gobind concluded by reinforcing the government’s long-term vision under Malaysia Digital 2030, which aims to evolve from isolated smart city projects into an integrated smart nation ecosystem. “We must always be ready for the technology of the next five years,” he said. “If we move ahead without preparation, we risk falling behind. That’s why the Prime Minister’s digital transformation vision is focused on readiness, trust and secure systems.”

working to ensure that data across ministries is digitised, centralised and AI-ready. “We need to ensure that the data we have is in a usable form for AI,” he said. “That means digitising not just digital data, but also analogue, visual and audio inputs. Once digitised, we need compute power and secure cloud storage to turn data into meaningful solutions.” He pointed to Malaysia’s expanding data centre landscape, including hyperscale investments by Microsoft, Google and Alibaba, as crucial infrastructure to support this transition. “We have a cloud-first policy because that is how we will see new technologies work in AI,” he added. “When we talk about data, we also talk about storage, security and privacy.” The minister also highlighted the role of the Data Centre Task Force, which aims to streamline infrastructure planning and resource allocation in line with AI and cloud computing needs. During his walkthrough of KLCCC, Gobind stressed the importance of breaking down data silos across ministries to deliver seamless services. “Each ministry holds data that is useful. The Health Ministry has new systems to reduce waiting times by letting patients pre book appointments, while the Transport Ministry has real-time data on buses and trains,” he said.

DagangHalal’s dual focus on market expansion and technological innovation represents a pivotal step in building a borderless halal ecosystem that empowers businesses worldwide. KIP REIT unitholders approve RM118m acquisitions, private placement Gobind said the ministry is moving forward with a “cloud-first” policy and is “Imagine combining that data to help someone get to their doctor on time, using the best available route. That’s how AI adds value.”

PETALING JAYA: KIP Real Estate Investment Trust (KIP REIT) has received unitholders’ approval for its latest strategic expansion plan, which includes the acquisition of four retail properties in Selangor and Kuantan for RM118 million, alongside a private placement exercise to raise RM132 million. The newly approved assets – KIPMall Desa Coalfields, Lotus’s Indera Mahkota, and two commercial buildings within an integrated development in Kuantan – are projected to generate RM11.3 million in revenue and RM8 million in net property income (NPI) in their first full year of operations. This equates to 11.7% and 11.6% of KIP REIT’s nine-month FY2025

tenants. Completion and allotment of the new placement units are expected by early September. This latest round of acquisitions and capital raising marks a significant milestone in KIP REIT’s growth roadmap. Upon completion – including pending acquisitions – the group’s total portfolio value is projected to reach about RM1.6 billion, comprising over 3.4 million square feet of net lettable area. The move also strengthens KIP REIT’s geographical diversification, adding exposure to Pahang and reinforcing its presence along the East Coast, complementing its existing footprint in the Klang Valley, Johor and Perak.

160 million new units, targeting gross proceeds of about RM132 million. The book-building phase is under way, with price-fixing scheduled for mid-August. Of the total proceeds, RM106.6 million will be used for the partial settlement of the acquisitions, RM21.9 million will be allocated for asset enhancement initiatives (AEI) at KIPMall Tampoi, and RM3.9 million will be allocated for estimated expenses. The AEI at KIPMall Tampoi forms part of the group’s ongoing asset optimisation strategy, aimed at im proving tenant mix, shopper experience, and rental yields. Planned upgrades include façade enhancements, interior refurbishments, and enhanced amenities to attract higher footfall and quality

Kuantan. We are also encouraged by early investor interest in the private placement. With disciplined capital management and a proactive asset strategy, we are confident in delivering sustainable long-term returns,”she said. KIPMall Desa Coalfields features a well-diversified tenant mix, while Lotus’s Indera Mahkota is anchored by a 15-year master lease agreement with built-in rental escalations. The two commercial buildings include shop lots and a KFC outlet, both secured by multi-year leases with renewal options, providing recurring income from established brands. To fund part of the acquisitions and upcoming upgrades, KIP REIT will undertake a private placement of up to

revenue (RM96.2 million) and NPI (RM68.8 million), respectively, under scoring the earnings accretive nature of the expansion. These assets are expected to deliver an average initial yield of 6.8%, supported by long-term, stable lease structures. KIP REIT CEO Valerie Ong expressed appreciation for the strong backing from unitholders, noting that the acquisitions align with the REIT’s strategy to strengthen its income generating portfolio and support sustainable distribution per unit growth. “The new assets will provide meaningful recurring income while expanding our footprint in high potential suburban and emerging growth areas like Selangor and