18/06/2026

BIZ & FINANCE THURSDAY | JUNE 18, 2026

/thesuntelegram FOLLOW / Malaysian Paper

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in turn train their members and help drive wider adoption of regenerative tourism Awareness about regenerative tourism growing in Asean

MSME sentiment softens as economic conditions shift PETALING JAYA: The SME

practices,” said Wong, who currently serves as secretary of the Malaysian Asso ciation of Hotel Owners and sustainability con sultant for UNDP. Moving on, Wong said that as Asean tourism gradually shifts

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Regarding announced of understanding (MoU) with China Mobile International Ltd, the group reiterated that the collaboration remains in an exploratory stage to assess the potential development of a 50MW data centre in Port Dickson. As previously disclosed, the MoU is not expected to carry any immediate material financial impact on the group. The board and management said they remain focused on disclosure discipline, business con-tinuity, and long-term value creation, ensuring all material corporate developments are com municated in a timely manner through Bursa Malaysia Securities. memorandum adoption emerged as the top business priority, with 51% of respondents indicating a greater focus on technology investments to enhance productivity and efficiency. Access to financing also remains critical, with 51% of MSMEs identifying working capital financing as their primary funding requirement. BPMB Group macro-moni toring and analytics head Mazlina Abdul Rahman said, “While sentiment has moderated, the survey demonstrates that MSMEs remain focused on strengthening their funda mentals through digitalisation, productivity enhancement and market diversification, posi tioning themselves to navigate evolving economic conditions and pursue sustainable growth opportunities. “As businesses adapt to evol ving market conditions, many are also exploring opportunities to diversify revenue streams and tap into regional and international markets.” She added that export-oriented businesses continue to demon strate stronger sales expectations, with 55% expecting sales growth compared to 38% of domestic oriented firms,while 61% of MSMEs intend to maintain their workforce and investing in operational improvements. These trends underscore the adaptability of Malaysian MSMEs and their focus on long-term competitiveness and sustainable growth, said Mazlina. Conducted between January and April, the survey garnered responses from 1,803 businesses across 40 sectors nationwide and provides insights into the challenges, priorities and growth strategies shaping the MSME landscape over the next six to 12 months. the recently

o However, operational outlook remains resilient as businesses continue to invest in digitalisation, productivity improvements and market expansion: SME Bank H1 2026 survey

Sentiment Index for the first half of 2026 showed a moderation in MSME sentiment amid evolving economic conditions, Small Medium Enterprise Development Bank Malaysia Bhd (SME Bank), a subsidiary of Bank Pembangunan Malaysia Bhd (BPMB) Group, said in releasing the survey findings on Wednesday. Nevertheless, the survey showed that the operational outlook remains resilient as businesses continue to invest in digitalisation, productivity im provements and market expansion to support long-term growth. The survey also highlighted emerging trends, priorities and opportunities shaping Malaysia’s MSME landscape. SME Bank relief president and CEO Samad Majid Zain said, “As the backbone of Malaysia’s economy, MSMEs must continue to strengthen their resilience, productivity and competitiveness to navigate an ever-changing business and operating environ ment. “Thus, businesses are placing greater emphasis on digitalisation and operational efficiency, re flecting a shift towards building stronger, more sustainable and

towards regenerative models, industry players are questioning whether a formal benchmark can eventually be established to guide hotels across the region. He said Asean already operates under the Asean Green Hotel standard, but expectations are evolving beyond con ventional sustainability. “We already have the Asean Green Hotel framework, but people are beginning to understand that we need to move forward. Regenerative tourism is no longer something in the future – it has to be implemented now,” he added. Wong noted that while regenerative tourism is not yet formally defined in Asean tourism policy, awareness is growing, particularly in regional forums. “In Asean, we don’t really talk about regenerative tourism yet. But in Bali recently, I was invited under that title, and it shows the direction is already shifting.” Wong warned that countries that fail to adopt circular economy and regenerative practices risk being left behind as global standards tighten. “If Malaysia does not think in terms of circular economy and regenerative systems, we will lose out. This is not just a national issue – it has to be done across Asean, and we need to support each other.” Wong said knowledge-sharing is becoming increasingly important, parti cularly through cross-border colla boration and industry associations. On the regulatory front, he said training and certification efforts are already being strengthened through cooperation between government agencies and industry bodies. Wong pointed to the National Productivity Corporation and UNDP as key drivers in developing green certification frameworks for the tourism sector. “Certification is important. If you claim to be green, there must be a benchmark. Who verifies it? Where is the standard?” Wong said the Ministry of Tourism, Arts and Culture is working with hotel associations and industry groups, including budget hotel associations, to integrate sustainability elements into existing rating systems. Malaysia is also exploring the combination of green assessment tools with hotel star-rating systems to create a more comprehensive evaluation frame work, he added. “Ultimately, the government cannot do everything alone. The only way forward is for the industry and govern ment to work together,” Wong said. To support this, he helped establish the Langkawi Sustainable Community Asso ciation, which aims to bridge know-ledge and implementation gaps at the local level. The initiative focuses on food security, training and practical sustainability practices for hotels, homestays and small landowners across the island. “At the macro level, you look at policy and standards. At the micro level, you work with communities. Both have to move together,” he said. Even smaller land-constrained countries can adopt regenerative prin ciples in scaled-down form, depending on local conditions and resources, he added.

future-ready enterprises. “In line with Bank Negara Malaysia’s Performance Measure ment Framework, these are critical enablers in strengthening MSME competitiveness, resilience and long-term economic contri bution.” He added that strengthening the resilience, competitiveness and long-term sustainability of Malaysian MSMEs remains central to SME Bank’s developmental mandate. The commitment, he said, is reinforced through integrated financing and beyond-financing initiatives, including close to RM2 billion in strategic initiatives under Budget 2026, the SME Bank Relief Programme and its participation in Bank Negara Malaysia’s RM5 billion SME Stabilisation Relief Facility. Some of the key highlights of the survey are that digitalisation

becomes the top MSME priority, overtaking business expansion and marketing for the first time; cost pressures remain elevated, driven mainly by raw materials, transport, logistics and labour costs; cash positions improve across the MSME segment, with 70% of MSMEs reporting more than six months of cash reserves, although micro enterprises remain more vulnerable to liquidity constraints and targeted policy and financing support remain important to help businesses manage costs, accelerate digital adoption and strengthen business sustainability. Digitalisation and technology

Source: SME Bank

Tanco assures stakeholders of uninterrupted business operations and project execution

PETALING JAYA: Main Market listed Tanco Holdings Bhd has addressed the recent trading volatility surrounding its shares, reaffirming its commitment to business continuity and the execution of its strategic infra structure and property develop ment pipeline. The group reiterated that it has responded to the unusual market activity query issued by Bursa Malaysia Securities. Following enquiries with its board of directors and major shareholders, the company confirmed it is unaware of any undisclosed corporate developments that may account for the recent trading patterns. Tanco emphasised that it does not speculate on share price

continue to progress in alignment with their respective regulatory, technical, financing and com mercial milestones. Furthermore, Tanco assured its property purchasers that there are no cancellations or suspensions of any development projects arising from the current market trading activity. Operationally, the Smart AI Container Port remains a long term, private-led infrastructure initiative advancing through necessary technical and regulatory stages. Concurrently, the Port Dickson Free Zone serves as an im portant complementary develop ment intended to support Negeri Sembilan’s broader logistics and industrial economic agenda.

movements. However, the recent, rapid and unprecedented share price fall appears odd, given that all of Tanco’s fundamental businesses, along with its major projects and contracts, were sound and intact prior thereto and are still so, and that it has always maintained strict adherence to market disclosure regulations. It said the recent market volatility does not impact the group’s fundamental business operations, contractual obligations, or strategic direction. All an nounced projects, including ongoing property developments, the Smart AI Container Port and the Port Dickson Free Zone in Negeri Sembilan, remain fully intact. These initiatives, it added