BNM: Malaysia’s foreign currency outflow seen at US$9.4b over next 12 months
KUALA LUMPUR (Oct 4): Bank Negara Malaysia (BNM) said Malaysia’s pre-determined short-term foreign currency outflow is seen at US$9.4 billion (about RM43.69 billion) over the next 12 months. BNM's latest projection of Malaysia’s pre-determined foreign currency outflow at US$9.4 billion over the next 12 months is higher than the previous estimate announced on Aug 30, 2022. On Aug 30, BNM said in a statement that Malaysia’s pre-determined short-term foreign currency outflow was seen then at US$8.48 billion, while the country’s projected foreign currency inflow was estimated at US$2.16 billion. “In line with the practice adopted since April 2006, the (foreign currency inflow) data excludes projected foreign currency inflows arising from interest income and the drawdown of project loans,” BNM said. Nor Shamsiah said BNM will ensure that Malaysia's onshore foreign exchange market remains liquid, so businesses can be assured that all their foreign currency needs can be efficiently fulfilled.
Source:The Edge Markets
October 04, 2022 10:40 UTC
My Say: As the Fed battles inflation, emerging markets risk being collateral damage
Capital that had once sought higher returns in emerging markets would now reverse, causing sharp falls in domestic equities, rising bond yields and eroding foreign reserves. If the domestic economy is highly leveraged as most emerging markets post-pandemic are, the consequences can be brutal. In addition to possible recession in 2023, the report warns of a potential string of financial crises in emerging markets. Clearly, further rate increases by the Fed could tip several emerging markets into serious financial problems. Alas, all this is not new; every time the Fed raises rates, emerging markets suffer financial distress.
Source:The Edge Markets
October 04, 2022 07:02 UTC
As revenue increases among listed firms, receivables are growing faster
“Many of the industries experiencing higher receivables-to-sales ratios are related to the consumer sector,” he tells The Edge when contacted. The semiconductor sector, for one, is enjoying higher sales volumes and is likely to clear its mounting backlog. Another manufacturing sector on the list with both higher receivables and sales is packaging materials. On the other hand, those who saw revenue expand faster than receivables include Yinson Holdings Bhd, Malaysia Resources Corp Bhd and Dagang NeXchange Bhd. Comparatively, a smaller percentage of 14% saw higher receivables despite lower revenue, which suggests that “payment headwinds are not yet widespread”, he adds.
Source:The Edge Markets
October 04, 2022 00:48 UTC
Three Melaka food processing factories ordered shut
MELAKA: The Melaka health department ordered three food processing factories to be closed due to non-compliance of cleanliness procedures for food safety and quality standards, during an integrated operation on Monday (Oct 3). According to state Health Department director Datuk Dr Rusdi Abd Rahman, the three factories were ordered shut in accordance with Section 11 of the Food Act 1983, as the department was not satisfied with the cleanliness at the three factories. Dr Rusdi said the three factories were among 73 food processing factories inspected by the department throughout the year. "As of today, the state Health Department had issued 58 compounds worth RM47,350 for various offences involving non-compliance of cleanliness under the food processing and safety standard procedures. Dr Rusdi said the integrated operation was carried out by the Food Safety and Quality Division, as well as the Inspectorate and Legal Unit to ensure food processing factories in Melaka met the Malaysia Food Protection Scheme (MeSTI) standard.
Source:The Star
October 03, 2022 23:07 UTC
QuickCheck: Is it true that our country’s first Cabinet only had 10 ministers?
AFTER Malaysia's very first general election, our country’s inaugural Cabinet was formed on Aug 1, 1955. VERDICT:TRUETHE first Cabinet of the Federation of Malaya had 10 ministers, who were assisted by two deputy ministers and three junior ministers (Menteri Muda). This inaugural Cabinet was formed just a few days on Aug 1, 1955 after the country’s first general election on July 27, 1955. All 15 members of the Cabinet were appointed after getting the royal approval from the Malay Rulers at that time. Another three British officials also had important government posts at that time, namely the chief secretary, attorney general and government secretary," said the Archives.
Source:The Star
October 03, 2022 19:10 UTC
My Say: How tax policy tools can accelerate economic recovery
One key question would be how the government plans to deploy fiscal policy tools that can both support long-term sustainable economic growth and generate higher tax revenue to reduce debt and accommodate growing expenses. It is interesting to witness a varied approach to tax reforms adopted by governments around the world. Will the UK’s proposed tax reforms lead to massive economic growth or will it follow the path of an unsustainable drop in tax revenue as witnessed by Sri Lanka? Expansion of a broad-based consumption tax that can provide a stable flow of tax revenue and is not subject to the fluctuations of economic cycles. Furthermore, the recovery period from a crisis, in this case the Covid-19 pandemic, is an opportune time to institute tax reforms.
Source:The Edge Markets
October 03, 2022 17:32 UTC
Going trendy on a reduced budget
He is familiar with buying used shoes and will browse at shophouses that have been converted into thrift stores or bundle shops. A husband and wife team – Mohd Shahir Talib and Natasha Yusoff – run a bundle shop along Armenian Street here, selling pre-loved shoes. She recalled how their bundle shop came about, saying: “The pandemic had just begun when we started our business. Mohd Shahir, 34, said the public were now open to buying second-hand branded goods as they were much cheaper. The representative said that customers, who comprised locals and foreigners, would visit the shop looking for collectors’ items.
Source:The Star
October 03, 2022 09:23 UTC
Foreign shareholding in Bursa down to 13.6% in August, lowest on record
KUALA LUMPUR (Oct 3): Foreign shareholding in Bursa Malaysia Bhd fell to its lowest on record since 2016 at 13.6% in August 2022, from 14.8% a month earlier, according to the bourse operator and regulator's latest update. Prior to this, the lowest foreign shareholding was 14.4% in January 2022, Bursa said. Bursa's highest foreign shareholding on record was at 28.6% in March 2018, according to the group. Since the beginning of 2022, Bursa's share price had fallen to current levels, from the stock's closing price at RM6.46 on Jan 3. Read also:Bursa Malaysia's foreign shareholding at 14.4% in January, lowest on record
Source:The Edge Markets
October 03, 2022 02:14 UTC
Aviation, aerospace industry hopes for technology-first policy in Budget 2023
KUALA LUMPUR (Oct 2): The local aviation and aerospace industry is hoping that Budget 2023 will include initiatives and policies that encourage technology-first strategies to support post-pandemic recovery and the industry's future ecosystem. "We need a Budget that supports an ecosystem that is friendly and conducive to the growth of the technology industry, not necessarily to the aviation and aerospace industry only but all in general. Kamarul noted that assistance in terms of grants is more suitable than subsidies as the aviation and aerospace industry is capital- and technology-intensive, whereby a huge fund size is needed for it to grow. "If we look at South Korea and Japan, for examples, priority [for investment] is given to domestic technology. Ida added she also hopes that the Budget will address the growth of general aviation and aviation sports.
Source:The Edge Markets
October 02, 2022 14:27 UTC
No conditions to saying yes for GE15 this year, says PM
KUALA LUMPUR: Datuk Seri Ismail Sabri Yaakob said he agreed to hold snap polls this year without conditions. We have the Umno top five meeting, the political bureau meeting and the supreme council meeting before we decide. ALSO READ: Cold ground ahead of polls“If there is a good basis to hold the snap polls, we will agree to it, that was our stand. “As for the date (of dissolution of Parliament), please wait. You have waited since last year, you can wait a little more this year,” said Ismail Sabri.
Source:The Star
October 02, 2022 01:35 UTC
Ringgit likely to trade higher at between 4.59 and 4.62 next week
KUALA LUMPUR (Oct 1): The ringgit is likely to trend higher next week, trading at between 4.59 and 4.62 against the US dollar, on improved market sentiments, an analyst said. “However, ringgit volatility is much lower in comparison to other currencies in the region. [In terms of] currency volatility, the ringgit stood at 6.7%, [followed by the] Singapore dollar (7.2%), Indonesia rupiah (10.1%) and Thai baht (10.3%),” he told Bernama. Mohd Sedek also said historical data showed that the ringgit tended to close lower during the budget week. The ringgit also weakened versus the pound to 5.1728/1762 against 5.0957/0985 last week, and fell against the euro to 4.5428/5458 from 4.4686/4710 a week earlier.
Source:The Edge Markets
October 01, 2022 15:12 UTC
Bursa Malaysia fines Brem Holding’s directors over advances made to private firm
KUALA LUMPUR (Sept 30): Bursa Malaysia Securities on Friday (Sept 30) publicly reprimanded and fined six directors of Brem Holding Bhd for failing to take reasonable care over advances totalling RM26.46 million made to a private company. The exchange imposed a fine of RM200,000 on Brem’s managing director Tan Sri Khoo Chai Kaa, and RM50,000 each on executive directors Khoo Chai Thiam and Low Yew Hwa, independent director Wong Miow Song, and non-independent directors Khoo Hui Keam and Khoo Hui Giok. Bursa noted that Brem had in November 2014 acquired a 49% shareholding in GJH Prestige Sdn Bhd (GJHP) from GJH Holdings Sdn Bhd (GJHH). Bursa noted that Brem continued to make advances, and GJHP had only repaid RM1.6 million to Brem in August 2017. The remaining advances amounting to RM24,863,650 remained unpaid, nearly eight years after Brem had first provided the advances in 2014.
Source:The Edge Markets
October 01, 2022 10:49 UTC
Malaysia's air safety rating restored to Category 1 after all 33 issues raised by FAA were resolved, says Wee
KUALA LUMPUR (Oct 1): Transport Minister Datuk Seri Dr Wee Ka Siong said Malaysia’s air safety rating in the US was restored to Category 1 after all 33 issues raised by the Federal Aviation Administration (FAA) were resolved. According to Wee, a Category 1 air safety rating means Malaysia’s civil aviation authority complies with the ICAO's safety standards. “With an IASA (International Aviation Safety Assessment) Category 1 rating, a country’s air carriers can establish service to the US and carry the code of US carriers. In November 2019, Malaysia was assigned Category 2 in its air safety rating under the IASA programme by the FAA due to non-compliance with the ICAO's safety standards. Read also:Malaysia regains US FAA's Category 1 safety ratingReinstatement of Malaysia's air-safety ranking to Category 1 'truly commendable', says MAHB
Source:The Edge Markets
October 01, 2022 09:03 UTC
Appetite for risks
Traders told StarMetro that customers would come in droves to enjoy the Kuala Lumpur skyline. A trader who sells noodle dishes, said it was worth having a stall there despite the constant threat of enforcement. “There are alternative ways to get to the residential areas of Taman Mulia Jaya and Taman Saujana Ampang instead of using Persiaran Saujana. At least 20 stalls were operating, selling everything from snacks and drinks to meals cooked on the spot. “We sometimes have to station enforcement officers at the site to deter traders from setting up their stalls,” said Mohd Fauzi.
Source:The Star
October 01, 2022 09:02 UTC
Ageson enters MOU to sell vending machines and retail fridges for RM120m
KUALA LUMPUR (Sept 30): Ageson Bhd has proposed to sell 4,000 units of vending machines and retail fridges integrated with internet-of-things system and solutions, for RM30,000 per unit or a total of RM120 million. The proposal is in line with its initiative to explore new business opportunities, said the construction and property development group in a Bursa Malaysia filing. It said its indirect wholly owned subsidiary, Ageson Retails Sdn Bhd, has inked a memorandum of understanding (MOU) with Koperasi Belia Nasional Bhd (Kobena) for the sale. "The entry of the MOU forms a basis of commitment to the parties to create a mutual understanding and also pave a way for further discussion between the parties prior to the signing of any definitive agreement to effectuate the business proposal," said Ageson. At 3.40pm, shares in Ageson were up one sen or 3.03% at 34 sen, giving the group a market capitalisation of RM104.61 million.
Source:The Edge Markets
September 30, 2022 20:37 UTC