The EDGE - 30 Mei 2023

CEOMorningBrief TUESDAY, M AY 3 0 , 2 0 2 3 ISSUE 578/2023 theedgemalaysia.com INDIA RBI CHIEF WARNS OF GOVERNANCE GAPS, MISREPORTING OF STRESSED ASSETS AT SOME BANKS p16 HOME: Bahvest drops 8.89% after founder Lo says he and son ‘seriously’ consider resigning p6 Ann Joo sees bearish outlook for steel industry p8 WORLD: Vietnam exports continue to contract as global demand wanes p17 SoftBank to redeem US$2 bil of bonds, removing extension risk p19 Hong Kong media tycoon Jimmy Lai loses bid to terminate national security trial p26 YTL Power hits new record high as YTL-linked counters extend gains Report on Page 5. BHIC confirms receipt of MOF Inc’s offer for troubled unit Report on Page 3. ZAHID IZZANI/THEEDGE

CEOMorningBrief TUESDAY, M AY 3 0 , 2 0 2 3 ISSUE 578/2023 theedgemalaysia.com

TUESDAY MAY 30, 2023 2 THEEDGE CEO MORNING BRIEF published by ( 2 6 6 9 8 0 - X ) tel . 603-77218000 Level 3, Menara KLK, 1 Jalan PJU 7/6, Mutiara Damansara, 47810, Petaling Jaya, Selangor, Malaysia publisher + ceo . Ho Kay Tat editor-in-chief . Kathy Fong chief commercial officer . Sharon Teh chief operating officer . Lim Shiew Yuin editors . Jenny Ng . Tan Choe Choe Lam Jian Wyn to contact editors: [email protected] to advertise: [email protected] the edge ceo morning brief Read from desktop or mobile device. You can print in A4 to read. Set print mode to fit or shrink oversize page. to get on emailing list [email protected] Customs Dept plans to use e-seal device to curb smuggling DOSM: Malaysia’s producer price index down 3% in April 2023 PUTRAJAYA (May 29): The Royal Malaysian Customs Department is studying and testing the effectiveness of a new electronic security seal device, or e-seal, which will be attached to containers carrying goods in efforts to eradicate smuggling. Deputy Finance Minister Datuk Seri Ahmad Maslan said the e-seal technology, which would replace the decades-long used lead seals, could monitor the movement of containers from the port until they reach the destination registered on the application. He said this was crucial to monitoring the logistical movement of containers and lorries and, thus, eradicate smuggling and increase the country’s revenue. “Its use can indirectly, increase cargo security and the traceability of container movements. Goods can reach the destinations on time and movement information can also be monitored,” he told a media conference after a working visit to the Customs Department headquarters, here, on Monday (May 29). For example, he said, items transported from Port Klang in Selangor to Bukit Bernama Bernama Kayu Hitam in Kedah could be replaced with other items during the journey for purposes of misappropriation. “There is no way we can know that it had stopped at one spot for two hours and replaced the content in the container that had been declared, (but) with e-seal, even if he stops for two hours, we will know it. And the Customs officers can then head to the place and see why they stopped for two hours,” he explained. Ahmad said the e-seal technology was developed by a local company and widely used in East African countries like Kenya, Uganda, Rwanda, Burundi and Congo, adding that the countries’ tax collections were reported to have increased by 20% through the implementation of the e-seal. He said that, so far, the Customs Department had yet to decide when to new technology would be implemented in the country. “Of course, we wish to examine it first. We don’t just get the technology and use it straightaway... there is a certain process,” he said. Meanwhile, Ahmad said the Customs Department seized a total of 2,410.22kg of drugs worth RM81.39 million in the first five months of this year, with the biggest seizure involving 1,307.01kg of cannabis, followed by ecstasy (1,071.14kg), methamphetamine (21.56kg), heroin (3.74kg) and 10,003 Eramin 5 pills. He said the Customs Department also foiled attempts to smuggle subsidised items like diesel, cooking oil, petrol and sugar, involving 100 cases with goods worth RM573,688 seized last year and, for the first four months of this year, 48 smuggling cases were foiled, with goods worth RM432,659 confiscated. KUALA LUMPUR (May 29): Malaysia’s producer price index (PPI) declined by 3% in April 2023, from -2.9% in March 2023, said the Department of Statistics Malaysia (DOSM). The PPI reduction for April was mainly due to a decline in the agriculture, forestry and fishing as well as mining sectors, said the DOSM in a statement on Monday (May 29). The department said the agriculture, forestry, and fishing sector continued to show a negative trend for 10 consecutive months, recording -26.0%, compared with -28.7% in March. Meanwhile, the mining sector also declined by 4.7% in April 2023 from -11.5% in the previous month, due to a decrease in the extraction of crude petroleum index by 12.5%. On a monthly basis, the PPI for local production posted a marginal increase of 0.2% in April 2023, compared with 0.3% in the prior month. The agriculture, forestry, and fishing sector went up 0.8%, attributed to an increase in the growing of perennial crops index (1.1%), while the mining sector posted an increase of 0.5%, in tandem with an increase in the extraction of crude petroleum index (1.5%). The manufacturing sector inched up 0.1%, due to the manufacture of food products (0.9%) and manufacture of chemicals and chemical products (0.7%) indices. On the other hand, the electricity and gas sector decreased by 0.6% as against 0.5% in the previous month, while the water supply sector remained unchanged. The DOSM also said the volatility in prices, particularly for energy and food products, affected the index of producer prices for most countries. The PPI of the US edged up 2.3% after an increase of 2.7% in March 2023, which can be traced in final demand foods, particularly in fresh fruits, melons and eggs for fresh use indices. However, India’s producer inflation declined by 0.9% (March 2023: 1.3%) for the first time since July 2020, while China’s producer prices also continued to slip by 3.6% from -2.5% in the previous month. Japan’s PPI eased by 5.8%, compared with 7.4% in the previous month. HOME

TUESDAY MAY 30, 2023 3 THEEDGE CEO MORNING BRIEF HOME KUALA LUMPUR (May 29): AMMB Holdings Bhd is expecting a 6% loan growth for the current financial year ending March 31, 2024 (FY2024) versus 9% in the prior financial year, amid a high base effect and decelerating economic growth. Group chief executive officer Datuk Sulaiman Mohd Tahir noted that the tapering loan growth in FY2024 was in line with the country’s slower gross domestic products (GDP) expansion. The projected economic growth is 4%-5% this year, compared with 8.7% last year. “The slowdown [in FY2024 loan growth] is because we had this pent-up demand, and hence GDP was growing, and loan growth has [a] close relation with GDP growth. It is just that it is from a high base in 2023,” he told reporters at a briefing on Monday (May 29). The group’s gross loan grew to RM130.2 billion in FY2023 from RM120.0 billion in FY2022. Sulaiman also stressed that the banking group needs to expand its deposit base. count (CASA) ratio reaching 37.4%, which he deemed the highest in the industry. CASA accounts pay little to no interest, hence it is usually beneficial for a bank’s profitability as a result of lower cost of funds. AMMB reported a 9.2% increase in its quarterly net profit for the fourth quarter ended March 31, 2023 (4QFY2023) to RM427.91 million, from RM391.75 million a year ago. However, its net interest income dropped 2.4% to RM521.79 million from RM534.44 million. This brought full FY2023 net profit to RM1.74 billion, up 15% from RM1.50 billion for FY2022, while net interest income grew 5.0% to RM2.28 billion from RM2.17 billion. AMMB declared a dividend of 12.3 sen, bringing the full year dividend to 18.3 sen, translating to a payout ratio of 35%. Read also: AmBank posts 9% rise in 4Q net profit, declares 12.3 sen dividend AMMB sees tapering loan growth of 6% for FY2024 amid slower GDP expansion KUALA LUMPUR (May 29): Boustead Heavy Industries Corp Bhd (BHIC), the shipbuilding arm of Boustead Holdings Bhd, said it has received a letter from the Minister of Finance Inc (MOF Inc) signalling its intention to acquire BHIC’s entire stake of 20.8% in Boustead Naval Shipyard Sdn Bhd (BNS). The stake is currently held through BHIC’s wholly-owned subsidiary Perstim Industries Sdn Bhd. “The terms of the proposed acquisition are subject to negotiations between the parties,” said BHIC in a filing with Bursa Malaysia on Monday (May 29). “Any further material developments on the above matter will be announced to Bursa Malaysia Securities accordingly,” it added. This move by MOF Inc raises eyebrows given how it is seen as a “get-out-of-jail-free” card for BNS which is responsible for the controversial RM9 billion littoral combat ship (LCS) project. BNS was contracted in 2011 to build and deliver six LCS for the Royal Malaysian Navy (RMN), but until today, not one of the six ships had been completed although Putrajaya has already shelled out RM6.1 billion. One question that arises now is how much MOF Inc will be forking out for the 20.8% stake in BNS. Prime Minister Datuk Seri Anwar Ibrahim was quoted by the press on May 27 saying that the government had “no choice” but to take over BNS in order to complete the LCS project. “We have no choice, we have spent RM6 billion, we can’t close, we have to take over to complete the project,” he was quoted saying at the National Book Festival held at the World Trade Centre on May 27. A day earlier, on May 26, Defence Minister Datuk Seri Mohamad Hasan was reported as saying that MOF had established a special purpose vehicle (SPV) to take over BNS. Mohamad had said that despite the ministry taking over the LCS project, it will still be overseen by a project monitoring committee jointly chaired by the secretaries general of the Treasury and Defence Ministry. Boustead Holdings announced that its 68.85%-owned subsidiary, BNS inked a sixth supplemental contract with the government with regard to the construction of littoral combat ships (LCS). BHIC confirms receipt of MOF Inc’s offer for troubled unit The supplemental contract, which contains several revised terms, requires BNS to build five, instead of six LCS, at higher contract cost of RM11.2 billion. The original contract cost was RM9.13 billion. The contention surrounding the LCS project is that RM6.1 billion has been disbursed by the government for construction of the vessels over the past 10 years or so, but not a single one has been completed by BNS. According to BNS chief executive officer Captain Azhar Jumaat, the money disbursed has been spent on buying equipment that are required for pre-order. He refuted that the equipment bought was obsolete, but the equipment is facing “obsolescence”. BHIC is a 65%-owned subsidiary of Boustead Holdings — a company that Lembaga Tabung Angkatan Tentera (LTAT) is in the midst of taking private. LTAT also has an 8.16% direct stake in BHIC. BHIC shares closed up 4.5 sen or 13.85% at 37 sen on Monday, giving it a market capitalisation of RM90.54 million. theedgemalaysia.com BY CHESTER TAY theedgemalaysia.com “The other thing we want to strengthen in FY2024, is to also focus on deposits, the focus is really on retail and SME deposits. Those are the deposits that we see a low rate of runoff, a little bit of stability there as corporations can be a little bit lumpy,” said Sulaiman. Sulaiman noted that AMMB recorded a 6% growth in customer deposits for FY2023, with current account saving acShareholding Structure of Boustead Heavy Industries Corp Lembaga Tabung Angkatan Tentera Boustead Holdings Bhd Ministry of Finance Boustead Heavy Industries Corp Bhd Boustead Naval Shipyard Sdn Bhd 10.38% 8.16% 20.77% One golden share 68.85 % 65% 59.43%

TUESDAY MAY 30, 2023 4 THEEDGE CEO MORNING BRIEF

TUESDAY MAY 30, 2023 5 THEEDGE CEO MORNING BRIEF HOME KUALA LUMPUR (May 29): Shares in YTL Power International Bhd closed at a new record high on Monday (May 29), while parent company YTL Corp Bhd also jumped, following analysts’ rerating of the counter as its latest earnings beat expectations. YTL Power closed up six sen or 4.84% at RM1.30, Bloomberg data showed. It touched an intraday high of RM1.34, with trading volume more than triple its twomonth average to 38.98 million shares. The counter’s previous high was recorded on Dec 31, 2010, when it closed at RM1.24 per share. Meanwhile, shares in its 56%-parent YTL Corp closed at their intraday and three-year high of 90 sen, up 6.5 sen or 7.78%. Trading volume surged to 74.98 million shares, more than four times its two-month average. Both counters have been rising steadily through March this year, with YTL Corp’s share price up 55%, tracking YTL Power’s 81% rise as investors took their cue from improved energy sales volume and prices in its Singapore operations. Another YTL-linked counter, Malayan Cement Bhd, which is 76%-owned by YTL Corp, rose as much as nine sen before settling four sen or 1.45% higher at RM2.79. Shares in the cement manufacturer — which YTL Corp bought into in 2021 — have climbed 33% this year, as it posted its strongest earnings since 2015 and record quarterly revenue due to improved demand, which supported prices and eased some cost pressures. The recovery in the YTL-linked counters followed a few years of underperformance, in the absence of new mega construction projects, and dragged by shrinking power generation operations as well as the highly competitive telco business in Malaysia. Sentiment was also supported by the recent lifting of the renewable energy (RE) export ban by the Malaysian government, with YTL Power having a footprint in both the power generation and power retail businesses in RE-hungry Singapore. YTL Corp also has international operations, investments and projects under development in countries including Singapore, the UK, Australia, France, IndoYTL Power hits new record high as YTL-linked counters extend gains BY ADAM AZIZ theedgemalaysia.com nesia, Japan, Jordan, Myanmar, the Netherlands, Thailand and Vietnam. Strong recovery from FY2023, say analysts “YTL Corp’s latest set of results underpin our thesis of a strong earnings recovery from FY2023 (the financial year ending June 30, 2023),” said MIDF Research analyst Hafriz Hezry in a report on YTL Corp dated May 26. MIDF increased its target price (TP) for YTL Corp to RM1.05 from 83 sen previously, on the improved performance of YTL Power and Malayan Cement, coupled with the economic reopening theme for the hotel division. Including MIDF’s revised forecast, consensus earnings per share (EPS) for YTL Corp for FY2023 have been revised higher by 169% to 5.7 sen, according to two analysts’ coverage tracked by Bloomberg. Meanwhile, YTL Power, which has screaming “buy” calls from all 10 analysts covering the counter, saw consensus EPS revised 48.28% higher to 14.6 sen, following the third-quarter results announcement, with an average TP of RM1.46. On YTL Power, Hafriz said in a separate note that the utility firm’s latest Singapore acquisition — the 396MW Tuaspring plant — effectively increased the generation capacity of its Singapore unit YTL PowerSeraya Pte Ltd by 16%. “In the short term, we expect the weaker ringgit against the Singapore dollar to also artificially lift earnings contributions from Seraya,” he said. Analysts are also expecting a recovery in the water business in the UK after a tariff revision that will be reflected in the coming quarter, coupled with the start-up of another 45%-owned, 554MW shalefired power plant in Jordan. Separately, consensus FY2023 EPS for Malayan Cement were also raised by 54.04% to 7.6 sen. The cement producer has four “buy” calls against two “hold” calls, with an average TP of RM3.37. “We anticipate a stabilised earnings profile, even though average selling prices have peaked, with much lower volatility on the input costs front,” said HLIB Research analyst Edwin Woo in a note dated May 26. HLIB has a “hold” call at RM2.78 on the counter, in view that the upside has been priced in following the rally this year. Steep earnings revision Company Consensus FY2023 9MFY23 Average YTD share earnings forecast EPS TP price gain revision (%) EPS (sen) (sen) (RM) (%) YTL Corp 169 5.7 5.0 1.02 54 YTL Power 48 14.6 11.1 1.46 86 Malayan Cement 54 7.6 6.07 3.37 33 As at 4pm, May 29, 2023 Source: Bloomberg YTL Power International Bhd 0 40 80 120 May 4, 2020 May 29, 2023 0.3 0.6 0.9 1.2 1.5 Vol (mil) RM RM1.30 Source: Bloomberg 56.8 sen YTL Corp Bhd 0 50 100 150 200 250 300 350 May 4, 2020 May 29, 2023 40 60 80 100 Vol (mil) Sen 90 sen Source: Bloomberg 65.2 sen

TUESDAY MAY 30, 2023 6 THEEDGE CEO MORNING BRIEF HOME KUALA LUMPUR (May 29): Information technology (IT) solution provider Cloudpoint Technology Bhd’s share price settled 35.5% higher than its initial public offering (IPO) price of 38 sen per share on its debut on the ACE Market of Bursa Malaysia. At 9am on Monday (May 29), the counter opened strongly at 75 sen or a 97% premium over its reference price, with an opening volume of 17 million shares. Cloudpoint’s opening price was also the stock’s highest price in intraday trade. It was the most active stock on the local exchange, with a total of 344.38 million shares changing hands. Cloudpoint’s IPO was oversubscribed 112.94 times after a total of 36,608 applications for 3.03 billion new shares, with a value of RM1.15 billion, were received from the Malaysian public. The group delivers comprehensive solutions encompassing design, procurement, implementation, support, and after-sales maintenance. Cloudpoint said its clientele includes large enterprises such as financial institutions, telecommunications companies and technology service He said that enterprises are increasingly investing in new technologies to enhance business agility and competitiveness, driven by factors such as growing emphasis on security and cyber defences, the surge in cloud computing, and software modernisation. Under the listing exercise, Cloudpoint had aimed to raise approximately RM40.4 million from its IPO, of which RM13.3 million has been earmarked for business expansion, while RM15.8 million will go towards working capital, RM7.8 million for office relocation, and the remaining RM3.5 million for listing expenses. Cloudpoint’s IPO had entailed a total offering size of 159.48 million shares, where 53.16 million shares were offered to institutional and selected investors, 26.58 million shares made available to the Malaysian public via balloting, 13.29 million shares set aside for eligible directors/employees, and 66.45 million shares for investors approved by the Ministry of Investment, Trade and Industry. M&A Securities Sdn Bhd was the principal adviser, sponsor, underwriter and placement agent for this IPO. Cloudpoint closes 35.5% higher over IPO price on ACE Market debut KUALA LUMPUR (May 29): Bahvest Resources Bhd fell 8.89% at midday on Monday (May 29) to 20.5 sen, after the group’s founder and managing director-cum-chief executive officer Datuk Lo Fui Ming said he and his son, Bahvest executive director Lo Tek Yong, were “seriously” considering resigning from the company, in a written representation. At noon break on Monday, 84.35 million shares in the Sabah-based gold miner were traded, making it the day’s second-most actively traded stock on Bursa Malaysia. The stock had earlier slipped to a low of 19 sen. Year to date, the counter has fallen 37.88%. Fui Ming said the father-son pair mulled stepping down as group directors amid several challenges to focus on their “neglected” company Southsea Gold Sdn Bhd. The challenges include a poison pen letter accusing Fui Ming of stealing gold from the company, boardroom tussles, being raided by the Malaysian Anti-Corruption Commission, and halted mining production. The written representation, which was shared on Monday, was released ahead of Bahvest’s extraordinary general meeting, which was scheduled for June 13 after a group of shareholders holding more than 10% of its shares sought to remove him, Tek Yong and non-executive chairman Datuk Seri Dr Md Kamal Bilal from the board. Bahvest drops 8.89% after founder Lo says he and son ‘seriously’ consider resigning BY ANIS HAZIM theedgemalaysia.com BY HAILEY CHUNG theedgemalaysia.com Bahvest also emerged in the spotlight last week, after the MACC conducted a raid on Bahvest’s wholly owned subsidiary Wullersdorf Resources Sdn Bhd’s gold mine and business premises in Tawau, Sabah. During the raid, key management personnel, namely Fui Ming, Tek Yong, Chong Khing Chung (Bahvest chief financial officer), Shahrol Azuan (Bahvest chief operating officer and chief metallurgist), and Brando Pang Tze Ching (Bahvest assistant general manager), were detained and remanded. “The persons who caused the raid by MACC have effectively caused the mining operations to stop since May 16 and cash flow to be severely impacted, putting the company in serious trouble, all of which are wholly unnecessary. Bahvest has suffered losses, and therefore losses in royalty to the Sabah state,” Fui Ming also wrote. Read also: Bahvest founder Lo and son say ‘seriously’ considering resigning to focus on Southsea Gold Bahvest said 4Q results delayed due to MACC raid, appoints three directors providers in Malaysia. On its financial results for the first quarter ended March 31, 2023 (1QFY2023), Cloudpoint said its net profit tripled to RM3 million, compared with RM933,000 a year earlier. Revenue for 1QFY2023 rose to RM19.40 million, versus RM10.25 million previously, thanks to recurring and project-based incomes. In a statement on Monday, Cloudpoint executive director and chief executive officer Choong Wai Hoong said the group’s IPO was perfectly timed to capitalise on evolving trends, aligning with tremendous market opportunities. Bahvest Resources Bhd 0 100 200 300 May 30, 2022 May 29, 2023 0 10 20 30 40 Vol (mil) Sen 37.5 sen *20.5 sen *As at noon break on May 29, 2023. Source: Bloomberg

TUESDAY MAY 30, 2023 7 THEEDGE CEO MORNING BRIEF

TUESDAY MAY 30, 2023 8 THEEDGE CEO MORNING BRIEF HOME KUALA LUMPUR (May 29): A decline in average product prices, coupled with higher utility and fuel costs, dragged Petronas Chemicals Group Bhd’s (PetChem) net profit for the first quarter ended March 31, 2023 (1QFY2023) down 74.37% to RM532 million, from RM2.08 billion a year ago. Earnings per share fell to seven sen, compared with 26 sen previously, according to the group in a bourse filing on Monday (May 29). This was despite a 13.91% rise in quarterly revenue to RM7.56 billion versus RM6.63 billion for 1QFY2022, on the back of the olefins and derivatives segment’s higher sales amid the ringgit’s weakening versus the US dollar. The olefins and derivatives segment’s revenue rose by 23.7% to RM3.39 billion million from RM733 million previously, largely due to lower product spreads, higher energy and utilities costs as well as pre-operation costs from a joint operating company. The fertilisers and methanol segment’s net profit shrank over half to RM533 million, compared with RM1.17 billion a year earlier, due to compressed margins. The specialties segment posted a loss after tax of RM29 million, versus a PAT of RM163 million previously, due to lower demand and compressed margins. Touching on its prospects for FY2023, PetChem said its operations are expected to be primarily influenced by global economic conditions, petrochemical product prices, utilisation rates of production facilities, and foreign exchange movements. “The group anticipates product prices for olefins and derivatives to soften, following demand uncertainty amid global inflationary pressures. Fertiliser and methanol product prices are expected to stabilise, supported by improving demand,” PetChem said. “For specialties, the group expects modest demand recovery as restocking activities have been observed, but the persistent global inflationary environment and a slowdown in certain end markets may pose headwinds on pricing,” the group added. Read the full story PetChem’s 1Q net profit down 74% as product prices fall, operating costs rise KUALA LUMPUR (May 29): Ann Joo Resources Bhd sees bearish sentiment in the steel market outlook given global recession fears and China strains after posting its third straight net loss of RM21.08 million in the first quarter ended March 31, 2023 (1QFY2023). This comes on the back of lower selling price coupled with a higher cost of sales attributable to higher inventory cost. “The outlook of the global steel market is clouded by bearish sentiment, as global recession fears and supply demand imbalance in China are expected to stymie demand recovery momentum, Ann Joo said in a filing with Bursa Malaysia. It also said the steel demand growth is further restrained by the uncertain recovery of China’s steel market, which has been affected by shrinking orders for manufactured goods from overseas, lacklustre domestic consumption and a further slowdown in property investment. China’s fast-rising steel production combined with poor end-user demand recovery, continues to pressure steel prices and industry profit margins. “Despite the rebound in steel prices following China’s reopening in 1Q2023, steel market remains highly volatile and uncertain in the wake of sudden price corrections since April 2023, it observed. On the domestic market front, Ann Joo said the domestic steel market is not immune to volatility, with global economic Ann Joo sees bearish outlook for steel industry uncertainty influencing steel pricing and demand, lacklustre rollout of mega infrastructure projects continues to weigh on demand for construction steel. “The industry’s profitability is also negatively impacted by higher operational costs brought on by rising interest rates and electricity costs,” it added. Compared to a year ago, the steelmaker delivered a net profit of RM32.93 million in 1QFY2022. Its loss per share was at 3.75 sen, compared to earnings per share of 1.25 sen previously. Quarterly revenue also inched down 0.37% to RM670.73 million, from RM673.21 million, lower export tonnage despite higher selling prices of various steel products. Given the challenging market dynamics, the group said it continues to place strong emphasis on balance sheet and cash flow management, in order to stay vigilant and navigate through this volatile and challenging period Shares in Ann Joo closed up one sen or 0.97% to RM1.04, giving the group a market capitalisation of RM602 million. BY JUSTIN LIM theedgemalaysia.com BY IZZUL IKRAM theedgemalaysia.com *Financial year ends on Dec 31 Source: Bursa Malaysia Petronas Chemicals Group Bhd’s quarterly earnings 0 500 1000 1500 2000 2500 0 2 4 6 8 10 Net profit (RM mil) Revenue (RM bil) 1Q 2Q 3Q 4Q FY2022 1Q FY2023 2,076 1,869 1,895 481 532 7.56 6.58 7.03 8.70 6.63 from RM2.74 billion previously, while the specialities segment’s top line leapt over threefold to RM1.75 billion versus RM578 million a year prior, thanks to the inclusion of contributions from a recently acquired subsidiary. Meanwhile, PetChem’s fertilisers and methanol segment posted a 27.15% drop in revenue to RM2.41 billion, compared with RM3.3 billion previously, due to lower product prices partially offset by the weakening local note against the greenback. In terms of earnings, PetChem’s olefins and derivatives segment posted a 76.81% drop in profit after tax (PAT) to RM170

TUESDAY MAY 30, 2023 9 THEEDGE CEO MORNING BRIEF organised BY real estate matters 9.00AM ‑ 1.00PM SiMe DArby Convention Centre JUne 23, 2023 FriDAy JUne 24, 2023 SAtUrDAy navigating risk, Myth vs reality finding opportunities 1. The Malaysian Sustainable Constructions Journey: Are We On Track? Sr Zaid Zakaria Deputy Chief II, CIDB 1. Market Review: The Next 12 Months Foo Gee Jen, CBRE|WTW 2. Opportunities in Ageing Properties Jonathan Lee, Keller Williams Malaysia partners knowledge partner SUStAinAble ConStrUCtion 3. Maximising Returns with Effective Property Management Strategies Low Hon Keong, Henry Butcher Malaysia (Mont’Kiara) 4. Where and What to Buy Siva Shanker, Rahim & Co 2. Sustainable Construction Trends: What Works and What Doesn’t Nicholas Ho Chair, Ho & Partners Architects Explore the latest trends and developments in making the construction and property investment industries sustainable. This symposium also offers a comprehensive understanding of the challenges and opportunities ahead. eMbrACing SUStAinAbility in ConStrUCtion & reAl eStAte 3. Innovative Solutions of Next - Gen Digital IBS Ts Lim Hui Yan Executive Director, Gamuda Engineering by invitation only For enquiries, email [email protected] 5. PANEL DISCUSSION Buying into Sustainable Developments Previndran Singhe, Zerin Properties Ashwin Thurairajah, GreenRE 4. PANEL DISCUSSION Material Matters: Topic: Cement, a Sustainable Building Material? Clarrise Loh Head of Sustainability, YTL Cement Topic: Bamboo for Tomorrow Low Ewe Jin Founder, Better Bamboo Buildings Topic: Next: Ideas to Survive Calamity Dr Tan Loke Mun Principal, DTLM Architect Moderator: Au Foong Yee Editor Emeritus, The Edge Media Group REGiStER at https://myevents.theedgemalaysia.com * Terms & conditions apply. Jess Teng, Gamuda Land Moderator: Amy Wong, Knight Frank

TUESDAY MAY 30, 2023 10 THEEDGE CEO MORNING BRIEF organised BY real estate matters 9.00AM ‑ 1.00PM SiMe DArby Convention Centre JUne 23, 2023 FriDAy JUne 24, 2023 SAtUrDAy navigating risk, Myth vs reality finding opportunities 1. The Malaysian Sustainable Constructions Journey: Are We On Track? Sr Zaid Zakaria Deputy Chief II, CIDB 1. Market Review: The Next 12 Months Foo Gee Jen, CBRE|WTW 2. Opportunities in Ageing Properties Jonathan Lee, Keller Williams Malaysia partners knowledge partner SUStAinAble ConStrUCtion 3. Maximising Returns with Effective Property Management Strategies Low Hon Keong, Henry Butcher Malaysia (Mont’Kiara) 4. Where and What to Buy Siva Shanker, Rahim & Co 2. Sustainable Construction Trends: What Works and What Doesn’t Nicholas Ho Chair, Ho & Partners Architects Explore the latest trends and developments in making the construction and property investment industries sustainable. This symposium also offers a comprehensive understanding of the challenges and opportunities ahead. eMbrACing SUStAinAbility in ConStrUCtion & reAl eStAte 3. Innovative Solutions of Next - Gen Digital IBS Ts Lim Hui Yan Executive Director, Gamuda Engineering by invitation only For enquiries, email [email protected] 5. PANEL DISCUSSION Buying into Sustainable Developments Previndran Singhe, Zerin Properties Ashwin Thurairajah, GreenRE 4. PANEL DISCUSSION Material Matters: Topic: Cement, a Sustainable Building Material? Clarrise Loh Head of Sustainability, YTL Cement Topic: Bamboo for Tomorrow Low Ewe Jin Founder, Better Bamboo Buildings Topic: Next: Ideas to Survive Calamity Dr Tan Loke Mun Principal, DTLM Architect Moderator: Au Foong Yee Editor Emeritus, The Edge Media Group REGiStER at https://myevents.theedgemalaysia.com * Terms & conditions apply. Jess Teng, Gamuda Land Moderator: Amy Wong, Knight Frank

TUESDAY MAY 30, 2023 11 THEEDGE CEO MORNING BRIEF HOME KUALA LUMPUR (May 29): Public Investment Bank Bhd (PIVB) has estimated that eliminating fuel subsidies for the top 20% income group earners (T20) would increase inflation by an additional 0.45- 0.75 percentage points (ppts) annually. In a note on Monday (May 29), the investment bank said although headline inflation which includes food and energy prices in the country had exhibited a downward trajectory in recent months, primarily driven by the tempering of various cost factors, core inflation (which excludes food and energy prices) is poised to persist at elevated levels due to the robust state of demand condition. “The continued implementation of price controls and fuel subsidies will serve as partial mitigating factors, curbing the extent of inflationary pressures. “(Nonetheless,) it is essential to acknowledge that the inflation outlook carries a notable risk bias toward the upside, remaining acutely vulnerable to potential shifts in domestic policies pertaining to subsidies and price controls, as well as developments within financial markets and global commodity prices,” it said PIVB noted that without petrol subsidies, it is estimated that the actual price of RON95 has reached approximately RM3.22 per litre, compared to the present RM2.05 per litre. “We believe that the subsidy ceiling for RON 95 and diesel, set at RM2.05 and RM2.15 per litre, may be subject to review and potentially increase gradually in the latter part of the year,” it said. Deputy Finance Minister Datuk Seri Ahmad Maslan reportedly said on May 19 that the T20 group earners will no longer enjoy benefits meant for lower and middle-income earners with the implementation of targeted fuel subsidies for RON95 petrol and diesel next year. Last Friday (May 26), the Department of Statistics Malaysia (DOSM) revealed that the consumer price index (CPI), which measures inflation, grew at a slower pace of 3.3% yearon-year (y-o-y) in April 2023, from 3.4% y-o-y in March 2023, while core inflation also slowed to 3.6% y-o-y in April 2023, versus 3.8% in the previous month. Moving forward, PIVB anticipates that headline inflation in the country is likely to average between 3% and 3.5% in 2023 against Bank Negara Malaysia (BNM)’s and the Ministry of Finance (MoF)’s forecast of 2.8%-3.8%, with the caveat that any amendments to the cap on retail oil prices or implementation of price control measures may affect its (PIVB’s) projection. On the overnight policy rate (OPR) adjustment, the investment bank anticipates that BNM would adopt a wait-andsee approach, particularly with regard to the monitoring of significant central bank developments. “Should Malaysia’s domestic economy surpass expectations, it is not inconceivable that BNM may seek to optimise its monetary arsenal by normalising statutory reserve requirement (SRR) from the current rate of 2% to 3% in the first half of 2024,” it said. The central bank has increased the overnight policy rate (OPR) by 25 basis points to 3% at its May 2-3 Monetary Policy Committee meeting. PIVB: Inflation likely to rise extra 0.45-0.75ppts annually if T20 excluded from fuel subsidies KUALA LUMPUR (May 29): Malaysia attracted approved investments worth RM71.4 billion in the manufacturing, services and primary sectors for the first quarter (1Q) of 2023, according to the Malaysian Investment Development Authority (Mida). The government’s principal investment promotion and development agency said this involves 1,265 projects that are expected to generate 23,977 new job opportunities. “With its conducive investment landscape, Malaysia continues to capture more foreign direct investments (FDI) than domestic direct investments (DDI). “FDI contributed RM37.5 billion, representing 52.5% of the total approved investments,” Mida said in a statement on Monday (May 29). Singapore leads with approved investments totalling RM11.5 billion, followed by the British Virgin Islands (RM7.1 billion), China (RM6.5 billion), Hong Kong (RM2.9 billion), and South Korea (RM2.5 billion). Meanwhile, DDI accounted for RM33.9 billion, reflecting domestic investors’ renewed confidence in Malaysia’s economic progress and prospects, the agency said. On approved projects by state, Mida said the top five states that attracted a significant portion of the approved investments were Kuala Lumpur with RM21.8 billion, followed by Johor (RM10.6 billion), Selangor (RM7.4 billion), Perak (RM7.1 billion), and Sabah (RM6.3 billion). In terms of sector, the services sector drew the lion’s share of approved investments at RM53.6 billion (with over 12,000 job opportunities), followed by the manMida: Malaysia attracts RM71.4 bil in approved investments for 1Q2023 ufacturing sector (RM15.6 billion, over 11,900 new jobs), and the primary sector (RM2.2 billion). Investment, Trade and Industry Minister Tengku Datuk Seri Zafrul Abdul Aziz said Malaysia’s ability to attract RM71.4 billion in approved investments for the quarter underscores the country’s continued appeal as an investment powerhouse. “Both foreign direct investments and domestic investments almost match each other in value. From a domestic perspective, this clearly reflects renewed confidence in Malaysia’s growth prospects. “All these will have a positive spillover impact, particularly on the small and medium enterprises in our domestic supply chain, and on the rakyat (people) in terms of better-paying jobs, which will help support our economy in the face of various global challenges this year,” he said. Malaysia’s investment landscape presents bright prospects, with a pipeline of proposed investments and lead projects overseen by Mida. Bernama Bernama Read the full story

TUESDAY MAY 30, 2023 12 THEEDGE CEO MORNING BRIEF NOW OPEN FOR SUBMISSIONS >>> • Entry forms can be downloaded for free from theedgemalaysia.com and edgeprop.my. • For enquiries, please contact us at 603-7721 8244 or [email protected] SUBMISSION DEADLINE All entries must reach The Edge Communications Sdn Bhd at Level 3, Menara KLK, No. 1 Jalan PJU 7/6, Mutiara Damansara, 47810 Petaling Jaya, Selangor, by 5PM, FRIDAY, JUNE 23, 2023 The Edge Malaysia Top Property Developers Awards, the anchor awards of The Edge Malaysia Property Excellence Awards, was established in 2003 to rank Malaysia’s best property players based on their quantitative and qualitative attributes. The Edge Malaysia-PAM Green Excellence Award is an exercise to recognise property developments that demonstrate sustainable design that is innovative and outstanding while contributing positively to the community. The Edge Malaysia Affordable Urban Housing Excellence Award is an exercise to recognise outstanding affordable housing projects for the urban middleincome group undertaken wholly by private sector property developers in Malaysia. The Edge Malaysia-PEPS Value Creation Excellence Award is an exercise to measure the capital appreciation of properties between the property developers’ selling price and the subsequent resale price in secondary transactions. The Edge Malaysia Outstanding Overseas Project Award is an exercise to recognise impressive projects undertaken wholly by Malaysian private sector property developers in other countries. Official Solar Partner Supported By

tuesday may 30, 2023 13 The E dge C E O m o rning brief home Raja Arshad is new PNB group chairman from June 1 KUALA LUMPUR (May 29): Permodalan Nasional Bhd (PNB), one of the country’s largest fund management companies, has appointed Raja Tan Sri Arshad Raja Tun Uda as group chairman from June 1. He is taking over a role left vacant when Tun Arifin Zakaria retired on May 6 after completing his two-year term. The Edge Malaysia weekly reported in its May 8-14, 2023 edition that Raja Arshad is likely to be appointed PNB chairman. This confirms The Edge Malaysia weekly article titled Raja Arshad likely to be appointed PNB chairman. In a statement on Monday (May 29), PNB said Raja Arshad is currently chairman of Ekuiti Nasional Bhd, Icon Offshore Bhd and Bumi Armada Bhd. He was formerly a director of Maxis Bhd and Khazanah Nasional Bhd. — theedgemalaysia.com BAT Malaysia’s 1Q net profit falls 23% on weaker demand KUALA LUMPUR (May 29): British American Tobacco (Malaysia) Bhd (BAT Malaysia) posted a net profit of RM40.32 million for the first quarter ended March 31, 2023 (1QFY2023), a decline of 22.95% from RM52.29 million a year earlier, as a result of a lower volume driven by an increase in vapour usage, the tobacco black market and the start of the Muslim fasting month. Earnings per share dropped to 14.1 sen from 18.3 sen, the group’s stock exchange filing showed. Gross profit margin fell to 22.3% from 24.8% in 1QFY2022, impacted by downtrading and inflationary pressures. Quarterly revenue dropped 25.18% to RM390.23 million, from RM521.56 million a year ago. BAT Malaysia declared a first interim dividend of 13 sen per share — lower than the 17 sen paid in the same period last year — amounting to RM37.1 million, payable on June 26. BAT Malaysia managing director Nedal Salem said the group expects the volatile economic environment to continue impacting its financial performance in the short-term. “We expect this challenging operating landscape to stretch disposable income, leading to downtrading from legal products to tobacco black market options. “Nevertheless, in the medium-term, we are confident that economic conditions will improve, whilst the government looks at introducing balanced regulations on vapour and accelerating their interventions to reduce the tobacco black market,” he added. — by Justin Lim D&O posts sharp drop in 1QFY2023 net profit as performance in China auto market takes hit KUALA LUMPUR (May 29): Hit by the weak Chinese automotive market, D&O Green Technologies Bhd’s net profit tumbled 97.17% to RM863,000 for the first quarter ended March 31, 2023 (1QFY2023), from RM30.45 million a year earlier. Revenue declined 11.13% to RM214.72 million from RM241.6 million in 1QFY2022 primarily as a result of the lower sales of China-manufactured cars, and an overhang of car inventory in China. “Despite being significantly affected by the China automotive market in 1Q2023, D&O’s performance is now recovering in line with the market trend,” the automotive lightemitting diode (LED) manufacturer added in a bourse filing on Monday (May 29). “With its ready capacity, D&O is well-positioned to capitalise on the expected recovery in China’s car sales. Barring any unforeseen circumstances, the management remains optimistic that the remaining period of 2023 will deliver year-on-year revenue growth,” said D&O. — by Syafiqah Salim news In brie f TNB’s 1Q profit up 12% on lower taxes and higher tariff surcharge KUALA LUMPUR (May 29): Tenaga Nasional Bhd’s (TNB) net profit for the first quarter ended March 31, 2023 (1QFY2023) grew 12.23% to RM1.002 billion from RM893.1 million a year ago, as higher revenue and lower taxes helped offset the higher operating and finance costs incurred. The group’s receivables continued falling. It saw a decrease of RM3.17 billion or 13.8% in receivables, deposits and prepayments to RM19.66 billion, compared with RM22.83 billion the year before. Despite a weaker operating profit against the comparable period, it was the strongest earnings by the utility giant since 3QFY2021, when it booked a net profit of RM1.004 billion. The strong set of financial results came after the imposition of a higher tariff surcharge on certain non-domestic consumers in the first half of 2023 (1H2023) to recoup the additional generation costs incurred in 2H2022. Earnings per share expanded to 17.42 sen, from 15.6 sen for 1QFY2022. Quarterly revenue was up barely 3.89% to RM12.63 billion from RM12.15 billion, on higher sales of electricity with demand growth of 0.8%, TNB said. — by Adam Aziz Padini pays four sen dividend following 33% jump in 3Q net profit KUALA LUMPUR (May 29): Padini Holdings Bhd saw its net profit rise 33% to RM43.38 million for the third financial quarter ended March 31, 2023 (3QFY2023), from RM32.62 million a year earlier, on higher revenue incurred during the quarter under review. Earnings per share came in higher at 6.59 sen for 3QFY2023, compared with 4.96 sen a year ago. The fashion retailer’s profitability was offset by a 44.64% surge in administrative expenses, which stood at RM30.72 million, compared with RM21.24 million previously. It was also affected by higher selling and distribution costs, which increased by 40.87% to RM94.18 million in 3QFY2023, the group showed in a bourse filing. Tax expenses, meanwhile, increased 58.41% to RM14.68 million. Quarterly revenue increased 38.8% to RM457.23 million, from RM329.34 million for 3QFY2022. Padini also declared a fourth interim dividend of 2.5 sen per share and a special dividend of 1.5 sen per share for FY2023, payable on June 30. — by Justin Lim

tuesday may 30, 2023 14 The E dge C E O m o rning brief home PUTRAJAYA (May 29): Tenaga Nasional Bhd (TNB) has won its appeal to set aside a High Court order for it to pay RM4 million in damages to a steel manufacturing company for alleged negligence over disruption of electricity supply to its factory premises. A three-member panel of the Court of Appeal comprising judges Datuk Abdul Karim Abdul Jalil, Datuk Abu Bakar Jais and Datuk M Gunalan allowed TNB’s appeal to set aside the High Court’s decision after ruling that TNB could not be held liable for Southern Steel Bhd (SSB)’s claim. It also set aside the High Court’s order for UEM Construction Sdn Bhd to indemnify TNB, amounting to RM2 million in respect of TNB’s liability to SSB. In the Court of Appeal grounds of judgment dated May 3 this year, Abu Bakar said SSB’s claim for damages for tort of negligence could not stand as it was based on pure economic loss. “Looking at the pleading, it could not be denied that the relief sought by SSB was not for financial loss due directly to physical damage to SSB’s property,” he said, adding that the court would be minded to allow damages for SSB if the company had pleaded for physical damage as a result of disruption of electricity supply. Abu Bakar said there was no obligation on TNB to pay RM4 million in damages to SSB. He also said since TNB is not liable to SSB, the order by the High Court against UEM Construction to indemnify TNB must also be set aside. The panel also dismissed SSB’s appeal against the quantum of damages awarded to them by the High Court. SSB had claimed for over RM8 million in general damages and/or special damages against TNB. SSB filed a lawsuit against TNB, alleging that the utility company failed to supply electricity to its factory premises over a one-week period from Aug 26, 2008 to Sept 1, 2008. The company claimed that they could not produce steel and suffered losses due to the power cut. Meanwhile, TNB brought in UEM Construction as a third party in SBB’s lawsuit to bear any liability, as TNB claimed that UEM Construction had caused the failure of electricity supply to SSB. TNB claimed that the electricity supply stoppage was due to negligence of the third party when they were carrying out construction works that caused damages to the TNB cables that supplied electricity to the SSB premises. In 2015, the High Court allowed SSB’s claim against TNB and ordered the utility company to pay RM4 million in damages to SSB. It also allowed TNB’s claim against UEM Construction and ordered UEM Construction to bear half of the RM4 million, after finding the company to be 50% contributory in negligence to the accident that caused damage to TNB cables, which directly resulted in disruptions to the electricity supply to SSB factory premises. TNB wins appeal to set aside RM4 mil in damages over electricity supply disruption KUALA LUMPUR (May 29): The RM6.6 billion criminal breach of trust (CBT) trial involving former prime minister Datuk Seri Najib Razak and former Treasury secretary general Tan Sri Mohd Irwan Serigar Abdullah has been postponed to August. This is to give Attorney General Tan Sri Idrus Harun more time to decide on the letter of representation sent by Irwan’s counsels in March this year. Following a brief mention on Monday (May 29), High Court judge Datuk Muhammad Jamil Hussin set Aug 9 for the prosecution to update the court on the matter. Initially, deputy public prosecutor Muhammad Saifuddin Hashim Musaimi informed the court that the AG himself had requested a September date as more time was needed to study and consider the facts presented in Irwan’s letter of representation. “For today (Monday), the AG’s instruction is to get another date so the representation can be considered further. The amount involved is RM6 billion and some time is needed for all the matters brought up in the letter of representation,” he told the court. Najib’s counsel Tan Sri Muhammad Shafee Abdullah did not object to the postponement. However, Irwan’s counsel Datuk K Kumaraendran asked for a date in July as the charge had been “hanging over” his client for over five years now. IPIC trial postponed again as AG needs more time to decide on Irwan’s letter of representation In asking for an earlier date, Kumaraendran also said it would pressure the Attorney General’s Chambers to come back with a decision on the matter. A letter of representation is usually sent by lawyers seeking to reduce or withdraw the charges against the accused. Irwan’s counsels had sent two letters of representation so far; one on Feb 18, 2020, but there had not been any feedback. They then sent another representation in March. This is Najib’s fourth trial related to 1Malaysia Development Bhd (1MDB), where he is charged along with Irwan on six counts of CBT involving RM6.6 billion of government funds to International Petroleum Investment Company (IPIC). Part of the monies are said to be slated for certain purposes including the management expenditures of KLIA, and subsidy and cash assistance, reportedly under the Budget 2017 allocation. It has been reported that the monies were channelled to 1MDB instead, to repay its debts including US$1.2 billion to Abu Dhabi sovereign wealth fund IPIC in April 2017. It was reported in February that IPIC and its subsidiary Aabar Investments PJS agreed to pay the Malaysian government US$1.8 billion. The settlement was in respect of the legal proceedings in the London Court of International Arbitration and the London High Court. by Tarani Palani theedgemalaysia.com Bernama Former Treasury secretary general Tan Sri Mohd Irwan Serigar Abdullah Zahid Izzani/ The Edge

tuesday M AY 30, 2023 15 The E dge C E O m o rning brief

tuesday may 30, 2023 16 The E dge C E O m o rning brief world WASHINGTON (May 29): The US House Rules Committee said it will meet on Tuesday (May 30) afternoon to discuss the debt ceiling bill, which needs to pass a narrowly divided Congress before June 5, when the US Treasury says it would run short of money to cover all its obligations. Democratic President Joe Biden and Republican House of Representatives Speaker Kevin McCarthy on Sunday signed off on an agreement to temporarily suspend the debt ceiling and cap some federal spending in order to prevent a US debt default. Biden said the deal was ready to move to Congress for a vote. “The Committee on Rules will meet Tuesday, May 30, 2023 at 3:00PM ET (7:00PM GMT),” the panel said in a statement on Monday. The deal, if approved, will prevent the US government from defaulting on its debt and comes after weeks of heated negotiations between Biden and House Republicans. It has drawn fire from both hardline Republicans and progressive Democrats, but Biden and McCarthy are banking on getting enough votes from both sides. McCarthy on Sunday predicted he would have the support of a majority of aid programs for poor Americans. The 99-page bill would authorise more than US$886 billion (RM4 trillion) for security spending in fiscal year 2024 and over US$703 billion in non-security spending for the same year, not including some adjustments. It would also authorise a 1% increase for security spending in fiscal year 2025. US House Rules panel to meet Tuesday on debt ceiling bill MUMBAI (May 29): The Reserve Bank of India (RBI) has come across instances of some banks trying to conceal the real status of their stressed assets while governance gaps have also been noticed at certain lenders, its governor said on Monday (May 29). “During the course of our supervisory process, certain instances of using innovative ways to conceal the real status of stressed loans have also come to our notice,” Shaktikanta Das said during his inaugural address to directors of banks at a conference organised by the RBI. Das did not name any bank. Instead, citing examples, the governor said that supervisors had spotted some instances of sale and buyback of stressed loans between two lenders, structured deals with good borrowers to conceal stress and disbursement of new loans close to the time of repayment. Das also said that despite the guidelines on corporate governance, it was a matter of concern that the RBI has come across gaps in governance at certain banks, which have the potential to cause some volatility in the sector. “While these gaps have been mitigated, it is India RBI chief warns of governance gaps, misreporting of stressed assets at some banks necessary that boards and the managements do not allow such gaps to creep in,” he said. However, the Indian banking sector today stands out as strong and stable with a good capital-to-risk-weighed asset ratio, low gross and net bad loan ratios and a healthy provision coverage ratio, Das said. “It is in times such as these that complacency may set in,” he flagged. “We have to bear in mind that risks often get overlooked or forgotten when things are going well.” Therefore, bank boards and senior management should keep a constant vigil on external risks and build-up of internal vulnerabilities, if any. A robust governance structure is the most important requirement to ensure the stability of a bank and sustainable financial performance, Das added. Over-aggressive growth, under-pricing or over-pricing of products both on the credit and deposit sides, concentration or lack of adequate diversification in deposit-credit profile can expose banks to higher risks and vulnerabilities, Das said. “RBI has engaged with certain banks on the need to make suitable adjustments in their business strategies where it was observed that over-aggressive growth in certain business segments were creating avoidable vulnerabilities,” Das said. by Swati Bhat & Siddhi Nayak Reuters by Kanishka Singh Reuters While these gaps have been mitigated, it is necessary that boards and the managements do not allow such gaps to creep in.” his fellow Republicans, and House Democratic leader Hakeem Jeffries said he expected Democratic support. The agreement would suspend the debt limit through Jan 1 of 2025, cap spending in the 2024 and 2025 budgets, claw back unused Covid funds, speed up the permitting process for some energy projects, and include extra work requirements for food Reuters Reuters

tuesday may 30, 2023 17 The E dge C E O m o rning brief world (May 29): Gold prices hovered near twomonth lows in thin trading on Monday (May 29) as the US debt ceiling agreement eased investor worries and weighed on safe haven assets, while chances of the Federal Reserve raising rates dampened Gold holds at two-month lows as US debt deal, Fed hike bets weigh (May 29): Vietnam’s exports contracted for a fourth month so far this year, adding to risks of a growth slowdown in an economy already battling a crisis in the local property sector. Exports declined 5.9% in May, while imports shrank 18.4%, according to data released by General Statistics Office in Hanoi. While the drop in exports was slower than a 10.3% fall seen in a Bloomberg survey, the imports performance was worse than expected. Headline inflation in May quickened 2.43% from a year ago, the lowest level in 14 months, other data showed. Meanwhile, core inflation, which strips out costs of food, fuel, healthcare and education services, came in at 4.54%. A global trade downturn is hurting export-reliant economies across the region including manufacturing powerhouses Singapore and Taiwan amid weakening world demand and smaller-than-expected benefits from China’s reopening. Meanwhile, slowing inflation has given Vietnam’s central bank room to reduce borrowing costs to support businesses, including builders, and help spur economic activity. The State Bank of Vietnam bank has slashed key policy rates three times this year. The economy will continue to face trade pressures for the rest of the year, said Deputy Planning and Investment Minister Tran Quoc Phuong, according to the government’s website. Vietnam’s first-quarter processing and manufacturing sector experienced significant decreases as trade partners such as the US, EU and Japan grappled with slowing economies and declining demand, Phuong said during a virtual talk on Saturday (May 27) afternoon. The central bank, meanwhile, has vowed to keep pressuring lenders to lower loan rates to help stimulate the economy. (May 29): Xiaomi Corp is deepening local sourcing in India, where the Chinese smartphone company seeks to regain market share it lost amid heightened regulatory scrutiny and stiff competition. Xiaomi contracted home-grown Optiemus Electronics Ltd to make its bluetooth neckband earphones — the first time an Indian supplier will make an audio product for the Beijing-based tech giant, Muralikrishnan B, the president of Xiaomi India, said in an interview. “This marks our entry into a whole new set of categories,” Muralikrishnan said late last week at an Optiemus factory in the Noida suburb of Indian capital New Delhi. “We see this as a milestone, as further proof of our commitment to making in India.” Xiaomi led India’s smartphone market for years, but allegations of money laundering and increased state scrutiny contributed Vietnam exports continue to contract as global demand wanes Xiaomi sources more production in India amid regulatory scrutiny by Mai Ngoc Chau & Nguyen Kieu Giang Bloomberg by Sankalp Phartiyal Bloomberg by Seher Dareen Reuters the demand for bullion. Spot gold was little changed at US$1,946.24 per ounce by 1159 GMT, while US gold futures inched up 0.1% to US$1,945.20. The news of a debt deal being finalised in Washington, which still has to pass through Congress, came on a low-volume day with the US and parts of Europe, including Britain, on holiday. “Until a couple of days ago, a majority of investors were betting that the Federal Reserve was remaining steady with rates and would not raise them in the coming month,” said Carlo Alberto De Casa, external analyst at Kinesis Money. Last week’s economic data changed that view, with the Fed now expected to raise rates in its June 13-14 meeting. Fed Fund futures showed a 59.4% chance of a 25-basis-points increase, with rates peaking in July at 5.318%. Gold, which offers no yield of its own, tends to fall out of favour with investors when interest rates rise. The dollar index was near its two-month peak, weighing on gold prices. A stronger US dollar makes the yellow metal more expensive for holders of other currencies. to a decline of more than 20% in its shipments in the country last year, according to research firm Counterpoint. It ranked third in the last quarter of 2022, also hurt by tough competition, component shortages and an excessively wide product portfolio that confused customers and retailers. South Korean rival Samsung Electronics Co beat Xiaomi to the top spot in the period, and has since reinforced its manufacturing push in India by locally building its fold and flip smartphones as well as its latest Galaxy S23 flagship. Xiaomi is now betting on growing demand for smart TVs, bluetooth earphones and other accessories to boost revenue in the country. Previously, Xiaomi and some of its Chinese rivals were hesitant to make earphones and smartwatches in India, as it was easier to import these products from China to a market where demand was still budding. But as Indian state agencies’ crackdown on Chinese firms intensified, they rushed to explore manufacturing alliances with local companies, possibly to win New Delhi’s favour. Read the full story Read also: Wuhan publicly names hundreds of debtors amid financial woes bloomberg

tuesday M AY 30, 2023 18 The E dge C E O m o rning brief I n a digitalised world, the art industry has to explore new ways of connecting with audiences. As art and culture go virtual, digital spaces are providing broader inclusivity and accessibility by bringing visual experiences that are both emotive and inspiring to viewers across all borders. Delivering beautiful stories and narratives while capturing history, emotions and experiences is what Khazanah Nasional aims to achieve with its virtual art gallery, Galeri Khazanah, which was designed by local architecture firm Fei Architect. Now in its second edition titled The Colour of Life, this newest virtual exhibition pulls together 65 artworks by 40 modern and contemporary Malaysian artists. Bold and vibrant, the collection showcases the artists’ personal interpretations of nature, socio-cultural perspectives and folklore narratives. Guests can immerse themselves in the diverse artworks while being serenaded by the orchestral strains of Seri Mersing, which was composed by ghazal pioneer Pak Lomak and arranged by the Malaysian Philharmonic Orchestra’s Ahmad Muriz Che Rose. The intertwining of visual art and sound evokes a sense of pride and appreciation for the richness of the arts, history, culture and heritage. Continued efforts by Khazanah to cultivate heritage appreciation via the digitalisation of art through Galeri Khazanah’s digital platform will help ensure that the country’s valuable visual arts — and the skill sets required to create them — are not lost to future generations. BRINGING EVOCATIVE ARTWORKS TO VIRTUAL AUDIENCES Giclee Art founder and Galeri Khazanah collaborator Wesley Wong is excited about the opportunities presented by digital platforms. “It opens new possibilities for artists to create and display their work,” he says. “Technology such as virtual reality and augmented reality could become more prevalent as mediums for creating and experiencing art. It also provides greater access to anyone who wishes to know about our art history and culture.” Wong photographed and digitalised all the artwork and sculptures from Khazanah’s private collection, including those on display in The Colour of Life. These art pieces, curated by art consultant Sarah Abu Bakar, can be viewed in Galeri Khazanah’s five thematic virtual reality spaces: the Lobby, Traditional House, Peranakan, Pavilion and Glass Room. Painter, curator, writer and educationist Noor Mahnun Mohamed is among the artists featured in this particular exhibition. Widely known as Anum on the Malaysian art scene, she holds a Master of Fine Arts from Hochschule für Bildende Künste, Braunschweig, Germany. Her works THE COLOUR OF LIFE: A kaleidoscope of virtual art expressions Josh’s Parasocial I,II,III sculptures underplay ghoulish inspirations and grim desires; hiding behind playful shades of pastel and innocent expressions, alluding to how commonplace parasocial interactions are in our age of interconnectedness. Scanning work details of artworks into digital format for Galeri Khazanah virtual platform. Noor Mahnun Mohamed, How to Make Soap Bubbles, 2007, Oil on Linen Mark preparing a new series of paintings and print work at ACME studios in London. range from figurative to still life, featuring domestic objects and depictions of flora or fauna against a backdrop of geometric patterns. Her painting titled How to Make Soap Bubbles, of soap and a spray bottle, can be viewed in the lobby of Galeri Khazanah. “The title itself suggests an instruction on how to make soap bubbles; a combination of soap and water,” Noor Mahnun says. “But it also questions how to make soap bubbles as the spray bottle is missing the trigger.” Fellow artist Justin Lim expresses himself through paintings, installations and mixed-media works. His artwork, The Guardian Lions 1 & 2, was created during the Khazanah Nasional Artist Residency Programme in 2013, which was hosted by The Red Gate Gallery in Beijing, China, and is on display at the Pavilion Room of Galeri Khazanah. “I remember it being -8 degrees outside with heavy snowfall throughout the month, and outside at the entrance to my studio compound stood two large Chinese guardian lions,” he reminisces. “These lions are typically presented in pairs at many entrances, symbolising protection and a balance of yin and yang. Outside my studio door also stood several eucalyptus trees. During the winter, the bark would peel and create these amazing patterns and shades of colour. I remember being quite taken with these trees that they kept appearing in my works even after residency.” NURTURING EMERGING TALENT AND ENRICHING THE LOCAL ART SCENE Khazanah may be the government’s strategic investment arm, but its aspirations go beyond investments. A passionate advocate for the preservation, appreciation and recognition of local arts, heritage and culture, the sovereign wealth fund also seeks to nurture local emerging talent as part of its nation-building efforts through its Khazanah Nasional Associate Artist Residency Programme (KAAR) under the Khazanah Residency Programme (KRP). This three-month upskilling and growth development programme provides international exposure to its participants, who are entrusted, upon their return, to impart practical knowledge collected throughout their residency to the next generation of artists. Mark Tan, who is among the artists in KAAR’s 2023 cohort, appreciated his time in the programme. “The most effective part of the residency for me was the studio visits. Throughout the residency, I was given six sessions of studio visits whereby six different industry professionals (artists and curators) would drop by my studio at different times and I would get a one-to-one critique session with them,” he says. Feedback aside, the Kuala Lumpur-based multi-disciplinary artist believes the connections he made will come in handy as his journey as an artist progresses. Fellow cohort member Joshua Kane Gomes loves the idea of bridging the gap between people through art. Often working with evocative sculptures and installations, this creative says the main highlights of his experience with KAAR were meeting local art professionals and seeing the works of artists that he admires. He also marvels at the scale of some exhibitions. “It’s interesting how, due to the size of the art scene in London, the various circles barely intersect, so the people we meet often have very different experiences and insights to offer — not just regarding art-making but also career paths and sustaining a practice too,” he shares. GIVING BACK TO SOCIETY AND THE COUNTRY FOR A BETTER MALAYSIA As a strategic investor that seeks to deliver sustainable economic and societal values for the nation, Khazanah is committed to giving back to society and the country to create a better future for Malaysians. Its efforts to create societal value are part of its “Advancing Malaysia” strategy to build capacity and foster vibrant communities. By preserving and cultivating appreciation for the nation’s history, arts, heritage and culture, it believes it can help create a sense of national pride for Malaysia’s current and future generations. Explore mesmerising visual narratives by artists including Fatimah Chik, Nadiah Bamadhaj, Yee I-Lann, Rozana Mohamed, Dr Choong Kam Kow, Syed Bakar Syed Salim, Long Thien Shih, Kamal Mustafa, Dr Zakaria Ali and many more. Take a virtual step inside Galeri Khazanah The Colour of Life: Exploring Kaleidoscopic Narratives

tuesday may 30, 2023 19 The E dge C E O m o rning brief world SYDNEY (May 29): PricewaterhouseCoopers (PwC) Australia on Monday (May 29) ordered nine partners to take leave and overhauled its governance board, as it battles a national scandal over the misuse of confidential government tax plans. The “big four” firm is reeling after a former tax partner consulting on new anti-tax avoidance laws shared confidential drafts with colleagues that were then used to drum up business. In an open letter, acting chief executive Kristin Stubbins said she wanted to apologise on behalf of the firm for “sharing confidential government tax policy information”, and said nine partners had been directed to take leave. “We know enough about what went wrong to acknowledge that this situation was completely unacceptable. No amount of words can make it right,” she said. The Australian Treasury referred the matter to police for a criminal investigation last week. PwC agreed to stand down from government work any implicated staff a day later. Ahead of parliamentary hearings this week expected to focus on the scandal, PwC Australia puts nine partners on leave, overhauls board amid tax leak scandal (May 29): SoftBank Group Corp will redeem US$2 billion (RM9.2 billion) of perpetual dollar bonds as it fulfils earlier pledges to buy back such notes early. The company plans to redeem the notes at their first call date occurring July 19, the technology conglomerate said in a statement on its website on Monday (May 29). It sold ¥222 billion of bonds in Japan in April, and flagged at the time that part of the proceeds would be used to redeem the dollar debt. The buyback will help ease any investor concerns that the callable notes will be left outstanding, an atypical market practice in Asia. Last year, Korean issuer Heungkuk Life Insurance Co had to reverse an earlier decision to skip redeeming its bonds following convulsions in markets. There is pressure on SoftBank as losses mount for its Vision Fund investment unit, while S&P Global Ratings this month cut its long-term credit rating a notch further into junk territory. The firm, which is headed by billionaire founder Masayoshi Son, pivoted late last year to a defensive stance on investments, and buffered its balance sheet by selling existing assets to improve cash holdings. SoftBank’s liquidity position improved to ¥5.1 trillion as of the end of March, including ¥4.5 trillion of cash, from ¥2.9 trillion a year earlier, the company reported this month. The cost to insure SoftBank debt was about 272 basis points at the end of last week, down from 312 basis points at the start of the month, according to CMA data. SoftBank to redeem US$2 bil of bonds, removing extension risk Indonesian central bank targets 30% increase in repo deals this year by Finbarr Flynn Bloomberg Reuters by Lewis Jackson Reuters JAKARTA (May 29): Indonesia’s central bank aims to increase repurchase agreements between commercial banks by 30% this year to 1,026 deals after 76 banks signed a repo master agreement on Monday (May 29), its deputy governor said. An increase in repo transactions would deepen the financial market and help banks manage short-term liquidity issues in Southeast Asia’s largest economy, Destry Damayanti, senior deputy governor of Bank Indonesia said in a speech at the signing ceremony. “We want to deepen our financial market, so that it won’t be too volatile when global turmoil happens,” she said. Most interbank transactions currently are in the unsecured overnight market. There has been a gradual increase in repo contracts in the past three years, although the amount is still small, with daily transactions reaching around 11.4 trillion rupiah (RM3.5 billion) now, compared with around 1.1 trillion rupiah in 2019, Destry said. Fifty of 106 banks operating in Indonesia had used repo transactions prior to the signing. Top lenders Bank Mandiri, Bank Rakyat Indonesia and Bank Central Asia were among 76 banks who signed the agreement. Destry also said Bank Indonesia expected to establish a central counterparty clearing house to facilitate transactions in the financial market by early next year. Reuters Reuters Reuters the firm said the chair of its Governance Board and the head of its risk committee will also step down, and two independent directors were set to join the board. Read the full story

tuesday may 30, 2023 20 The E dge C E O m o rning brief world (May 29): In a two-hour presentation in Taiwan, Nvidia Corp chief executive officer Jensen Huang unveiled a new batch of products and services tied to artificial intelligence (AI), looking to capitalise on a frenzy that has made his company the world’s most valuable chipmaker. The wide-ranging line-up includes a new robotics system, gaming capabilities, advertising services and a networking technology. Perhaps most central to his ambitions, Huang took the wraps off an AI supercomputer platform called DGX GH200 that will help tech companies create successors to ChatGPT. Microsoft Corp, Meta Platforms Inc and Alphabet Inc’s Google are expected to be among the first users. “It’s too much,” Huang, 60, said near the end of his keynote at the Computex show. “I know it’s too much.” The flurry of announcements underscores Nvidia’s shift from a maker of computer graphics chips to a company at the centre of the AI boom. Last week, Huang gave a stunning sales forecast for the current quarter — almost US$4 billion (RM18.41 billion) above analysts’ estimates — fuelled by demand for data-centre chips that handle AI tasks. That sent the stock to a record high and put Nvidia on the brink of a US$1 trillion valuation — a first for the chip industry. In the presentation on Monday (May 29), Huang argued the traditional architecture of the tech industry is no longer improving fast enough to keep up with complex computing tasks. To realise the full potential of AI, customers are increasingly turning to accelerated computing and graphics processing units, or GPUs, like those made by Nvidia. “We have reached the tipping point of a new computing era,” Huang said, as he paced the stage in a trademark leather jacket. Huang also showed off the mind-bending capabilities of generative AI to take inputs in the form of words and then put out other media. In one case, he asked for music to match the mood of early morning. In another, he laid out a handful of lyrics and then used AI to transform the idea into a bouncy pop tune. “Everyone is a creator now,” he said. Huang showed how Nvidia is teaming up with WPP plc to use AI and the metaverse to lower the cost of producing advertising. It’s releasing a networking offering that’s designed to turbocharge the speed of information within data centres. And the company is even looking to change how people interact with video games: A service called Nvidia ACE for Games will use AI to enliven background characters and give them more personality. Huang also unveiled a new robotics platform that he said is aimed at helping Nvidia expanding to industries beyond tech. In heavy industry, for example, he sees opportunities in using robots in factories and warehouses. The DGX computer is another attempt to keep data centre operators hooked on Nvidia’s products. Microsoft, Google and their peers are all racing to develop services similar to OpenAI Inc’s ChatGPT chatbot — and that requires plenty of computing horsepower. To satisfy this appetite, Nvidia is both offering equipment for data centres and building its own supercomputers that customers can use. That includes two new supercomputers in Taiwan, the company said. by Ian King & Debby Wu Bloomberg Nvidia CEO unveils more AI products to capitalise on frenzy One of the biggest AI bottlenecks is the speed at which data moves within data centres. Nvidia’s Spectrum X, a networking system that uses technology acquired in the 2020 purchase of Mellanox Technologies, will address that issue. And the company is building a data centre in Israel to demonstrate how effective it is. The WPP partnership, meanwhile, will streamline the creation of advertising content. The UK advertising titan will use Nvidia’s Omniverse technology to create “virtual twins” of products that can be manipulated to customise ads and reduce the need for costly reshoots. Nvidia’s original business was selling graphics cards to gamers, and it’s returning to that world with the ACE offering. The service will address the problem of NPCs, or non-player characters, the background figures that populate video games. NPCs typically give repetitive responses with scripted dialogue, and that limited range has made them the subject of ridicule in memes and even the Ryan Reynolds movie “Free Guy”. Nvidia ACE will listen to what the gamer says to a character, convert into text and then dump that into a generative AI programme to create a more natural, off-the-cuff response. The Santa Clara, California-based company is currently testing the service and will add guardrails to ensure that responses aren’t inappropriate or offensive. bloomberg We have reached the tipping point of a new computing era.

tuesday M AY 30, 2023 21 The E dge C E O m o rning brief

tuesday may 30, 2023 22 The E dge C E O m o rning brief world (May 29): President Joe Biden and his European allies have repeatedly stressed their desire to “de-risk,” not “decouple,” from the Chinese economy in recent months as a way to explain a slew of new restrictions on trade with Beijing. The problem is, for China there’s no difference. Chinese state media, officials and academics have all publicly rejected the distinction in recent weeks, in a seemingly concerted effort to undermine the rhetorical shift. The official Xinhua News Agency said in a Friday (May 26) commentary that “de-risking is just decoupling in disguise.” “A change in words does not mean a difference in action. In essence, de-risking is hardly different from decoupling,” the agency said, adding that the US has been “stepping up its siege of China.” Chinese Foreign Minister Qin Gang voiced similar criticisms at a press briefing in Germany this month, saying that “if the EU seeks to decouple from China in the name of de-risking, it will decouple from opportunities, cooperation, stability and development.” Fu Cong, China’s ambassador to the European Union, pressed leaders to define what de-risking entails in an interview with the New Statesman. “If de-risking means ridding China of global industrial and supply chains, especially in key areas, and when it involves key technology, we are firmly opposed to that,” he said, according to a transcript published on the embassy’s website. Technology Cold War The shift in US language reflects the Biden administration’s attempt to strike a more moderate tone for Western allies worried about completely cutting business ties with Beijing. Washington’s attempts to deprive China of cutting-edge chips over national security concerns have sparked concerns of a new technology cold war. “Pushing for de-coupling brings the US a lot of international pressure due to its huge economic impact,” said Zhu Feng, a professor of international relations at Nanjing University, adding that the term “de-risking” gives the US more “space to maneuver.” “There’s no substantial difference between the two terms,” he added. “I don’t see the change in rhetoric brings any adjustments in policies.” The de-risking narrative began to take hold in March when European Union President Ursula Von Der Leyen gave a speech that, in part, outlined why she planned to travel to Beijing to meet President Xi Jinping. “I believe it is neither viable, nor in Europe’s interest, to decouple from China,” she said. “We need to focus on de-risk, not decouple.” That approach was widely seen as an attempt to cool US tensions with China, after an alleged Chinese spy balloon was shot down after crossing US airspace a month earlier. That prompted Secretary of State Antony Blinken to cancel a visit to Beijing and further souring diplomatic ties. The Biden administration echoed her language soon after, with Treasury Secretary Janet Yellen saying in April that “we do not seek to decouple our economy from China’s.” National Security Advisor Jake Sullivan argued the next week: “We are for de-risking and diversifying, not decoupling.” That rhetorical shift allowed some of the world’s wealthiest democracies to speak in a common voice on countering Chinese economic risks at a Group of Seven summit in Japan this month. The leaders pledged in a final statement to achieve economic security by “diversifying and deepening partnerships and de-risking not de-coupling.” US ‘goodwill’ Two researchers at the China Institutes of Contemporary International Relations, a think tank affiliated with China’s top intelligence body, wrote this month that the “de-risking” narrative reflected that Western democracies had realised they couldn’t operate without the world’s second-largest economy. They also argued that the term demonstrated “some goodwill” from the US and its allies, as it showed they wanted to keep dialog open with China. Biden said at the close of the G7 that US-China ties could “thaw very shortly,” suggesting a long-awaited call with Xi could be imminent. Still, the researchers cautioned that the new language didn’t mean there would be any fundamental change in their strategy, such as the US rolling back trade sanctions on Chinese entities. Read the full story China rejects US claim that it’s ‘de-risking’, not ‘decoupling’ MELBOURNE (May 29): Foreign investors who left Russia after selling their businesses there between March 2022 and March 2023, withdrew about US$36 billion from the country, the state RIA news agency reported on Monday, citing analysis of data from the Central Bank. Scores of the world’s biggest companies have left or scaled back their operations in Russia, in response to Moscow’s invasion of Ukraine in February 2022. Last week, the central bank played down the impact of foreign company exits, saying that around 200 sale deals had been completed in the March 2022- 23 period, with just 20% involving large asset sales, those in excess of US$100 million. Moscow calls its actions in Ukraine a special military operation, while Kyiv and its West allies call it an unprovoked aggression to grab land. Foreign investors withdrew US$36 bil after selling businesses in Russia — RIA by Lidia Kelly Reuters Bloomberg bloomberg Read also: China urges Japan to halt export restrictions on chips

tuesday may 30, 2023 23 The E dge C E O m o rning brief world (May 29): India’s Oil and Natural Gas Corp aims to invest 1 trillion rupees (RM55.7 billion) by 2030 in a bid to balance its fossil fuel-heavy energy portfolio with green projects. The state-controlled driller that produces more than half the nation’s oil and gas plans to grow its renewable power portfolio to 10,000 megawatts by 2030 from 189 megawatts at the end of March, Chairman Arun Kumar Singh said during a press briefing Monday in Mumbai. It will also focus on using clean energy to produce ammonia and other technologies that can offer around-the-clock generation. “India will continue to grow in fossil fuel demand until 2040, but at the same time we have to step up our efforts for green energy,” Singh said. “We have to do this so that both the worlds can co-exist.” ONGC joins Indian Oil Corp and privately-held Reliance Industries as major fossil fuel powers in the nation who have announced big ticket investments in carbon-free energy. Singh also said the company would try to zero out its direct emissions — but not those that come from the oil and gas it sells — by 2038. Prime Minister Narendra Modi has set a national goal to become net zero by 2070. “Since we have cash flow, possibly in comparison to others we will find it easier to do,” Singh said. “We can take a little riskier position.” The firm has no plans to stop investing in fossil fuels. Its capital spending plan of 301.25 billion rupees for the current fiscal year is almost all dedicated to exploration and development of its oil and gas blocks. Its overseas unit, ONGC Videsh Ltd, is considering bidding for blocks in Guyana, and is also mulling acquisition opportunities in Africa and Latin America, OVL managing director Rajarshi Gupta said during the same briefing. India’s top oil explorer plans US$12 bil green energy spend (May 29): The US will hold joint exercises with Coast Guards from Japan and the Philippines for the first time starting this week amid elevated tensions with China in the region. The trilateral drills will be done off Bataan province that’s facing the South China Sea from June 1 to 7, according to a Philippine Coast Guard statement on Monday (May 29). The exercises will “strengthen interoperability” and will include maritime law enforcement training and maneuvering drills, it said. The exercises are unrelated to Manila’s sea dispute with Beijing, Philippine Coast Guard spokesman Armand Balilo told reporters. “This is a routine exercise between Coast Guards,” he said, adding that the US and Japan both requested the joint drills. The Coast Guard drills are the latest display of cooperation between the US and its allies in Asia, as Washington’s rivalry with China heats up. Some 400 crew members on four ships will join the trilateral exercises, with Australia and India possibly participating as observers, Balilo said. The US and the Philippines last month held the largest version of their flagship military exercises, using rockets and combat aircraft to simulate sinking an enemy ship as part of war games, conducted in an area also near the South China Sea. The Philippine Coast Guard has been in the front line of lingering tensions with China in disputed waters, most recently having a near collision with Chinese ships. Amid this spat, the Southeast Asian nation under President Ferdinand Marcos Jr has been bolstering its defence alliance with the US, with American troops gaining expanded access to Philippine areas earlier this year. TOKYO (May 29): Japanese Prime Minister Fumio Kishida’s son will resign as his aide, the premier said on Monday (May 29), after photos of the son and other relatives apparently pretending to hold a news conference at the official residence sparked an uproar. Kishida told reporters that Shotaro Kishida would step down as his secretary from Thursday, saying the change was due to “inappropriate” behaviour at the official residence. A weekly magazine last week published photos of the younger Kishida and relatives apparently pretending to hold a news conference at the podium where the prime minister usually stands. “His behaviour at a public space was inappropriate as someone who is in an official position as political aide. I’ve decided to replace him for accountability,” Kishida said. The revelations come at an inopportune time for Kishida, who had gained a boost in popularity with the recent Group of Seven (G7) summit in Hiroshima, and were widely criticised by the opposition. Seiji Osaka, a senior lawmaker with Japan’s largest opposition party, the Constitutional Democratic Party of Japan, said the dismissal should have come earlier, according to Kyodo news agency. “This is too late. I suspect (Kishida) appointed someone who is not capable (of being the) prime minister’s aide to the post,” Osaka was quoted as saying. US, Japan, Philippines to hold drills amid China tensions Japan PM Kishida says his son to quit as aide after ‘inappropriate’ behaviour by Andreo Calonzo Bloomberg Reuters by Advait Palepu & Rakesh Sharma Bloomberg bloomberg reuters

tuesday may 30, 2023 24 The E dge C E O m o rning brief world (May 29): Saudi Arabia’s foreign reserves fell in April to the lowest in more than 13 years, in an apparent sign the kingdom hasn’t yet used last year’s US$326 billion (RM1.5 trillion) oil windfall to top up the central bank’s holdings. Net foreign assets fell to 1.538 trillion riyals (US$410 billion or RM1.89 trillion) last month, according to the central bank’s monthly report published on Sunday (May 28), declining for a fifth month in the longest falling streak since early 2019. Reserves are down more than 44% since peaking in August 2014. The drawdown, which reached almost US$42 billion since November, follows a shift in how the world’s biggest crude exporter manages its oil wealth. While higher oil prices and output used to quickly translate into rising foreign reserves, officials announced a year ago the kingdom planned to hold on to the money and only later decide how to distribute it. The budget had a surplus of 103.9 billion riyals (RM127.64 billion) last year, according to the Finance Ministry. The government has set the lower and higher bands for the level of reserves it wants to maintain as a share of economic output, according to Finance Minister Mohammed Al-Jadaan, with the goal of protecting public finances from possible shocks. The stockpile is vital to maintaining confidence in Saudi Arabia’s 3.75-per dollar peg. The riyal’s 12-month forward outright rate was little changed at 3.7505 on Friday, suggesting traders see the peg as solid. Saudi net reserves fall to lowest since 2010 at US$410 bil Though Saudi Arabia ran its first budget surplus in nearly a decade last year, it still isn’t clear how it’s allocating the money. Last December, Al-Jadaan said most of it was likely to go to the central bank. Other potential recipients of transfers include the National Development Fund, which has been tasked with investing in developing the kingdom’s infrastructure, and the Public Investment Fund — the sovereign wealth fund. Looking ahead, the fiscal outlook is turning less favourable for Saudi Arabia. The International Monetary Fund forecasts Saudi Arabia will run a budget deficit of 1.1% of gross domestic product this year, a view that’s at odds with the government’s expectation for a second straight surplus it last estimated at 16 billion riyals. The Washington-based lender hiked its estimate of the oil price Saudi Arabia needs to balance its budget this year to over US$80 a barrel — above Brent’s current level of around US$77. The kingdom doesn’t reveal an oil price assumption in its budget. Saudi Arabia returned to the debt market earlier this month by selling US$6 billion of Islamic bonds. The kingdom already reported a deficit of 2.91 billion riyals in the first quarter of the year. by Mirette Magdy Bloomberg Future Fit Profession: Charting a Better Tomorrow DELEGATES REGISTRATION [email protected] Shahirah +603-2722 9163 Lyn +603-2722 9112 SPONSORSHIP OPPORTUNITIES [email protected] Hani +603 2722 9154 Meera +603 2722 9167 Nurul Farah +603 2722 9197 Terms & Conditions Apply 16 SESSIONS 80 SPEAKERS 3,000 DELEGATES Organised by Diamond Sponsor Media Partner SPECIAL ADDRESS Asmâa Resmouki President, International Federation of Accountants (IFAC) OPENING REMARKS YBhg Datuk Bazlan Osman President, Malaysian Institute of Accountants Ariane Hofstetter Managing Director of Koherten, Co-founders of Global ESG Monitor Dato’ Sr Azmar Talib Group Chief Executive Officer, TRX City Sdn Bhd Dr. Alifah Aida Lope Abdul Rahman Director of Audit, ICT Audit Division, National Audit Department Rihanna Haryanti Mohd Ramli Senior General Manager, Group Tax, PETRONAS SM Thanneermalai Managing Director, Thannees Tax Consulting Services Rafidah Jumal Vice President, Controller, Shell Mariam Riza Chief Executive Officer, Wattleshire Pty. Ltd. Cynthia Gabriel Founding Director, The Center to Combat Corruption and Cronyism (C4) Graham Dawes Partner, Deloitte Forensic Kishan Jasani Country CEO of Grant Thornton Malaysia Alex Hindson Partner, Head of Sustainability, Crowe U.K. LLP Hisham Abdul Rahim Executive Director, Advisory, BDO Kasia Klaczynska Lewis Partner, Ernst & Young Law Talasiewicz, Zakrzewska, Poland Lim Hui Jie Managing Partner, Baker Tilly Vision Andrew WK Chan SE Asia Sustainability & Climate Change Leader, Partner, PwC Malaysia Meet Our Distinguished Speakers MIAC23_TheEdgeAd_CEOMorning190x130mm.indd 1 26/05/2023 5:43 PM bloomberg

tuesday may 30, 2023 25 The E dge C E O m o rning brief theedgemarkets.com is now theedgemalaysia.com a better look for better decision s ma laysia Business & i nvestment Weekly

tuesday may 30, 2023 26 The E dge C E O m o rning brief world HONG KONG (May 29): A Hong Kong Court on Monday rejected an application to terminate a landmark national security trial against media tycoon Jimmy Lai, a case that could see him spend the rest of his life in prison if convicted. Jimmy Lai, 75, is the founder of now shut pro-democracy newspaper Apple Daily and one of the most prominent Hong Kong critics of China’s Communist Party leadership, including President Xi Jinping. Lai and his three companies, Apple Daily Ltd, Apple Daily Printing Ltd, AD Internet Ltd faced a total of three charges under the national security law, including collusion with foreign forces. Beijing imposed the national security law on Hong Kong in 2020 after months of anti-government protests. The law punishes acts including subversion, collusion with foreign forces and terrorism with up to life in prison. Lai is also charged with conspiracy to print seditious publications linked to Apple Daily, that closed in June 2021 after police arrested its staff and its assets were frozen by authorities. Sedition is punishable by a maximum two years’ jail. Lai has pledged to plead not guilty and has been in detention for more than two years. His trial is scheduled to begin in September. Lai’s lawyer Robert Pang applied to terminate the proceedings arguing that there is an apparent bias against Lai by the court due to a lack of transparency in the appointment of national security judges by Hong Kong’s Chief Executive John Lee. “If there is any question about the independence and impartiality of the court… that cannot be allowed,” said Pang. Pang also argued that blocking Lai’s British lawyer Timothy Owen from representing him in the trial is “persecution not prosecution”. Dismissing Lai’s challenge, High Court judges Esther Toh, Susana D’Almada Remedios and Alex Lee, argued that they were appointed as national security judges by the chief executive upon the recommendation of the Judicial Officers Recommendation Commission, an independent advisory body that consists of the Chief Justice and other members. The security law gives the power of the Chief Executive to select a panel of judges who can hear national security cases. The High Court last Friday dismissed an attempt by Lai to challenge a decision by security officials to effectively bar Owen from representing him in the trial. The use of foreign lawyers by both prosecutors and defence has long been allowed in the former British colony as part of its rule of law traditions. Lai was jailed for five years and nine months last December on a fraud charge. Hong Kong media tycoon Jimmy Lai loses bid to terminate national security trial (May 29): Türkiye’s lira weakened after Recep Tayyip Erdogan won a presidential runoff election on Sunday, extending his time as the nation’s longest-serving leader in a tenure that has increasingly alienated foreign investors. Stocks rose and US dollar bonds were mixed at the open as investors awaited appointment of a new economic team that he promised would have “international credibility”, hinting at a potential turn away from an unorthodox policy mix based on ultra-low interest rates and heavy state intervention in markets. The lira dropped 0.4% to 20.05 per US dollar, near a record low, as of 10.15am in Istanbul. Wall Street analysts see more weakness ahead, with Morgan Stanley warning it may slide 29% toward 28 per US dollar by the end of the year should Erdogan decline to change course. Wells Fargo & Co expects the currency to hit 23 by the end of the quarter. “An Erdogan win offers no comfort for any foreign investor,” said Hasnain Malik, a strategist at Tellimer in Dubai. “With very high inflation, very low interest rates, and no net foreign reserves, a painful crisis affecting all assets could be on the way.” Erdogan easily clinched victory in the second round, winning 52% of the vote according to the unofficial count, and by Turkish lira falls after Erdogan wins another five years in power shortly after 8pm on Sunday he was delivering a victory speech to a throng of supporters from the top of a bus in Istanbul. Already in power for 20 years, the win gives him another five-year term. Erdogan’s unorthodox approach to interest rates — he believes lower rates lead to lower inflation — has left markets beholden to an unpredictable mix of ad-hoc regulations and interventions, with new measures introduced informally and on a near-daily basis. They’ve also sent investors fleeing, with total foreign holdings of Turkish stocks and bonds decreasing by about 85%, or nearly US$130 billion, since 2013. “It’s obvious that the current economic model doesn’t work,” said Burak Cetinceker, a money manager at Strateji Portfoy in Istanbul. “Erdogan is probably also aware of that, and a modest transition to an orthodox policy in the near future is likely because otherwise, it is not sustainable.” The policies have also been expensive, with the central bank spending nearly US$200 billion over the past year and a half to prop up the lira, net foreign-exchange reserves turning negative, and inflation soaring above 80% last year before falling to 44% in April. Read the full story by Tugce Ozsoy & Netty Ismail Bloomberg by Jessie Pang Reuters reuters reuters A case that could see the media tycoon spend the rest of his life in prison if convicted.

tuesday may 30, 2023 27 The E dge C E O m o rning brief world Baltic Exchange shipping updates A weekly round-up of tanker and dry bulk market (May 25, 2023) Capesize The capes started the week off at a relatively sluggish pace in both the Atlantic and Pacific regions. However, over the course of the week, there was a considerable uptick in the level of activity. We had all the three majors fixing this week from West Australia to China, but despite the healthy volume, rates began to slide and sentiment turned rather negative. Owners generally were choosing to stay in the Pacific as opposed to ballasting. In the Atlantic there was a similar story, with limited enquiry early in the week resulting in the market drifting and ultimately coming under pressure. Overall, the market has faced downward pressure, resulting in considerable corresponding adjustments in rates. The Capesize timecharter average lost 20% over the week to close at US$13,956. Panamax Another softer week for the Panamax market as owners felt the recent pressure continue across all basins. Owners’ resistance was hard to find with early tonnage and ballaster tonnage continuing to discount. The P1A route hovered in the US$8,000s all week, although this was being challenged with APS load port deals equating to a lot less by comparison. Activity ex EC South America was flat for index arrival dates, with earlier date arrivals heavily discounted by the armada of ballasters. Asia returned good demand overall, but rates eased over the week with the tonnage count surpassing any demand. Rates of mid-high US$8,000s were seen for various Australia round trips on inferior to index types, whilst much of the Indonesia demand was absorbed by smaller/older tonnage rates going for around the US$5,000/ low US$5,000’s mark. Period activity was minimal, although reports emerged of an 81,000-dwt delivery China achieving US$15,500 basis 5/7 months. Ultramax/Supramax A poor week for the sector with little fresh cargo appearing in key areas and tonnage availability growing steadily. The Atlantic saw the US Gulf and EC South America lose ground as the tables set in charterers favour, with owners forced to compete for the limited cargo appearing on the market. A 63,000-dwt was heard fixed basis delivery Brazil spot for a trip to Singapore-Japan at US$15,000 plus US$500,000 ballast bonus. Elsewhere an Ultramax was heard fixed delivery North Continent for a scrap run to the East Mediterranean at US$13,750. It was a similar story from Asia, with very little Indonesia enquiry throughout the week and little fresh enquiry from the NoPac and Australia meant owners had to discount expectations to secure business. A 53,000-dwt open Vietnam fixing a trip via Indonesia redelivery China at US$7,500. Further north, a 53,000-dwt fixed delivery North China for a trip to the Continent at US$9,000. Handysize Whilst the Asia region remained fairly steady with a delicate balance of enquiry to tonnage, the Atlantic has seen a general lack of enquiry leading to negative sentiment. A 35,000-dwt opening in Paranagua was rumoured to have been fixed basis delivery Recalada for a trip to North Brazil at US$15,500. A 39,000-dwt opening upriver Plate was fixed for a trip to West Coast South America with an intended cargo of grains at US$22,500. A 35,000-dwt in ballast from Vera Cruz was fixed for a trip basis delivery Barcarena to the East Coast of Mexico with an intended cargo of grains at US$15,000. In the Mediterranean, a handy was rumoured to have been fixed for a trip from Tunisia to Peru at US$12,000. A 32,000-dwt open in Lanqiao was rumoured to have failed on subjects for two laden legs at US$8,850. Whilst a 38,000-dwt open in Busan fixed a round trip via the US West Coast at US$11,000. Clean LR2 MEG LR2’s saw a welcome rebound this week. A widely reported fixture for a TC20 voyage at US$4,100,000 has led the index to just under that level at the moment. TC1 has also climbed 20.62 points to WS138.75. These improvements have taken the Baltic round trip TCE for both these runs back over the US$30,000/day level. West of Suez, Mediterranean/East LR2’s have also begun to improve, seeing the TC15 index add US$133,000 to US$2,800,000. LR1 In the MEG, LR1’s have remained stable this week despite the improvements on the LR2’s. TC5 has hovered around the WS159-160 mark all week and a trip west to TC8 improved and incremental US$58,500 to US$3,250,000. On the UK-Continent, TC16 peaked mid-week at WS143.93 (up from WS114.29) to then resettle at WS137.5. MR MEG MR’s improved consistently across the week, with the TC17 index hopping up 29.29 points to WS294.29. UK-Continent MR’s also saw good activity levels throughout this week and an uptick in enquiry. TC2 is currently pegged at WS186.39 (+61.39) and TC19 similarly climbed 61.79 points to arrive at WS196.79. USG MR’s have been the star of the show this week. A big surge in enquiry has driven freight levels firmly upwards. TC14 jumped 66.25 points to WS150 similarly the TC18 index added 55.42 points to WS210.52. A run to the Caribbean on TC21 though rocketed 347,500 to US$862,500, a 67% increase making the TCE also jump 177% to US$31,962 / day round trip. The MR Atlantic Triangulation Basket TCE rose from US$14,006 to US$34,841. Read the full report

tuesday may 30, 2023 28 The E dge C E O m o rning brief MARKETS Top 20 active stocks World equity indices Top gainers (ranked by %) Top losers (ranked by %) Top gainers (ranked by RM) Top losers (ranked by RM) NAME VOLUME CHANGE CLOSE YTD MARKET (MIL) (RM) CHANGE CAP (%) (RM MIL) Cloudpoint Technology Bhd 344.40 0.135 0.515 - 273.8 Bahvest Resources Bhd 107.40 -0.025 0.200 -34.43 248.0 YTL Corp Bhd 75.00 0.065 0.900 55.17 9,867.7 Ta Win Holdings BHD 54.50 -0.005 0.035 -36.36 120.2 Sapura Energy Bhd 52.20 0.000 0.035 0.00 559.3 Dagang NeXchange Bhd 47.50 -0.005 0.390 -23.53 1,231.0 Velesto Energy Bhd 43.20 0.005 0.225 50.00 1,848.5 Widad Group Bhd 42.30 -0.005 0.430 0.00 1,245.9 Tanco Holdings Bhd 40.80 0.015 0.500 49.25 943.0 YTL Power International Bhd 39.00 0.060 1.300 81.82 10,532.8 Iris Corp Bhd 38.70 -0.020 0.095 -26.92 310.0 KNM Group Bhd 37.80 0.000 0.060 20.00 222.8 SMRT Holdings Bhd 35.30 0.075 0.780 437.93 347.3 Hextar Industries Bhd 34.10 0.020 0.530 -31.17 1,456.1 Yong Tai Bhd 27.20 0.060 0.480 140.00 181.5 JAKS Resources Bhd 26.50 0.000 0.195 -17.02 432.8 Dayang Enterprise Holdings Bhd 23.70 -0.090 1.150 -12.21 1,331.4 Perdana Petroleum Bhd 22.50 -0.010 0.160 28.00 354.9 Jade Marvel Group Bhd 21.30 -0.005 0.210 -32.26 91.4 Salutica Bhd 21.20 0.050 0.950 258.49 402.3 Data as compiled on May 29, 2023 Source: Bloomberg NAME CLOSE CHANGE VOLUME YTD MARKET (%) (‘000) CHANGE CAP (%) (RM MIL) Metronic Global Bhd 0.015 50.00 453.8 -25.00 23.0 MMAG Holdings Bhd 0.015 50.00 2,236.2 -40.00 36.3 Cloudpoint Technology Bhd 0.515 35.53 344,378.8 - 273.8 Talam Transform Bhd 0.020 33.33 135.0 33.33 85.9 Focus Dynamics Group Bhd 0.020 33.33 704.5 0.00 127.4 Xidelang Holdings Ltd 0.025 25.00 591.9 0.00 52.9 Pasukhas Group Bhd 0.155 19.23 2,411.8 3.33 29.5 PUC BHD 0.035 16.67 5,721.1 0.00 63.7 CME Group BHD 0.035 16.67 324.8 16.67 36.2 MQ Technology Bhd 0.035 16.67 812.2 -30.00 48.3 Nexgram Holdings Bhd 0.035 16.67 521.1 -50.00 15.5 Grand Central Enterprises Bhd 0.390 14.71 8.6 11.43 76.8 Yong Tai Bhd 0.480 14.29 27,221.3 140.00 181.5 Hubline Bhd 0.040 14.29 727.0 0.00 171.6 UCrest Bhd 0.120 14.29 10,648.0 -4.00 83.0 Timberwell BHD 0.530 13.98 50.5 1.92 47.2 Boustead Heavy Industries 0.370 13.85 134.9 -10.84 91.9 Reach Energy Bhd 0.045 12.50 285.1 0.00 95.8 SMRT Holdings Bhd 0.780 10.64 35,251.4 437.93 347.3 Minda Global Bhd 0.105 10.53 8,578.7 50.00 176.3 Data as compiled on May 29, 2023 Source: Bloomberg NAME CLOSE CHANGE VOLUME YTD MARKET (%) (‘000) CHANGE CAP (%) (RM MIL) ABM Fujiya Bhd 0.350 -12.50 19.8 -18.60 63.0 Advance Information 0.150 -9.09 26.0 -33.33 14.6 Alam Maritim Resources Bhd 0.025 -16.67 331.7 0.00 38.3 Bahvest Resources Bhd 0.200 -11.11 107,442.9 -34.43 248.0 Bina Puri Holdings BHD 0.035 -12.50 1,632.5 -12.50 117.9 BSL Corp Bhd 0.040 -11.11 1,948.5 -40.83 77.3 Chin Well Holdings BHD 1.340 -6.94 552.3 -16.25 383.8 Dayang Enterprise Holdings 1.150 -7.26 23,680.4 -12.21 1,331.4 EITA Resources Bhd 0.680 -6.85 498.3 -12.26 176.9 EP Manufacturing Bhd 0.410 -6.82 1,786.3 -58.79 90.3 Eversendai Corp Bhd 0.105 -8.70 1,346.6 -32.26 82.0 Green Packet Bhd 0.035 -12.50 2,069.2 -36.36 69.8 HeiTech Padu Bhd 0.680 -6.85 122.2 0.00 68.8 Iris Corp Bhd 0.095 -17.39 38,706.0 -26.92 310.0 Key Asic Bhd 0.055 -8.33 536.9 -15.38 76.6 Lotus KFM BHD 0.120 -7.69 1,646.5 -17.24 122.3 Malakoff Corp Bhd 0.610 -9.63 7,426.5 -6.15 2,981.0 ManagePay Systems Bhd 0.110 -8.33 230.8 -8.33 94.8 Rimbunan Sawit Bhd 0.130 -7.14 2,242.3 -21.21 265.4 Ta Win Holdings BHD 0.035 -12.50 54,503.1 -36.36 120.2 Data as compiled on May 29, 2023 Source: Bloomberg NAME CLOSE CHANGE VOLUME YTD MARKET (RM) (‘000) CHANGE CAP (%) (RM MIL) Nestle Malaysia Bhd 132.600 -1.900 74.5 -5.29 31,094.7 Dutch Lady Milk Industries BHD 25.520 -0.300 14.4 -15.61 1,633.3 Ayer Holdings Bhd 6.900 -0.200 5.3 4.55 516.5 Carlsberg Brewery Malaysia 21.100 -0.200 8.5 -7.78 6,451.3 Axiata Group Bhd 2.770 -0.140 8,262.3 -10.36 25,425.7 Chin Well Holdings BHD 1.340 -0.100 552.3 -16.25 383.8 Khind Holdings Bhd 2.530 -0.100 20.2 -18.39 106.4 Dayang Enterprise Holdings 1.150 -0.090 23,680.4 -12.21 1,331.4 Kotra Industries Bhd 5.510 -0.090 34.3 -16.52 815.7 Hong Leong Bank Bhd 19.500 -0.080 1,139.0 -5.16 42,270.5 Tomei Consolidated Bhd 1.100 -0.080 723.0 10.00 152.5 Fraser & Neave Holdings Bhd 25.920 -0.080 34.3 20.11 9,506.9 Shangri-La Hotels Malaysia 2.580 -0.080 381.5 -25.22 1,135.2 LPI Capital Bhd 11.800 -0.080 40.7 -6.65 4,700.9 Petronas Chemicals Group 6.870 -0.080 5,377.2 -20.12 54,960.0 Formosa Prosonic Industries 2.330 -0.070 1,927.2 -27.86 596.3 APB Resources Bhd 1.800 -0.070 9,653.7 20.00 199.6 Malakoff Corp Bhd 0.610 -0.065 7,426.5 -6.15 2,981.0 Apex Healthcare Bhd 3.870 -0.060 272.9 9.94 1,852.5 HAP Seng Consolidated Bhd 4.060 -0.060 2,116.0 -36.56 10,108.1 Data as compiled on May 29, 2023 Source: Bloomberg NAME CLOSE CHANGE VOLUME YTD MARKET (RM) (‘000) CHANGE CAP (%) (RM MIL) Malaysian Pacific Industries 27.120 0.880 161.5 -5.70 5,394.1 Kuala Lumpur Kepong Bhd 21.860 0.220 983.7 -2.24 23,574.6 Petronas Dagangan Bhd 22.340 0.200 86.4 -2.22 22,193.8 Heineken Malaysia Bhd 27.000 0.180 32.6 7.14 8,156.6 Imaspro Corp Bhd 5.830 0.160 63.4 -0.34 466.4 Press Metal Aluminium 4.900 0.160 2,166.5 0.41 40,374.1 United Plantations BHD 15.600 0.140 381.4 3.93 6,470.6 Cloudpoint Technology Bhd 0.515 0.135 344,378.8 null 273.8 ViTrox Corp Bhd 7.880 0.130 52.5 3.01 7,448.8 Telekom Malaysia Bhd 5.200 0.120 5,268.4 -3.70 19,874.3 Dufu Technology Corp Bhd 1.920 0.110 1,288.0 7.26 1,018.2 UWC BHD 2.990 0.110 2,252.4 -25.62 3,294.0 Greatech Technology Bhd 4.180 0.110 1,034.2 -13.64 5,236.9 CELCOMDIGI BHD 4.560 0.100 6,242.5 14.00 53,495.7 MBM Resources BHD 3.540 0.090 191.8 12.31 1,383.7 Frontken Corp Bhd 3.160 0.090 2,520.5 2.60 4,968.8 Oppstar Bhd 2.000 0.090 5,717.6 0.00 1,272.4 Batu Kawan Bhd 21.280 0.080 0.9 -4.57 8,371.1 Allianz Malaysia Bhd 14.000 0.080 10.2 -1.13 2,491.6 Keck Seng Malaysia Bhd 3.540 0.080 69.0 -1.12 1,271.9 Data as compiled on May 29, 2023 Source: Bloomberg CLOSE CHANGE CHANGE (%) CLOSE CHANGE CHANGE (%) DOW JONES 33,093.34 328.69 1.00 S&P 500 4,205.45 54.17 1.30 NASDAQ 100 14,298.41 359.88 2.58 FTSE 100 7,627.20 56.33 0.74 AUSTRALIA 7,217.37 62.62 0.88 CHINA 3,221.45 8.94 0.28 HONG KONG 18,551.11 -195.81 -1.04 INDIA 62,846.38 344.69 0.55 INDONESIA 6,681.10 -5.90 -0.09 JAPAN 31,233.54 317.23 1.03 KOREA 2,558.81 4.12 0.16 PHILIPPINES 6,593.16 62.96 0.96 SINGAPORE 3,195.22 -12.17 -0.38 TAIWAN 16,636.30 131.25 0.80 THAILAND 1,540.97 10.13 0.66 VIETNAM 1,074.98 11.22 1.05 Data as compiled on May 29, 2023 Source: Bloomberg CPO RM 3,546.00-13.00 OIL US$ 76.72-0.23 RM/USD 4.6045 RM/SGD 3.4027 RM/AUD 3.0109 RM/GBP 5.6845 RM/EUR 4.9345