CEOMorningBrief THURSDAY, APRIL 4, 2024 ISSUE 744/2024 theedgemalaysia.com NINE DEAD IN TAIWAN’S STRONGEST EARTHQUAKE IN 25 YEARS, 50 MISSING p15 HOME: King grants audience to KK Mart founder, cautions all parties against inciting public p2 Najib claims in court application former Agong decreed that he be allowed to serve time at home p6 Why Guan Chong’s stock run isn’t over yet p7 Malaysia second most popular SEA country among residential buyers from China, says real estate firm p8 WORLD: Opec+ sticks with supply cuts while oil nears US$90 a barrel p16 TSMC Tan Hua Choon claims trial to cheating finance ministry about Bumi equity in company Report on Page 4. TSMC halts some chipmaking as Taiwan gauges quake fallout Report on Page 3.
THURSDAY APRIL 4, 2024 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 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] King grants audience to KK Mart founder, cautions all parties against inciting public Selangor to share Selangkah data with Padu, says MB KUALA LUMPUR (April 3): His Majesty Sultan Ibrahim, the King of Malaysia, on Wednesday granted an audience to Datuk Seri Chai Kee Kan, the founder of KK Mart, who was recently involved in the controversy regarding socks bearing the word ‘Allah’. During the 15-minute audience, Chai apologised and sought forgiveness from His Majesty as well as from all Muslims, over the saga that had led to protests and boycotts of KK Marts from the Muslim community. The King emphasized that all parties, including KK Mart, must exercise greater caution in the products they sell, particularly imported goods, to prevent similar incidents from occurring in the future. SHAH ALAM (April 3): The Selangor government is ready to share data collected through the Selangkah application for cross-checking and updating the information of people of the state in the Central Database Hub (Padu) system. Menteri Besar Datuk Seri Amirudin Shari said that about 3,712,616 records from 66,216 subsidy recipients in the application owned by Selangkah Ventures Sdn Bhd, a state government subsidiary, can be shared with Padu, subject to the terms and conditions of use. He said that the data that will be shared includes information on recipients of state government aid schemes, including the Bantuan Kehidupan Sejahtera Selangor (Bingkas), Selangor Mental Sihat (Sehat), Insentif MamaKerja, and the free health creening (Saring) initiative. “The state government believes that after this, there will be more data on aid recipients in Selangor that can be shared with Padu, and will indirectly help the federal government in the formulation or implementation of national policies,” he said. He said this after witnessing the signing ceremony of a memorandum of understanding (MOU) between the Selangkah application and Padu at the Sultan Salahuddin Abdul Aziz Shah Building on Wednesday. In the MOU signing session, chief statistician Datuk Seri Dr Mohd Uzir Mahidin represented Padu, while Selangkah was represented by Selangkah Ventures chief information officer Dr Helmi Zakariah. Amirudin said that the Selangkah application currently had approximately 3.87 million active users, including those who do not receive subsidies and assistance from the Selangor government. Bernama BY CHOY NYEN YIAU theedgemalaysia.com Read the full story “Everyone must act responsibly. Let us ensure that such incidents do not recur, and I sincerely hope this will be the last time I need to address this issue,” the King said in a post on his Facebook page on Wednesday. Furthermore, the King cautioned against any party exploiting the situation, including inciting the public as he expressed a desire to prevent further prolongation of the matter. The emergence of photos depicting the socks for sale at a KK Supermart store on March 13 sparked outrage among Muslims. Sultan Ibrahim initially expressed dissatisfaction with the controversy, urging decisive actions against those responsible. Chai and his wife, Loh Siew Mui, a director at KK Mart, subsequently pleaded not guilty to charges of intentionally offending the religious sentiments of Muslims through the sale of the socks, along with three representatives of the chain’s supplier. Despite this, the anger directed at KK Mart has persisted, resulting in three attempted firebombing at the convenience store’s outlets in Perak, Pahang and Sarawak. Inspector General of Police Tan Sri Razarudin Husain issued a public reminder last week, urging all parties not to take matters into their own hands and calling on the public to allow the police to determine the appropriate course of action. SULTAN IBRAHIM SULTAN ISKANDAR@FACEBOOK HOME
THURSDAY APRIL 4, 2024 3 THEEDGE CEO MORNING BRIEF HOME KUALA LUMPUR (April 3): Despite the suspension of operations by chip giant Taiwan Semiconductor Manufacturing Company (TSMC), following a significant earthquake on Wednesday, the Malaysian semiconductor industry is not anticipated to face immediate repercussions, as this precautionary measure, along with available inventory, suggests minimal impact. Datuk Seri Wong Siew Hai, president of the Malaysia Semiconductor Industry Association (MSIA) told The Edge that the suspension at TSMC is unlikely to have an immediate effect on the Malaysian semiconductor sector due to existing inventory and materials in the pipeline. “Maybe later, but it depends on how severe the disruption at TSMC is,” he said. Wong, who also serves as an independent non-executive director at Greatech Technology Bhd, affirmed that the factory automation solutions provider remains unaffected by the suspension as it does not rely on supplies from TSMC. Similarly, Chew Ne Weng, managing director and president of QES Group Bhd, said it is premature to gauge the implications of TSMC’s suspension, which is precautionary in nature. However, he warned that prolonged suspension exceeding two weeks could significantly impact the semiconductor market, considering TSMC’s prominence as the world’s largest foundry. “Additionally, most of the high-end wafer chips, which are 7nm and below, are made by TSMC,” Chew said. Chew assured that the supply chain at QES remains intact, as most of its critical components such as robots and sensors are sourced from Japan and the US. According to a Bloomberg report, Wednesday’s earthquake in Taiwan prompted TSMC to halt operations at its facilities in Hsinchu, Tainan and Taichung, although these locations are not in close proximity to the epicentre. TSMC, a major chipmaker for companies such as Apple Inc and Nvidia Corp, has relocated personnel from specific areas and stated that it is currently evaluating the effects of a 7.4-magnitude earthquake off the east coast. However, it did not specify when operations would resume. Read also: No Malaysians affected by Taiwan earthquake — ministry Malaysia’s semicon industry seen shielded from immediate impact by TSMC production halt on adequate inventory (April 3): Taiwan Semiconductor Manufacturing Co (TSMC) halted some chipmaking and evacuated plants, after the biggest earthquake to hit its home island in 25 years, raising concerns about disruptions to the global tech supply chain. TSMC, the main contract chipmaker to Apple Inc and Nvidia Corp, moved staff out of certain areas, and said it’s assessing the impact of a temblor measuring 7.4 in magnitude off the east coast. Smaller local rival United Microelectronics Corp also halted machinery at some plants, and evacuated certain facilities at its hubs of Hsinchu and Tainan, it said in a statement. Taiwanese firms from TSMC to ASE Technology Holding Co make and assemble the vast majority of the semiconductors that go into devices from iPhones to cars, from factories vulnerable to even the slightest tremors. A single vibration can destroy entire batches of the precision-made semiconductors. TSMC shares slid 1.3%, while UMC was down nearly 1%. The island’s tech firms are still assessing the impact of the earthquake, which levelled dozens of buildings on its eastern side, and killed at least four people. On Wednesday, TSMC said staff were beginning to return to evacuated sites, though it stressed it was examining the impact. Still, any halt in production threatens to upset a process that — especially for sophisticated semiconductors — can require uninterTSMC halts some chipmaking as Taiwan gauges quake fallout rupted seclusion in a vacuum for weeks on end, Barclays analysts wrote. “Some of the high-end chips need 24/7 seamless operations in a vacuum state for a few weeks,” analysts Bum Ki Son and Brian Tan said. “Operation halts in Taiwan’s northern industrial areas could mean some highend chips in production may be spoiled.” Taiwan is prone to quakes, because it’s near the convergence of two tectonic plates. Yet, it is also the source of an estimated 80% to 90% of the highest-end chips required for advanced applications, such as smartphones and artificial intelligence. Industry executives and government officials have long called out the dangers of centring the world’s advanced semiconductor production on an island that, apart from natural shocks, is considered a potential military flashpoint. That became particularly evident during the Covid-19 era, which exacerbated a global shortage of the vital components. American officials, mindful of the threat to Taiwan from a mainland Chinese government that considers the island a renegade province, have pushed US and Taiwanese companies — including TSMC — to diversify geographically. But TSMC expansion projects now under way in Japan and the US will take time to get up to full speed, and American companies such as Micron Technology Inc still maintain major operations on the island. BY DEBBY WU Bloomberg BY CHOY NYEN YIAU theedgemalaysia.com
THURSDAY APRIL 4, 2024 4 THEEDGE CEO MORNING BRIEF HOME KUALA LUMPUR (April 3): The High Court on Wednesday struck out the defence filed by the mother of fugitive Low Taek Jhow (Jho Low) over jewellery, as part of an ongoing multibillion-dollar lawsuit by 1Malaysia Development Bhd (1MDB). Judge Hayatul Akmal Abdul Aziz made the ruling to strike out Goh Gaik Ewe’s defence filed in January 2022 over 1MDB’s claim of jewellery worth US$1.695 million (RM7.9 million) allegedly bought with the strategic development company’s funds. In January, 1MDB subsidiaries 1MDB Energy Ltd and 1MDB Energy (Langat) Ltd were allowed to serve the notice that contained nine questions about the jewellery. Goh, whose whereabouts are unknown, did not reply to the notice within the stipulated two-week period. In her statement of defence, Goh argued that she had entered into a settlement with the US Department of Justice, but 1MDB contended that the claims over the jewellery from Goh were not addressed in the documents linked to the settlement. 1MDB then applied to strike out her defence, so that judgement can be entered against her. Read the full story Court strikes out Jho Low mother’s defence in US$1.7 mil jewellery claim by 1MDB KUALA LUMPUR (April 3): Tan Sri Robert Tan Hua Choon on Wednesday claimed trial to cheating the Finance Ministry over a contract to supply, maintain, and manage government fleet cars worth RM3.966 billion. Tan, 83, is charged with cheating the ministry’s private and public cooperation unit between Feb 27 and 28, 2019, for misrepresenting that Spanco Sdn Bhd has at least 30% bumiputera interests in the tender process, resulting in the company securing the contract. The charge sheet, however, did not provide details on what was allegedly false about the bumiputera equity. If convicted, the charge under Section 420 of the Penal Code calls for a mandatory jail time of at least one year and up to 10 years, as well as a fine. The law also stipulates whipping, though Tan will likely be spared from the punishment due to his old age. Tan, also known as the Casio King for his company’s exclusive distribution of Casio-branded watches, is represented by Datuk Wan Azmir Wan Majid and Amin Othman, although Wan Azmir indicated that the lead counsel would be Datuk Hisyam Teh Poh Teik. Deputy public prosecutor Mahadi Jumaat led the prosecution. Counsel Razlan Hadri Zulkifli, meanwhile, held a watching brief on behalf of Spanco. The prosecution requested bail of RM2 million with one surety and that his passport be surrendered in court, and demanded that Tan not interfere with potential witnesses in the case as well as report to the Malaysian Anti-Corruption Commission (MACC) office once a month until the case concludes. Wan Azmir noted that Tan has health issues, including hypertension and knee and back pain, that require him to use a cane to support himself. “I request that bail be reduced as the one who is posting bail is his own son,” he said. However, Sessions Court judge Suzana Hussin set the bail at RM2 million, and asked Tan to surrender his international passport. “The court also directs the accused not to interfere [with] or contact potential witnesses in the case. This court sets June 4 for the case management,” she said. Tan posted bail at 12.30pm and had no comment when approached by reporters. Tan Hua Choon claims trial to cheating finance ministry about Bumi equity in company MACC recorded statement from former finance minister Ahead of the formal charge, the MACC had said it recorded statements from an unidentified former finance minister for the case. Tengku Datuk Seri Zafrul Abdul Aziz was the finance minister when the contract was awarded to Spanco in 2023 while Lim Guan Eng was in charge of the ministry when the contract was awarded to Cekap Urus Sdn Bhd in 2019. Cekap Urus — a joint venture between Berjaya Corp Bhd, Naza Corp Holdings Sdn Bhd and Tunku Tun Aminah Sultan Ibrahim Ismail — was given the letter of intent (LOI) by the Finance Ministry earlier for the government fleet car contract. Berjaya controls 51% in the joint venture, and Naza holds 29%, while the daughter of Malaysia’s current King has 20%. However, the government cancelled the LOI dated Dec 11, 2019, and gave the contract to Spanco instead, leading to Cekap Urus challenging the termination through a still ongoing judicial review. Cekap Urus is seeking to invalidate the LOI termination, and the company is also asking the court for a declaration that the government and the ministry’s decision to award Spanco the fleet project through direct negotiation is invalid, null and void, and has no effect. The joint venture is seeking a certiorari order to quash the government’s decision on Jan 25 this year in dismissing Cekap Urus’ appeal against the decision to terminate the LOI. Further, it is also requesting a mandamus order to compel the government to execute the letter awarded to Cekap Urus. Further, Cekap Urus is seeking a stay of the government and ministry’s decision pending determination of the matter, as well as damages and costs to be assessed. On Aug 23 last year, Cekap Urus obtained leave from the Kuala Lumpur High Court though the hearing for the judicial review has yet to start. BY HAFIZ YATIM theedgemalaysia.com BY TARANI PALANI theedgemalaysia.com After posting bail, Tan Sri Robert Tan Hua Choon leaves the Kuala Lumpur Courts Complex. SAM FONG/THE EDGE
THURSDAY APRIL 4, 2024 5 THEEDGE CEO MORNING BRIEF
THURSDAY APRIL 4, 2024 6 THEEDGE CEO MORNING BRIEF HOME KUALA LUMPUR (April 3): The High Court here on Wednesday granted leave for a judicial review to lawyer Rosli Dahlan against Inspector General of Police (IGP) Tan Sri Razarudin Husain and eight others, including the government, for their move to freeze his bank accounts, purported wrongful arrest, and for imposing a travel ban against him. Judge Datuk Ahmad Kamal Md Shahid said the court found that Rosli’s application to challenge the actions by the police was amenable to a judicial review, as there are triable issues to be considered, and not obliterated as sought by the Attorney General Chambers representing the police. “The application has passed the threshold for a judicial review, and hence leave (permission) is granted for the case to enter the substantive stage. I fix May 8 for case management of the matter before the registrar,” the judge said in a decision delivered online. Ahmad Kamal ruled that there is a prima facie case for the alleged illegality and mala fide actions (made in bad faith) by the police. Quoting Chief Justice Tun Tengku Maimun Tuan Mat, Ahmad Kamal said “criminal investigation bodies, whenever they investigate anyone, are bound to comply with the law...any abuse of those powers, such as using them for collateral purposes, not only constitutes possible offences such as abuse of power or obstruction of justice, but also constitutes actionable complaints through the courts’ statutory review powers”. Following the decision, Rosli informed the court that the police had partially lifted the freezing of his accounts, and that he had filed a second judicial review to seek a release. He sought that the second judicial review application be heard before Ahmad Kamal and the senior federal counsel representing the police do not object to this case. However, Ahmad Kamal said he could not determine whether to hear Rosli’s second judicial review application, as he had no control over the court’s registration. Senior federal counsel Rahazlan Affandi Abdul Rahim appeared for the IGP and the government. Rosli filed the judicial review application in December, seeking, among other matters, an order for certiorari (a judicial review) against the police and the government to unfreeze his accounts and lift the travel ban against him, as a result of the police linking him with a complaint lodged by AirAsia over i-Serve, which the lawyer said had no relation to him. Lawyer Rosli Dahlan gets leave for judicial review to challenge police’s freezing of his accounts, travel ban KUALA LUMPUR (April 3): Former prime minister Datuk Seri Najib Razak has filed a judicial review application that would allow him to serve his already reduced jail term under house arrest, as allegedly stipulated in a purported addendum by the then-King in his pardon. Najib is seeking a copy of the speculated addendum dated Jan 29, 2024 which, if it exists, would compel the government to release him from Kajang Prison to his known residence here. The application was filed by his solicitor Messrs Shafee & Co on Monday. Also named as respondents in the application are the Prisons Department commissioner general, the home minister, the director general of the law division of the Prime Minister’s Department, and the Attorney General’s Chambers. Najib claims in court application former Agong decreed that he be allowed to serve time at home BY HAFIZ YATIM theedgemalaysia.com BY HAFIZ YATIM theedgemalaysia.com Najib is currently serving a six-year jail sentence and a RM50 million fine since Aug 22, 2022, which were reduced by the former King from 12 years in jail and a RM210 million fine. He received the partial royal pardon last month. He is now seeking a mandamus order to compel the production of the original copy of the main pardon order, along with the rumoured appendix by the 16th Yang di-Pertuan Agong as well as costs of the action. Royal pardon matters, however, are protected by the Official Secrets Act. In his affidavit in support of leave from the court to consider the application, Najib claimed that he received information that Al-Sultan Abdullah Ri’ayatuddin Al-Mustafa Billah Shah had issued an addendum order that he serve the reduced sentence of imprisonment under condition of “home arrest” instead of confinement in the Kajang Prison. In judicial review applications, a petitioner has to obtain leave, or permission, from the court before the merits of the application are heard. Messrs Shafee & Co was then instructed to confirm the existence of the addendum via a letter to the attorney general of Malaysia on Feb 14 this year, which was also copied to Prime Minister Datuk Seri Anwar Ibrahim, and Deputy Prime Minister Datuk Seri Dr Ahmad Zahid Hamidi. SAM FONG/THE EDGE
THURSDAY APRIL 4, 2024 7 THEEDGE CEO MORNING BRIEF HOME KUALA LUMPUR (April 3): Boustead Heavy Industries Corp Bhd (BHIC) will receive a repayment sum of RM49.7 million, as a result of the write-off of the RM384.43 million net debt owed by Lumut Naval Shipyard Sdn Bhd (Lunas). Both parties will enter into an intercompany trade receivables settlement agreement (ITRSA), after BHIC has obtained its shareholders’ approval. Note that the proposed ITRSA is one of the conditions precedent to be fulfilled in the share sale agreement in relation to BHIC’s proposed disposal of its 20.77% stake in troubled Lunas — formerly known as Boustead Naval Shipyard Sdn Bhd (BNS), to the Ministry of Finance (MOF) for RM1. On April 1, BHIC announced that the group and MOF had sought for a sixth extension to the end of this month for the stake disposal exercise. Of the RM49.7 million repayment sum, BHIC intends to allocate RM45 million for the redemption of redeemable preference shares issued to Boustead Holdings Bhd (BHB). It also plans to allocate RM3.7 million for working capital purposes and RM1 million for the estimated expenses related to the proposals. Lunas has been in the spotlight for failing to deliver six littoral combat ships (LCS) for the navy on time. In the last quarter of 2023, it booked an allowance for expected credit losses of RM261.4 million owed by Lunas, resulting in a higher net loss of RM256.72 million compared to RM26.48 million over the same period a year earlier, For the full year of 2023, BHIC’s net loss also widened to RM263.88 million from RM19.92 million a year ago. Shares of BHIC were down 2.5 sen or 5.3% to 45 sen at Wednesday’s market close, valuing the group at RM253.9 million. Year to date, the stock has lost 6.25%. The Armed Forces Fund Board (LTAT) owns a 72.38% stake in BHIC through BHB. BHIC to receive RM49.7 mil repayment from write-off of RM384.43 mil debt owed by Lumut Naval Shipyard KUALA LUMPUR (April 3): Shares of cocoa grinder Guan Chong Bhd have witnessed significant upside since March this year, in tandem with the sharp rise in cocoa prices due to shortages, reversing the stock’s previous southbound course. The counter had swung from a 52-week low of RM1.51 to a high of RM2.74 this year. On Wednesday, Guan Chong touched its intraday peak of RM2.48 before closing at RM2.37 — down 10 sen or 4.05% from the previous close of RM2.47 on Bursa Malaysia. Its market capitalisation stood at RM2.77 billion. However, the counter has risen 35.43% so far this year. Cocoa futures breached US$9,000 (RM42,750) a tonne in late March, having swelled 132.4% year-to-date as bad weather and disease battered crops of major growers, while Guan Chong’s shares have rallied as much as 58.8% since beginning of March to a peak of RM2.54 on March 29. Two of the three analysts tracking Guan Chong have a “hold” recommendation on the stock, while one is recommending a “buy”. The sharp run-up in the stock price is mainly on the back of elevated cocoa bean prices presenting an opportunity for the world’s fourth-largest cocoa grinder to potentially post stronger earnings for 2024. Apex Securities Bhd head of research Kenneth Leong said while higher cocoa prices present higher costs to Guan Chong, the group is able to pass on higher costs to end-users through higher selling prices due to resilient demand. “Demand will remain solid until a certain point of time when prices have turned unaffordable to consumers, only then may the demand taper and prices of raw materials — such as cocoa beans — come down as well,” he told The Edge. Leong believes demand will be unaffected in the short term. “We could expect improved earnings for 2024 should average cocoa prices maintain at current levels throughout the year — signalling stability in demand.” However, climbing cocoa bean prices will prove a challenge for Guan Chong in the future. Leong noted that prices can only climb so high until they turn unaffordable and consumers begin reining in their wallets. He added that this slowing consumption will result in lower demand for chocolate and, in turn, lower demand from end-users for Guan Chong’s grinding capacity. Looking away from demand, Leong said cocoa bean supply is a bigger concern for Guan Chong in the short term. In March, Bloomberg reported that Guan Chong had begun procuring cocoa from minor growers at premiums to secure its supply of beans to prevent plant closures. CEO Brandon Tay Hoe Lian was quoted as saying that the group has begun limiting its sales due to the constraining supply. Historically, Guan Chong weathered previous cocoa price upcycles remaining in the black, barring the financial year ended Dec 31, 2014 (FY2014) — when it fell into the red with a net loss of RM16.79 million. Most recently, net profit came in 31.5% lower at RM101 million for FY2023 from RM147.41 million in the previous year due to higher finance costs. This was despite revenue rising 21.03% to RM5.35 billion from RM4.42 billion previously on higher selling prices. According to Bloomberg estimates, Guan Chong is forecast to post stronger net profit of RM164.33 million in FY2024 and RM198.33 million in FY2025. Why Guan Chong’s stock run isn’t over yet BY IZZUL IKRAM theedgemalaysia.com BY HEE EN QI theedgemalaysia.com Cocoa bean price continues to chart record levels Source: Bloomberg April 3, 2023 9,669.0 2,000 4,000 6,000 8,000 10,000 Last price (US$ per tonne) April 1, 2024 2,842.70 Guan Chong Bhd 0 5 10 15 20 April 3, 2023 April 3, 2024 0 1 2 3 Vol (mil) RM RM2.43 RM2.37 *As at market close on April 3, 2024. Source: Bloomberg
THURSDAY APRIL 4, 2024 8 THEEDGE CEO MORNING BRIEF HOME KUALA LUMPUR (April 3): Hospital operator MDC Asia Link Bhd (MDC) said on Wednesday that its plan for an initial public offering (IPO) in Bursa Malaysia this year will be delayed due to digitalisation challenges. “We are aware that competing in the healthcare industry is challenging without an integrated digital system for our clinic operations” MDC founder and chief executive officer Dr Aslan Bacho said during the signing ceremony of business partnership with digital health service provider UCrest Bhd on Wednesday. The partnership with UCrest will adopt the iMedic platform as the clinic management system (CMS) for its dental business operation by using artificial intelligence (AI) and internet of medical things (IoMT). iMedic will be used to manage the patients through a mobile app which will allow them to track the related vital signs, biomarkers and lifestyle that can affect the oral health and manage their dental care plan. “We hope this partnership will accelerate business model refinement, enhance customer relations, and improve overall company valuation for MDC,” Aslan said. Originally targeted for early this year, Aslan said the group is now looking forward to executing the IPO plan within the next three years, leading up to 2026. The group had in 2022 said its intention to become a public-listed company after officiating the opening of its maternity hospital and MDC Pusrawi confinement centre in Kota Damansara, Petaling Jaya. As part of its growth strategy, MDC plans to establish a specialist dental hospital, four maternity hospitals, and 99 dental and medical clinics by 2025. Currently, MDC operates 25 dental clinics primarily in the Klang Valley area, with a special focus on paediatrics dental care, general dentistry, and orthodontic services. MDC delays IPO plan amid digitalisation challenges KUALA LUMPUR (April 3): Malaysia was the second most popular Southeast Asian country among residential buyers from China in 2023, driven by the country’s convenient location, economic stability, international education sector, and growing property market, according to real estate and investment advisory firm IQI Global. IQI Global, which is a member of real estate technology group Juwai IQI, on Wednesday said that Malaysia has been one of the top three countries in Southeast Asia for Chinese home buyers for the past five years and has overtaken Vietnam in second place in 2023. “Thailand is the only Southeast Asian destination that consistently ranks more highly than Malaysia. Thailand has been the number one destination for Chinese buyers since before 2018,” Juwai IQI co-founder and group chief executive officer Kashif Ansari said in a statement. “We believe Malaysia will retain its position in the competitive Southeast Asian region over the next two years,” he added. According to its survey, IQI noted that Chinese buyers say they want to live in Malaysia, but at the same time, they consider their property purchases in the country to be good investments. Besides the common drive for buyers from China to put their children into local international schools, IQI pointed out that the retiree segment is also a very lucrative group for Malaysia. Retirees from China, it said, have joined those from the UK and other parts of Europe in choosing Malaysia as a destination for retirement because of its lifestyle and affordability. “If you come to Malaysia under a Platinum MM2H (Malaysia My Second Home) visa, you must make a deposit of at least RM5 million. So, these retirees pour a significant amount of money into the local economy. “Chinese retirees typically do not live here for the full 365 days a year. They often go back to China to visit family and friends. Our best data suggests that Chinese retirees who have homes in Malaysia Malaysia second most popular SEA country among residential buyers from China, says real estate firm BY EMIR ZAINUL theedgemalaysia.com BY LUQMAN AMIN & ANIS HAZIM theedgemalaysia.com spend an average of around 150 days per year here. There is no hard data on this, so that estimate is based on the conversations we have had with our clients,” Kashif said. Malaysia competes for investments into Southeast Asia While Malaysia is holding its ground as a preferred destination for investment, Kashif said that the foreign buyer dynamics in Malaysia reflect the competition among Southeast Asian nations for Chinese investment, both in residential property and in other economic sectors. “China’s economic boom of the last several decades was based on foreign investment, but today, Southeast Asia receives more foreign direct investment than China itself. Because Malaysia is taking its share of this investment, it can look forward to increasing levels of wealth and economic sophistication in the years ahead,” he said. On top of that, the construction of new infrastructure, such as the Johor Bahru– Singapore Rapid Transit System (RTS) Link, attracts a significant amount of investment. According to Kashif, buyers believe these projects will raise property values, and that becomes a self-fulfilling prophecy. “We can expect conditions to continue to fluctuate and that Malaysia will continue to benefit from the shift of investment to Asean and the desire of foreign buyers for appealing lifestyles at an affordable price and in a convenient location,” he said. Read also: UCrest chairman sees boom in digital healthcare UCrest chairman Eg Kah Yee (left) with MDC Asia Link Bhd CEO Dr Aslan Bacho at the signing ceremony of the business partnership agreement on Wednesday. ZAHID IZZANI/THE EDGE
THURSDAY APRIL 4, 2024 9 THEEDGE CEO MORNING BRIEF HOME KUALA LUMPUR (April 3): Engineering solutions provider Kawan Renergy Bhd on Wednesday signed an underwriting agreement with M&A Securities for its upcoming initial public offering (IPO) on the ACE Market of Bursa Malaysia. The agreement moves the group, which designs, fabricates, installs and commissions industrial process equipment, process plants as well as renewable energy and co-generation plants, a step closer to its scheduled listing by the second quarter (2Q) of 2024. The IPO will help expedite the company’s expansion plans, Kawan Renergy managing director Lim Thou Lai said in a statement, by allowing it to tap into the equity capital market for better financial flexibility for upcoming opportunities. “The industrial process equipment industry continues to show promising prospects, supported by the improved demands of various sectors that utilise such equipment,” he said. Malaysia’s rising foreign direct investment may boost demand for industrial process equipment, especially for sectors like oleochemical, food, utilities, energy and sustainable fuel, he said, adding that “weakening ringgit also helps make our products more competitive both locally and internationally”. Proceeds from the IPO have been earmarked for working capital for ongoing and future co-generation plant projects, to buy additional machinery, repay bank borrowings, and improve output at its 1.2-megawatt biogas Bercham plant. The offering involves a public issue of 110 million new shares, or 20% of its enlarged share base, as well as an offer for sale of 34.5 million existing shares. All in all, the IPO offers up to 25.3% stake in the company. Under the underwriting agreement, M&A Securities is to underwrite 46.8 million shares under the public portion — 27.5 million shares made available to the Malaysian public and 19.3 million shares allocated to eligible persons. The other 63.2 million shares under the IPO’s public offering are reserved for Bumiputera investors approved by the Ministry of Investment, Trade and Industry. The offer-for-sale tranche also sets aside 5.5 million shares to Bumiputera investors while the rest will go to select investors. M&A Securities is the IPO’s principal adviser, sponsor and placement agent. Kawan Renergy inks underwriting agreement for ACE Market IPO in 2Q KUALA LUMPUR (April 3): Malaysia Airlines Bhd (MAB) is partnering India’s largest airline InterGlobe Aviation Ltd (IndiGo) to provide customers with more options and flexibility for travel between Malaysia and India. The airlines signed a memorandum of understanding (MOU) on Wednesday for a codeshare partnership and mutual cooperation agreement, according to a statement by the Malaysian flag carrier. “The agreement will enable both carriers to provide customers with more options and flexibility for seamless travels between Malaysia and India,” the statement read. According to MAB, the code-sharing agreement will enable the airline to strengthen its connectivity within India as the marketing carrier on IndiGo-operated flights, while IndiGo customers will get to explore more destinations in Southeast Asia through its network. “This reciprocal arrangement will allow both carriers to provide seamless connections to their customers, besides enabling them to enjoy an integrated travel itinerary among other facilities,” it said in a statement. MAB is IndiGo’s first codeshare partner in Southeast Asia, while IndiGo is MAB’s first codeshare partner in India. Malaysia Airlines currently operates 71 weekly flights to nine destinations in India, including New Delhi, Mumbai, Bengaluru, Chennai, Hyderabad, Kochi, Ahmedabad, Amritsar and Trivandrum. “With India being our largest international market, we are delighted to enter this MOU with IndiGo to further widen our reach beyond the nine hubs we currently operate within India,” said its parent company Malaysia Aviation Group Bhd’s group managing director Datuk Captain Izham Ismail. Meanwhile, IndiGo’s chief executive officer Pieter Elbers said the partnership will enhance international trade opportunities through improved accessibility. Malaysia Airlines enters into codeshare with India’s largest airline IndiGo IndiGo, India’s largest airline by fleet size with over 350 aircraft, achieved its record-high 86 million passengers carried for the financial year ended March 31, 2023 (FY2023), according to its annual report. For the financial year ended Dec 31, 2023 (FY2023), MAB achieved an operating profit of RM1.099 billion, more than 13 times higher than the RM80 million it recorded in FY2022, attributable to higher capacity and robust yield amid strong passenger travel demand. It reinstated 86% of its pre-pandemic capacity as of the end of December 2023, with a targeted full recovery expected by the second quarter of 2024. Meanwhile, MAG recorded an annual net profit for the first time since 2014 with its earnings standing at RM766 million in 2023, compared with a net loss of RM344 million in 2022, thanks to robust traffic in the premium segment, active capacity management and stronger yield for the group’s passenger segment. BY HEE EN QI theedgemalaysia.com BY IZZUL IKRAM theedgemalaysia.com BLOOMBERG Malaysia Airlines said the code-sharing agreement will enable the airline to strengthen its connectivity within India as the marketing carrier on IndiGooperated flights, while IndiGo customers will get to explore more destinations in Southeast Asia through its network.
THURSDAY APRIL 4, 2024 10 THEEDGE CEO MORNING BRIEF HOME NEWS IN BRIEF Kobay unit secures RM21 mil banking facilities for acquisition, working capital KUALA LUMPUR (April 3): Precision parts manufacturer Kobay Technology Bhd said its 70%-owned subsidiary Avelon Healthcare Sdn Bhd has secured banking facilities totalling RM21 million from CIMB Islamic Bank Bhd. Of this, RM15 million comprises a revolving credit for the acquisition of a company and subsequent working capital needs, Kobay said, without naming the company. Last month, Kobay announced that Avelon Healthcare had completed the acquistion of a medical products distributor, Medicwave (M) Sdn Bhd, for RM15.12 million cash. In a bourse filing on Wednesday, Kobay said the balance of the banking facilities will mainly be used for working capital purposes. — by Luqman Amin Kumpulan Kitacon secures RM81 mil housing job in Shah Alam KUALA LUMPUR (April 3): Kumpulan Kitacon Bhd’s wholly owned subsidiary Kitacon Sdn Bhd has secured a contract worth RM80.98 million for a housing development project in Shah Alam, Selangor. The contract, awarded by Sime Darby Property Bhd’s wholly owned unit Sime Darby Property (City of Elmina) Sdn Bhd, involves constructing and completing 40 double-storey cluster houses, 86 double-storey semi-detached houses, and one Tenaga Nasional Bhd (TNB) substation (double chamber) in Lot 40390, Elmina West, Seksyen U15, Shah Alam. Notably, this marks the group’s second contract secured this year, following the award on Feb 13 to construct 182 terrace houses in the Selangor Cyber Valley for RM65.43 million. In a Bursa Malaysia filing, Kumpulan Kitacon said the latest project is scheduled to begin on April 22 and is slated for completion within 18 months from the commencement date. — by Syafiqah Salim JAG’s stake in KUB up to 62.72% following conclusion of MGO KUALA LUMPUR (April 3): JAG Capital Holdings Bhd has increased its shareholding in KUB Malaysia Bhd to 62.72% following the conclusion of a mandatory general offer (MGO). In a bourse filing, Maybank Investment Bank, on behalf of JAG, stated that the mandatory general offer (MGO) at 60 per share was concluded on March 18, with JAG Capital acquiring an additional 163.82 million shares, representing 29.44% of KUB. Additionally, it has received acceptances for 0.15% or 865,735 shares under the offer, subject to verification after the posting date and up to the closing date, as confirmed by UOB. JAG triggered the MGO for KUB on January 9 this year after purchasing 1.79 million KUB shares in the open market, increasing its shareholding in the listed entity to 33.28%. The offer follows a proposal to inject JAG’s 86.65% stake in cables and wire manufacturer Central Cables Bhd (CCB) into KUB in exchange for KUB preference shares, valued at RM119.42 million. — by Choy Nyen Yiau Tune Protect CEO Rohit to step down in May KUALA LUMPUR (April 3): Tune Protect Group Bhd’s group chief executive officer (CEO) Rohit Chandrasekharan Nambiar is resigning from his position “due to personal reasons.” The resignation will take effect May 10, according to the group’s stock exchange filing on Wednesday. Rohit, 43, was appointed to the position more than three years ago in October 2020. He succeeded Khoo Ai Lin, who resigned after less than two years in the role to pursue new opportunities. Tune Protect remarked that Rohit did not have any disagreement with the board of directors, nor are there any matters that need to be brought to the attention of shareholders. — by Hee En Qi MN Holdings wins RM17.6 mil Pasir Gudang power station job KUALA LUMPUR (April 3): Infrastructure utilities construction services provider MN Holdings Bhd has secured a contract worth RM17.6 million for the supply, erection and commissioning of transmission main intake (PMU) for the Pasir Gudang power station extension in Johor. In a bourse filing on Wednesday, MN Holdings announced that the contract was awarded to its wholly-owned subsidiary, MN Power Transmission Sdn Bhd, by Tenaga Nasional Bhd (TNB). The contract involves establishing two new units of 275kV OHL bays in Permas Jaya and replacing two existing units of 275kV OHL bays at the Pasir Gudang power station north. Additionally, the scope of work includes supplying, erecting and commissioning the 275/132kV PMU Pasir Gudang power station extension in Johor, along with remote end substation work and associated civil works. MN Holdings noted that the contract will be effective immediately and span 730 days from the commencement date. — by Choy Nyen Yiau UMediC gets SC’s nod for proposed Main Market transfer KUALA LUMPUR (April 3): UMediC Group Bhd has secured approval from the Securities Commission Malaysia (SC) for the proposed transfer to the Main Market of Bursa Malaysia Securities. Affin Hwang Investment Bank, on behalf of UMediC, announced on Wednesday that the SC approved the proposed transfer and resultant equity structure. This is in accordance with Section 214(1) of the Capital Markets and Services Act, 2007, and the Bumiputera equity requirement for public-listed companies, according to UMediC’s bourse filing. The medical equipment supplier was listed on the ACE Market on July 26, 2022. It booked a net profit of RM10.36 million and revenue of RM45.43 million for its financial year ended July 31, 2023 (FY2023), respectively. — by Syafiqah Salim UMEDIC.COM.MY WWW.KOBAYTECH.COM
THURSDAY APRIL 4, 2024 11 THEEDGE CEO MORNING BRIEF
THURSDAY APRIL 4, 2024 12 THEEDGE CEO MORNING BRIEF HOME KUALA LUMPUR (April 3): The Dewan Negara has passed the Unclaimed Moneys (Amendment) Bill 2024. The Bill, presented by Deputy Finance Minister Lim Hui Ying, was unanimously approved after being deliberated by nine senators. Lim stated that the amendments involved sections 1 to 12 of the Unclaimed Moneys Act 1965 (Act 370). Among them is Section 10, which is aimed to amend Subsection 11(2) Act 370 to reduce the period of unclaimed money credited to the Consolidated Trust Account from 15 years to 10 years. “The proposed amendment aims to allow unclaimed moneys to be transferred to the Consolidated Revenue Account after 10 years from the date the funds were credited to the Consolidated Trust Account. “Unclaimed money transferred to the Consolidated Revenue Account can contribute to the government’s expenditure needs, especially in meeting the country’s socio-economic objectives and economic recovery measures,” she said. Lim explained that although the unclaimed money is transferred to the Consolidated Revenue Account, claims on unclaimed money can still be made. “If this Bill is passed, the amount of unclaimed money to be transferred to the Consolidated Revenue Account will reach RM1.98 billion at the beginning of implementation,” she said. Dewan Negara passes amendment to Unclaimed Moneys Act 1965 Money services business handled RM74 bil in transactions in 2023 — deputy finance minister KUALA LUMPUR (April 3): The local iron and steel industry is facing major challenges resulting from the lack of activities in China’s construction sector, Deputy Investment, Trade and Industry Minister Liew Chin Tong said. To address this challenge, the government has implemented two important decisions, one of which is a two-year moratorium to allow for reassessments to address the challenges faced by the local iron and steel industry, according to him. He said that effective from Aug 15, 2023, the Ministry of Investment, Trade and Industry had imposed a temporary suspension of all inquiries, assessments of current applications, new applications, licence transfers, expansion, regularisation and diversification for manufacturing licences. The suspension also involves the issuance of certificates for exemption from the manufacturing licence (ICA10) under the Industrial Co-ordination Act 1975 (Act 156) for manufacturing activities in the iron and steel industry. “This moratorium gives respite for local industry players to coordinate and rebuild [the industry] to face future challenges, including global overcapacity and carbon emissions. “The carbon emission issue will be taken into account every time an industry player seeks a bank loan. This moratorium helps companies and industry players by giving them some space,” Liew said during a question-and-answer session in the Dewan Negara on Wednesday. He was responding to an additional question from Senator Tan Sri Low Kian Chuan, who wanted to know the effectiveness of the government’s existing initiatives to help and empower local iron and steel industry players. According to Liew, the establishment of an independent and special committee for the iron and steel industry to assess the sector can give it a new lease of life. “The committee will report to the ministry in six months, and the ministry will implement the proposed recommendations,” he said. Local iron and steel industry affected by China’s construction sector, says Liew Bernama Bernama Bernama KUALA LUMPUR (April 3): The money services business (MSB) handled a total of RM74 billion in transactions last year, said Deputy Finance Minister Lim Hui Ying. “As of Dec 31, 2023, there are 259 licensed MSB companies that offer conversion, delivery and wholesale currency services through more than 2,900 licensed premises and agents nationwide,” she said when winding up the debate on the Money Services Business Bill (Amendment) 2024 in the Dewan Negara on Wednesday. The Dewan Negara on Wednesday passed the Money Services Business Bill (Amendment) 2024 which includes 14 clauses with a majority voice vote in favour after being discussed by four Dewan Negara members. Lim said the amendment bill aims to further strengthen the existing legal framework for more effective enforcement in combating unlicensed MSB (Hawala). “This amendment covers four main considerations, namely the need to strengthen efforts to combat unlicensed MSBs due to the significant negative impact on the national economy and take into account the various modus operandi of Hawala to ensure that appropriate enforcement actions are taken on Hawala activities. “This amendment is also necessary to ensure that the punishment imposed can have an effective deterrent effect on offenders, and the enforcement approach against licence holders must commensurate with the level of non-compliance and take into account the level of compliance of the industry which is improving,” she said. She said the improvements to the bill are expected to speed up the enforcement process on unlicensed money service businesses as well as foster a stronger culture of compliance among licensees. The Money Services Business (Amendment) Bill 2024 was passed by the Dewan Rakyat on March 26. SUHAIMI YUSUF/THE EDGE
THURSDAY APRIL 4, 2024 13 THEEDGE CEO MORNING BRIEF HOME KUALA LUMPUR (April 3): There is no need for the private sector to operate the Malaysian Vocational Certificate (SVM) programme to meet the needs now, said Deputy Education Minister Wong Kah Woh. He said this is because the Ministry of Education (MOE) has a comprehensive plan to expand the Technical and Vocational Education and Training (TVET) programme, however the ministry is always open to any collaboration with the private sector in strengthening MOE’s TVET plan. Wong said the MoE is confident that the TVET programme under MOE’s TVET institutions will give students the opportunity to venture into quality programmes, as well as meeting the anticipated growing demand for TVET programme. No need for private sector to handle Malaysian Vocational Certificate programme — MOE Not the right time to impose capital gains tax on disposal of shares PUTRAJAYA (April 3): The Malaysian Indian Transformation Unit (Mitra) will be returned to the Prime Minister’s Department from the Ministry of National Unity. Communications Minister Fahmi Fadzil, who is also the unity government spokesman, said the matter was agreed upon by Prime Minister Datuk Seri Anwar Ibrahim and National Unity Minister Datuk Aaron Ago Dagang at the Cabinet meeting on Wednesday. “The Cabinet decided to return Mitra to PM’s Department. [On the] details of the enforcement and effective date, [you] can refer to Mitra,” he told a press conference here. On Mitra’s new direction, Fahmi said it would also be announced by Mitra. “Of course, with the return of Mitra to PM’s Department, it will be given specific focus areas to ensure that not only will it be managed well, but also to have its objectives achieved, or maybe expanded,” he said. Mitra, originally known as the Socioeconomic Development of the Indian Community, was established in 2014 before being renamed Mitra in 2018 and placed under the Ministry of National Unity. In September 2022, it was placed within the purview of the PM’s Department. In December 2023, Mitra was once again relocated under the Unity Ministry, and in February this year, Batu Member of Parliament, P Prabakaran, was appointed as the new chairman of Mitra Special Task Force Committee replacing Datuk R Ramanan. On March 27, Ramanan called for Mitra to be placed back under the PM’s Department after taking into account the views of various parties, especially the Indian community who believe that Mitra, as an asset and arm of the Indian community, is more ‘comfortable’ being within the prime minister’s purview. Ramanan, who is also the deputy minister of entrepreneur development and cooperatives, said the call was also made because the infrastructure and resources under the PM’s Department are more advanced compared to other ministries, thus facilitating more efficient management for the special unit. Cabinet agrees to place Mitra back under PM’s Dept — Fahmi Bernama Bernama Bernama “MOE is committed to providing quality TVET access to all students and various access to TVET education is provided by MOE as an option for students based on their interests and inclinations. “The mInistry has provided various TVET programmes for post-Form 3 students who are inclined towards skills in vocational colleges (KV), technical secondary schools (SMT) and national secondary schools (SMK),” he said during a question and answer session at Dewan Negara on Wednesday. He was replying to a question by Senator Datuk Dr R Nelson who wanted to know whether the ministry plans to allow the private sector to operate SVM programmes to meet the demand following the promotion of TVET studies in the country. According to Wong, besides MVC programmes offered at KV, MOE also offers TVET programmes such as Senior Vocational Programme (PVMA), Senior Industrial Apprenticeship (PIMA) and vocational subjects (MPV) at SMK as well as Technical Elective Subjects (MPET) at Sekolah Menengah Teknik (SMT). “Until now there are nine SMTs that offer MPET, 347 SMKs that offer PVMA, 491 SMKs that offer MPV and 13 SMKs that offer PIMA nationwide. “Apart from that, the implementation of the National Dual Training System programme together with industry and KV is also implemented to meet the needs of skilled workers in the industry,” he said. KUALA LUMPUR (April 3): The government does not consider it suitable to impose capital gains tax on the disposal of shares of listed companies at this time, said Deputy Finance Minister Lim Hui Ying. “The approach is taken to ensure that the local stock exchange can continue to be competitive,” she said when winding up the debate on the Income Tax Bill (Amendment) 2024 in the Dewan Negara on Wednesday. The Dewan Negara on Wednesday passed two bills involving tax, namely the Income Tax Bill (Amendment) 2024 and the Labuan Business Activity Tax Bill (Amendment) 2024. Lim said the Income Tax Bill (Amendment) 2024 aims to amend the Income Tax Act 1967 (Act 53), comprising nine clauses to enhance the tax policy and administration. The proposed enhancements include the implementation of capital gains tax (CGT), the implementation of e-Invoice, and tax administration amendments. She said the CGT is implemented to broaden the tax base, aligned with international best practices. “Additionally, the implementation of e-Invoice is to improve the efficiency of tax administration in dealing with the challenges of the shadow economy as well as curbing the continuous leakage of national tax revenue,” she said. Meanwhile, she said the Labuan Business Activity Tax (Amendment) Bill 2024 aims to implement amendments related to the implementation of the e-Invoice, such as amendments to the Income Tax Act 1967. This bill contains two clauses that amend the Labuan Business Activity Tax Act 1990, with the amendments deemed to have come into force on Jan 1, 2024.
THURSDAY APRIL 4, 2024 14 THEEDGE CEO MORNING BRIEF HOME PUTRAJAYA (April 3): The Ministry of Communications and the Malaysian Communications and Multimedia Commission (MCMC), along with several other agencies, will hold a meeting with Meta next Monday to discuss online safety aspects. Communications Minister Fahmi Fadzil said among the issues to be raised in the meeting are actions by certain parties abusing Meta platforms, such as Facebook, to distort facts and spread fake news. “Since yesterday (Tuesday), my ministry has found a series of arranged messages — a coordinated messaging operation — an action initiated by several figures, several parties, especially on Facebook, making shallow and malicious accusations, alleging that this year, there is no national- or international-level Quran Recitation Assembly. “I have instructed the MCMC to investigate and identify all involved in this operation, and we will take appropriate and firm action since there are certain parties trying to distort facts, which are actually very easy for us to verify. “Just by searching on Google, we can get that information,” Fahmi said at a press conference after the Cabinet meeting here on Wednesday. Furthermore, he said the ministry and MCMC will also raise the issue of underage children below 13 years old opening social media accounts on certain platforms. “Children under the age of 13 should not and cannot have accounts on Facebook, Instagram, WhatsApp, X, TikTok and so on, but all platforms currently do not provide strict mechanisms to prevent children from opening accounts on these platforms. “This is one of the topics or agendas in the discussions to be held,” he said. According to Fahmi, if Meta refuses to cooperate, the ministry will take several actions against the platform provider and colluding parties. Govt meeting with Meta on Monday to discuss fake news, underage social media users, says Fahmi KUALA LUMPUR (April 3): The prosecution in the corruption trial of Bersatu president Tan Sri Muhyiddin Yassin has sent an objection to the Court of Appeal over his application for the same court to review its decision on reinstating the abuse of power charges against him last month. During a case management in the Sessions Court before judge Azura Alwi, deputy public prosecutor (DPP) Datuk Wan Shaharuddin Wan Ladin informed the court that in response to Muhyiddin’s review application with the appellate court, the prosecution had sent an objection to the said application. The objection, which was filed on Monday and sighted by The Edge, stated that: “The request [application by Muhyiddin] is a trivial request, and a misuse of the court process.” Muhyiddin was charged with four counts of abuse of power and three money-laundering charges in the Sessions Court last year. He subsequently appealed against the charges to the High Court, where judge Datuk Muhammad Jamil Hussin struck out the four abuse of power charges, and ordered his acquittal. However, on Feb 28 this year, upon an appeal to the Court of Appeal by the prosecution against the High Court decision, the charges were reinstated. The Court of Appeal bench led by judge Datuk Hadhariah Syed Ismail, in a unanimous decision, ruled that Jamil had erred in striking out the four charges and ordering the former prime minister’s acquittal. Later on March 28, Muhyiddin through his lawyers filed a notice of motion for the Court of Appeal to review its decision. Prosecution objects to Muhyiddin’s application to review reinstatement of abuse of power charges The former prime minister in his affidavit of support for the application claimed that the decision was a nullity and illegality, as it was made without jurisdiction under Section 50 (1) of the Courts of Judicature Act 1964. In the case management before Azura on Wednesday, DPP Wan Shaharuddin informed the court that trial dates for the case to commence should be set, as there had been no application for a stay by the defence. However, Muhyiddin’s lawyer Datuk K Kumaraendran requested for more time, as there were “voluminous amounts of documents” for the defence to pour over before the trial starts. Azura then set May 8 for the next case management, where she may set dates for the trial to commence. The 77-year-old Pagoh Member of Parliament was charged along with his party, Parti Pribumi Bersatu Malaysia, with four counts of abuse of power of having received RM232.5 million in bribes from corporate entities and an individual between March 1, 2020 and Aug 20, 2021, in his capacity as the then prime minister and Bersatu president. According to the charges, the money from Bukhary Equity Sdn Bhd, Nepturis Sdn Bhd, Mamfor Sdn Bhd and Datuk Azman Yusoff was deposited into Bersatu’s bank accounts. Muhyiddin also faces three money-laundering charges linked to these four charges. The three charges are framed under the Anti-Money Laundering, Anti-Terrorism Financing and Proceeds of Unlawful Activities Act 2001. BY TIMOTHY ACHARIAM theedgemalaysia.com Bernama ZAHID IZZANI/THE EDGE
THURSDAY APRIL 4, 2024 15 THEEDGE CEO MORNING BRIEF WORLD BRUSSELS (April 3): Nato foreign ministers were set to meet on Wednesday to discuss how to put military support for Ukraine on a long-term footing, including a proposal for a €100 billion (RM511.46 billion) five-year fund and a plan seen as a way to “Trump-proof” aid for Kyiv. The proposals by Nato Secretary General Jens Stoltenberg would give the Western alliance a more direct role in coordinating the supply of arms, ammunition and equipment to Ukraine as it fights Russia’s invasion, diplomats say. The plans will be discussed during a two-day meeting in Brussels that will celebrate the 75th anniversary of the founding of the North Atlantic Treaty Organization (Nato) and prepare for a July summit of alliance leaders in Washington. “We need to shift the dynamics of our support,” Stoltenberg said as he arrived at the meeting. “We must ensure reliable and predictable security assistance to Ukraine for the long haul, so that we rely less on voluntary contributions and more on Nato commitments. Less on short-term offers and more on multi-year pledges.” He said ministers would discuss how Nato could assume more responsibility for coordinating military equipment and training for Ukraine. He declined to confirm levels of funding and said the aim was for a decision to be taken at the July summit. Nato ministers considering €100 bil military fund for Ukraine HUALIEN, Taiwan (April 3): Taiwan’s biggest earthquake in at least 25 years killed nine people on Wednesday, injuring more than 900, while 50 hotel workers were missing en route to a national park, authorities said, as rescuers used ladders to bring others to safety. Television broadcast images of buildings tilted at precarious angles in the mountainous, sparsely populated eastern county of Hualien, near the epicentre of the 7.2 magnitude quake, which struck just offshore at about 8am (0000GMT). “It was very strong. It felt as if the house was going to topple,” said Chang Yu-lin, 60, a worker in a hospital in Taipei, the capital. A woman who runs bed-and-breakfast accommodation in Hualien city said she scrambled to calm her guests who were frightened by the quake. Nine dead in Taiwan’s strongest earthquake in 25 years, 50 missing “This is the biggest earthquake I have ever experienced,” said the woman, who asked to be identified only by her family name, Chan. The quake hit at a depth of 15.5km, just as people were headed for work and school, setting off a tsunami warning for southern Japan and the Philippines that was later lifted. Video showed rescuers using ladders to help trapped people out of windows, while elsewhere there were massive landslides. Strong tremors in Taipei forced the subway system to close briefly, although most lines resumed service. Fire authorities said they had already evacuated some 70 people trapped in tunnels near Hualien city, including two Germans. But they had lost contact with 50 workers aboard four minibuses heading to a hotel in a national park, Taroko Gorge, they said, and rescuers were looking for them. Another 80 people are trapped in a mining area, though it was not immediately clear if they were inside a mine. The government put the number of injured at 946. “At present the most important thing, the top priority, is to rescue people,” said President-elect Lai Ching-te, speaking outside one of the collapsed buildings in Hualien. The rail link to the area was expected to re-open on Thursday, Lai, who is set to take office next month, told reporters. Taiwan’s air force said six F-16 fighter jets had been slightly damaged at a major base in the city from which jets are often scrambled to see off incursions by China’s air force, but the aircraft are expected to return to service very soon. BY YIMOU LEE & FABIAN HAMACHER Reuters BY ANDREW GRAY & JOHN IRISH Reuters The proposals by Nato Secretary General Jens Stoltenberg would give the Western alliance a more direct role in coordinating the supply of arms, ammunition and equipment to Ukraine as it fights Russia's invasion, diplomats said. Firefighters work at the site where a building collapsed following the earthquake in Hualien, Taiwan. TAIWAN NATIONAL FIRE AGENCY VIA REUTERS
THURSDAY APRIL 4, 2024 16 THEEDGE CEO MORNING BRIEF WORLD BENGALURU (April 3): Gold prices extended a record run on Wednesday as concerns of inflationary pressures boosted demand for bullion as a hedge, with traders shrugging off doubts over an imminent US interest rate cut and rising Treasury yields. Spot gold was up 0.2% at US$2,283.76 per ounce, as of 0602 GMT, and hit a record high of US$2,288.09 earlier in the session. Bullion has hit record highs consecutively since Thursday. US gold futures gained 1% to US$2,304.20. “Gold continues to receive safe-haven flows as Ukraine continues to attack Russia’s oil infrastructure, to the point it is ignoring rising US yields and the prospects of the Fed not cutting rates in June,” City Index senior analyst Matt Simpson said. Federal Reserve policymakers on Tuesday said they think it would be “reasonable” to cut US rates three times this year, even as stronger recent economic data has sown investor doubts about that outcome. Data this week showed US manufacturing unexpectedly rebounded, with the rise in raw materials prices triggering fears that inflation could resurge. “With commodity prices rising in general, it brings the risks of another round of inflation — so perhaps investors are hedging for inflation,” Simpson said. Gold, which is used a hedge against inflation and a safe haven during times of political and economic uncertainty, has gained more than 10.8% so far this year and is set for a seventh consecutive daily rise. “Right now, gold is sensing that inflation is more of a driving variable than the interest rates and part of the momentum is also driven by speculators, hedge funds and commodity funds that start buying gold whenever their quantitative systems give them signals,” Marex analyst Edward Meir said. Elsewhere, spot silver rose 1% to US$26.36 per ounce, platinum gained 0.9% to US$926.80 and palladium was up 0.8% at US$1.011.62. Gold’s searing rally is doing nothing to reignite enthusiasm for platinum jewellery in Asia, analysts said. Gold smashes record highs again as US inflation worries loom (April 3): Opec+ chose to stick with oil supply cuts for the first half of the year, keeping global markets tight and potentially sending prices higher. A panel of key members led by Saudi Arabia recommended no policy changes at an online review meeting on Wednesday, according to a statement posted on the group’s website. That means roughly two million barrels a day of output curbs will remain in place until the end of June. The cuts by the Organization of Petroleum Exporting Countries and its partners, combined with surprisingly resilient fuel demand, have helped push crude prices to almost US$90 a barrel in London, the highest level this year. Ongoing conflict in the Middle East is also propping up crude futures. By keeping the curbs in place, Opec+ looks set to ensure that global oil markets remain in a slight deficit during the second quarter, according to the International Energy Agency in Paris. The shortfall could send oil prices toward US$100 a barrel, JPMorgan Chase & Co has warned. The Joint Ministerial Monitoring Committee “will continue to closely assess market conditions” and Opec+ members confirmed “their readiness to take additional measures at any time,” according to the statement. That could spell discomfort for consumers still smarting from years of rampant inflation and complicate the job of central banks seeking to loosen monetary policy. However, for the Saudis and its allies, the rally shores up vital government revenues. Global benchmark Brent crude traded 1% higher at US$89.80 by 1:09pm in London. Firm footing “It is a market that is on firm fundamenOpec+ sticks with supply cuts while oil nears US$90 a barrel tal footing, no question,” Bob McNally, founder of consultants Rapidan Energy Group and a former White House adviser, said in a Bloomberg Television interview. The group’s supply cuts have managed to tighten the market even though some key members — notably Iraq and Kazakhstan — haven’t implemented their agreed reductions. Members were once again urged to adhere to their commitments at Wednesday’s committee meeting, according to the closing statement. Iraq and Kazakhstan, who have pledged additional cutbacks to compensate for overproducing, were asked to submit detailed plans on this by the end of April. Read also: BofA hikes 2024 oil forecasts on tighter supply, geopolitical risks BY GRANT SMITH, SALMA EL WARDANY, FIONA MACDONALD & NAYLA RAZZOUK Bloomberg BY SHERIN ELIZABETH VARGHESE Reuters REUTERS REUTERS
THURSDAY APRIL 4, 2024 17 THEEDGE CEO MORNING BRIEF WORLD (April 3): China’s defence of its currency is heading toward a milestone moment that may trigger a more forceful response from authorities to punish short-sellers. Having weakened the yuan to within a whisker of its fixed range against the dollar on Wednesday, traders are now in danger of being slapped with anything from direct intervention to a dramatic liquidity squeeze in the offshore market. Over the past decade, the People’s Bank of China has stepped in aggressively to stabilise the yuan on each of the five occasions it neared that policy red line. In constant conflict trying to keep policy loose enough to stimulate growth but the currency strong enough to avoid disorderly capital outflows, the PBOC has a tendency to react slowly then take sudden action. That translates to a tolerance of moderate yuan depreciation which can quickly shift to measures to boost the currency to prevent market panic. “A continued slide in the yuan undermines both investor and consumer confidence, which in turn weighs on growth conditions and is counterproductive to authorities’ longer-term economic ambitions,” said Simon Harvey, head of foreign-exchange analysis at Monex Europe Ltd. “A similar playbook to late last year can be expected — quasi-intervention through state banks, regulatory tweaks and adjustments to liquidity conditions.” Recent resilience in the dollar — a result of bets that the Federal Reserve will keep its policy rates higher for longer — is making the PBOC’s mandate even more difficult. Other Asian central banks, including those in Japan and Indonesia, are also faced with defending their currencies more aggressively after they sank to multi-decade lows. On Wednesday, the yuan slid to a level that was within 0.01% of the edge of its range. Some trades were halted for a second time this week and state-owned lenders sold dollars onshore to support the currency, according to traders who asked not to be named as they aren’t authorised to speak publicly. BY IRIS OUYANG & TANIA CHEN Bloomberg Yuan sinks toward limit of allowed range, risking PBOC pushback Yuan history Chinese policymakers have always been vigilant of currency depreciation pressure as it can easily spill over to local stocks and hurt the appeal of bonds. A rapid yuan drop can also lead to a vicious cycle of capital outflows and exacerbate currency losses, like it did after a shock devaluation in 2015. That’s why the PBOC keeps a tight leash over the yuan with its daily reference rate and fixed trading band for the currency. Onshore, the currency is only allowed to move 2% above and below the so-called fixing that’s released by the central bank on every trading session. “If they continue with steady fixings, they may have to start utilizing other measures to curb depreciation pressure,” such as verbal warnings and unleashing dollar liquidity onshore, said Khoon Goh, head of Asia research at Australia & New Zealand Banking Group. “Next Monday’s fix will be critical.” Since the most recent tweak of the band in 2014, the yuan has never moved outside of its permitted range. In previous cases where the yuan got this close, the PBOC has pushed back with aggressive measures. Apart from a sharply stronger fixing, it also adopted tools like verbal warnings, capital curbs and even dollar sales by state banks. The downside is these measures carry a high reputational cost, hindering aspirations to make the yuan a more international currency. No panic Analysts agree that the PBOC will manage the yuan closely to prevent it from touching the trading band and that there has been no sign of a panic selloff. Demand for bearish bets in the options market remained muted and expected swings are still among the lowest in Asia, according to data compiled by Bloomberg. An action from Beijing can’t be ruled out if hawkish comments from the Fed or upbeat US economic data fuel further gains in the dollar. China’s onshore foreign-exchange markets will be closed for a holiday on Thursday and Friday. “Whatever is happening to yuan will also spillover into the other Asia foreign-exchange,” said Woei Chen Ho, an economist at United Overseas Bank Ltd. “If the market continues to push back the start of Fed rate cut, it will be difficult for the dollar-yuan pair to back down.” Other Asian central banks, including those in Japan and Indonesia, are also faced with defending their currencies more aggressively after they sank to multi-decade lows. REUTERS
THURSDAY APRIL 4, 2024 18 THEEDGE CEO MORNING BRIEF WORLD Amazon is cutting hundreds of jobs in cloud computing division WASHINGTON (April 3): US private payrolls increased more than expected in March, pointing to continued labour market strength. Private payrolls rose by 184,000 jobs last month, the most since last July, after advancing by an upwardly revised 155,000 in February, the ADP Employment report showed on Wednesday. Economists polled by Reuters had forecast private employment increasing by 148,000 last month compared to the previously reported 140,000 in February. Wages for workers remaining in their jobs increased 5.1% on a yearon-year basis, after a similar gain in February. The leisure and hospitality industry led the nearly broad increase in hiring, with 63,000 jobs added. Construction payrolls increased by 33,000 jobs. But the professional and business services sector shed 8,000 positions. Hiring increased in all four regions, and was spread across all business sizes. The ADP report, jointly developed with the Stanford Digital Economy Lab, was published ahead of the release on Friday of the Labor Department’s more comprehensive and closely watched employment report for March. It has deviated considerably from the official employment data, often grossly exaggerating the labor market slowdown. The labour market is gradually cooling following 525 basis points worth of interest rate hikes from the Federal Reserve since March 2022. Government data on Tuesday showed there were 1.36 job openings for every unemployed person in February compared to 1.43 in January. (April 3): Amazon.com Inc’s cloud division is cutting hundreds of jobs that will affect sales and marketing employees and the team developing technology for brickand-mortar stores. “We’ve identified a few targeted areas of the organisation we need to streamline in order to continue focusing our efforts on the key strategic areas that we believe will deliver maximum impact,” an Amazon Web Services spokesperson said in a statement Wednesday. Amazon will try to find US private payrolls post largest gain in eight months in March BY LUCIA MUTIKANI Reuters BY MATT DAY Bloomberg new roles for affected employees, he said. Sales growth at AWS, the largest seller of rented computing power and data storage, slowed to a record low last year as corporate customers cut spending and delayed technology modernisation projects. The latest layoffs come about a year after AWS held its largest-ever round of job eliminations, part of a cost-cutting drive that saw Amazon slash 27,000 corporate roles following a pandemic-era hiring boom. REUTERS But the fundamental unit of quantum computers — called a “qubit” — is fast but finicky, producing data errors if the quantum computer is even slightly disturbed. To solve that problem, quantum researchers often build more physical qubits than needed and use error-correction techniques to yield a smaller number of reliable and useful qubits. Microsoft and Quantinuum said they had made a breakthrough in that field. Microsoft applied an error-correction algorithm that it wrote to Quantinuum’s physical qubits, yielding about four reliable qubits from 30 physical ones. Jason Zander, Microsoft’s executive vice president for strategic missions and technologies, said the company believes that is the best ratio of reliable qubits from a quantum chip that has ever been shown. “We ran more than 14,000 individual experiments without a single error. That’s up to 800 times better than anything on record,” Zander told Reuters in an interview. Microsoft said it plans to release the technology to its cloud computing customers in the coming months. Microsoft, Quantinuum claim breakthrough in quantum computing (April 3): Microsoft and Quantinuum on Wednesday said they have achieved a key step in making quantum computers a commercial reality by making them more reliable. The move is the latest in a race to perfect quantum computing in which tech firms such as Microsoft, Alphabet’s Google and IBM are jostling with both rivals and nation states to create machines that take advantage of quantum mechanics to promise speeds far faster than conventional silicon-based computers. Those quantum machines could make feasible scientific calculations that would otherwise take millions of years with today’s classical computers. BY STEPHEN NELLIS Reuters
THURSDAY APRIL 4, 2024 19 THEEDGE CEO MORNING BRIEF WORLD WASHINGTON (April 3): Artificial intelligence (AI) will impact 40% of jobs worldwide in the coming years, International Monetary Fund (IMF) managing director Kristalina Georgieva said. “Over the next years, on average, 40% of jobs globally would be impacted by AI,” Georgieva said at the Centre for Global Development in Washington, DC on Tuesday, reported Sputnik. In advanced economies, the share of jobs impacted by AI will be as much as 60%, while in low-income countries, it is only 26%, Georgieva added. She explained that the difference is simply due to low-income countries having less jobs. “Risk of growing inequality within countries and across countries is very real,” she said. The IMF chief stressed that the impact of AI on the labour market will be massive. It will allow some jobs to improve, but many of them will disappear, she added. (April 3): Intel shares fell 5% before the bell on Wednesday, as ballooning losses at its contract chip-making business signaled the company could take years to catch up with the profitability of Taiwan Semiconductor Manufacturing Co. Disclosing new financials details for its foundry unit on late Tuesday, Intel said the business posted operating losses of US$7 billion in 2023 compared with US$5.2 billion in 2022. “We expected foundry economics to be bad, and they truly are,” said Bernstein analyst Stacy Rasgon. “We likely have several years of substantial headwinds still in front of us.” Intel is set to lose more than US$9 billion in market value if the premarket losses hold. The company has been spending billions of dollars to return as the dominant BENGALURU (April 3): Yahoo said on Tuesday it had acquired Instagram co-founders’ artificial intelligence (AI)-driven news platform, Artifact, and will incorporate its technology across the US web services provider’s news and other sites. The deal signals continued pain for media start-ups struggling to grow revenue at a time when Big Tech giants Alphabet and Meta Platforms attract the bulk of advertising sales. In January, Artifact said in a blog post it would wind down operations of its app as “the market opportunity isn’t big enough to warrant continued investment in this way”. Yahoo, which also owns news brands TechCrunch, Engadget and Yahoo Finance, said Artifact’s AI-powered recommendation engine and other features will help scale its news operations and deliver personalised content to audience. The online publisher also owns a minority stake in content recommendation platform Taboola. Yahoo, which declined to share financial details, was bought out by private equity firm Apollo Global Management for US$5 billion (RM23.77 billion) in 2021. Artifact was launched in early 2023 by Systrom and Mike Krieger. They were earlier at Meta, then known as Facebook, after the company’s acquisition of Instagram in 2012. The duo left the Facebook owner in late 2018, which some media reports later described as due to their strained relationship with Meta boss Mark Zuckerberg and differences in their visions for Instagram. Systrom and Krieger will work with Yahoo in an advisory capacity during this transition, Yahoo said in a statement. maker of cutting-edge chips, a position that it lost to Taiwan Semiconductor Manufacturing Co, which is now the world’s biggest contract chipmaker. The US chipmaker’s capital investments classified as “construction in progress” totaled US$43.4 billion as of Dec 30, 2023, compared with US$36.7 billion a year earlier. Intel also plans to spend US$100 billion on plants across four states in the United States, in part helped by funding from the US Chips Act. CEO Pat Gelsinger said operating losses for its contract chip-making business would peak in 2024 before breaking even by about 2027. It accounted for about 35% of Intel’s total net revenue in 2023. Intel expects the foundry business to have a gross margin of about 40% by 2030, which would still trail the 53% margin TSMC reported for the fourth quarter of 2023. At T$625.5 billion (US$19.52 billion) in just the final three months of the 2023, TSMC’s revenue is also much larger than the US$18.9 billion in sales Intel’s foundry unit had in 2023. Gelsinger said the foundry business was hurt by previous missteps, including its previous decision against using extreme ultraviolet (EUV) machines from Dutch firm ASML. Intel has now switched over to EUV tools. Intel slides as foundry business loss spotlights wide gap with rival TSMC Yahoo acquires Instagram co-founders’ AI news platform Artifact Reuters BY JASPREET SINGH & YUVRAJ MALIK Reuters AI to impact up to 40% of jobs worldwide, says IMF’s Georgieva Bernama-Sputnik BLOOMBERG The IMF chief stressed that the impact of artificial intelligence on the labour market will be massive. It will allow some jobs to improve, but many of them will disappear, she said.
THURSDAY APRIL 4, 2024 20 THEEDGE CEO MORNING BRIEF WORLD NEW YORK(April 3): McKinsey & Co has made a unique offer to some of its staff: Take nine months’ pay and go away. The management and consulting firm is dangling the pay, along with career-coaching services and other resources, to some UK staff who’d like to leave. The move, first reported by the Times of London, is the latest personnel shakeup inside the storied counsellor to chief executive officers and heads of state and comes soon after McKinsey warned some US consultants that they were running out of time to win promotion. McKinsey and its peers in the consulting world have trimmed headcount, delayed start dates and slowed the pace of hiring over the past year amid declining demand from clients. “These actions are part of our ongoing effort to ensure our performance management and development approach is as effective as possible, and to do so in a caring and supportive way,” a McKinsey spokesman said in an email. McKinsey offering some staff nine months’ pay to leave firm (April 3): As Tesla Inc grapples with a global slowdown in EV demand that contributed to its largest-ever quarterly sales miss, Elon Musk’s carmaker is also steadily losing ground in China — the world’s biggest automotive market. Confronted with unprecedented local competition amid weakened consumer sentiment in Asia’s largest economy, Tesla’s market share has shrunk from 10.5% in the first quarter of 2023 to around 6.7% for the quarter ended in December, Bloomberg calculations based on data released by the country’s Passenger Car Association show. While the PCA didn’t provide a monthly breakdown for March of local shipments versus which EVs made in Tesla’s Shanghai factory are for export, the figures for the first two months of 2024 show the US carmaker’s market share for that period was about 6.6% compared to 7.9% the same period a year ago, when Covid restrictions were just lifted. Tesla’s sales and production are consistently backloaded in China, with the third month of each quarter the strongest for local shipments. Tesla, which has long labeled itself a transformer in the industry with avant-garde products and cutting-edge technologies, has, in China at least, been relying upon two models — the Model 3 sedan and the Model Y sport utility vehicle. Both were first unveiled before 2020 and have only had minor refreshes since. Meantime, a slew of rivals, from BYD Co to Nio Inc, Xpeng Inc, Li Auto Inc and now smartphone maker Xiaomi Corp have unveiled new line-ups packed with high-tech features. BYD in particular has a wide spectrum of models from its Seagull hatchback, which features angular styling, a two-tone dashboard shaped like a seagull’s Tesla’s shrinking China market share compounds global woes Bloomberg Bloomberg wing and six airbags and retails for under US$10,000 (RM47,537) right through to its Yangwang U8 plug-in hybrid, a 1,200-horsepower luxury SUV that can float on water and make a 360-degree “tank turn” on the spot. Price cuts used to be another sales booster for Tesla, one of the most successful practitioners of the direct-sales mode, a strategy that allows it to dictate the end price in line with production costs and market demand. However, Chinese automakers have proven to be determined to join the price war, which was kicked off by Tesla in January 2023 and repeated at the start of this year. Many of them actually deepened their price cuts earlier this week, a likely response to Tesla’s pre-announced price hike on Monday. “A core part of our mission is helping people learn and grow into leaders, whether they stay at McKinsey or continue their careers elsewhere.” The offer will be made to McKinsey’s engagement managers, who run teams of consultants on client projects, and associate partners, the Times said, citing people familiar with the move whom it would not identify. US-based managers have also received similar offers, the Times said. It’s unclear how many total staffers will be eligible for the offer. At McKinsey, underperforming employees in client-facing roles tend to depart after being “counselled to leave” — a phrase that indicates the company doesn’t want them on client projects and recommends they try to find a different employer. In this case, though, staffers in good standing are providing their own counsel to leave, so to speak. Those taking the nine months of pay would still have to depart even if they couldn’t find a new job in that period. REUTERS
THURSDAY APRIL 4, 2024 21 THEEDGE CEO MORNING BRIEF WORLD (April 3): A scion of the Wee family, Singapore’s richest banking dynasty, is buying a S$39.5 million (US$29 million or RM138.8 million) mansion, taking advantage of a lull in the high-end real estate market. Grace Wee Jingsi, the youngest child of United Overseas Bank Ltd chief executive officer Wee Ee Cheong, is buying the socalled good class bungalow at Ford Avenue, according to property filings lodged March-end seen by Bloomberg News. The house is co-owned by Choo Chiau Beng, whose former roles include being chief executive officer of the infrastructure giant now known as Keppel Ltd and Singapore’s non-resident ambassador in Brazil. He acquired the more than 19,500 square feet (1,810 square meters) house in 2007, the records show. The sale comes after Singapore’s highend property market saw a tepid 2023, dented by a major money laundering scandal and high interest rates. Last year’s transactions in the good class bungalow market were the lowest since 1996 when Scion of Singapore’s richest banking dynasty buys mansion for US$29 mil (April 3): HSBC chairman Mark Tucker told the bank’s shareholders in Hong Kong on Wednesday a spin-off of its Asian business will not happen. “There is no appetite among our shareholder base, as demonstrated by last year’s annual general meeting results, to vote for a spin-off. That will not happen,” Tucker said in the meeting, in response to a shareholder’s question. HSBC defeated a resolution last year from Hong Kong-based shareholders and backed by major investor Ping An to potentially spin off its lucrative business in Asia. At the time, the company said the majority of its institutional and retail investor base backed the board and the structure of the bank. The bank in February reported that its 2023 pre-tax profit jumped 78% to US$30.3 billion (RM144.13 billion) from a year ago, but still missed a consensus estimate of US$34.1 billion, largely due to a US$3 billion impairment on its stake in China’s Bank of Communications. HSBC had also announced a new US$2 billion buy-back, an annual dividend of 61 US cents per share, and the intention to pay a special dividend of 21 US cents per share once it completes the sale of its Canadian business. HSBC chairman says Asian business spin-off ‘will not happen’ BY SUMEET CHATTERJEE & DOROTHY KAM Reuters BY LOW DE WEI Bloomberg data became available, according to a recent estimate by CBRE Group Inc. Still, the class of property, which number to about 2,800, are highly coveted by the ultra-rich. The March transaction price is more than double that of a slightly larger mansion in the area, which was sold in 2019 for S$17 million. The transaction also comes amid renewed attention on where the Wee family’s US$10.6 billion fortune will be dispersed, after the death of its patriarch Wee Cho Yaw in February. Grace’s father Ee Cheong became the richest of the late Wee’s children, with a net worth of US$4.6 billion, according to Bloomberg estimates. Grace, a former consultant at Boston Consulting Group, now runs a wellness club in Singapore, and like Ee Cheong’s two other sons, is not actively involved in UOB’s banking business. Grace didn’t respond to an emailed request for comment. Choo was chief executive of Keppel between 2009-2013, when it still owned the world’s biggest builder of oil rigs, a unit he also led before his CEO tenure. His time at Keppel was marred by a scandal over illegal payments the company made to officials of Brazil’s state-controlled oil company Petroleo Brasileiro SA. Choo didn’t respond to a request for comment sent via LinkedIn. The unit eventually agreed to pay US$422 million to end a US probe into the illegal payments. Keppel, backed by state investor Temasek Holdings Pte Ltd, sold off its oil rig unit in a major restructuring last year. The same year, Singapore’s anti-graft agency announced a decision not to charge unnamed executives allegedly involved in the case, citing insufficient evidence. BLOOMBERG BLOOMBERG Grace Wee Jingsi, the youngest child of United Overseas Bank Ltd CEO Wee Ee Cheong, is buying a S$39.5 million (US$29 million or RM138.8 million) mansion at Ford Avenue in Singapore.
THURSDAY APRIL 4, 2024 22 THEEDGE CEO MORNING BRIEF WORLD (April 3): The Congressional Budget Office (CBO) warned in its latest projections that US federal government debt is on a path from 97% of gross domestic product (GDP) last year to 116% by 2034 — higher even than in World War II. The actual outlook is likely worse. From tax revenue to defence spending and interest rates, the CBO forecasts released earlier this year are underpinned by rosy assumptions. Plug in the market’s current view on interest rates, and the debt-to-GDP ratio rises to 123% in 2034. Then assume — as most in Washington do — that ex-president Donald Trump’s tax cuts mainly stay in place, and the burden gets even higher. With uncertainty about so many of the variables, Bloomberg Economics has run a million simulations to assess the fragility of the debt outlook. In 88% of the simulations, the results show the debt-to-GDP ratio is on an unsustainable path — defined as an increase over the next decade. The Biden administration says its budget, featuring a slew of tax hikes on corporations and wealthy Americans, will ensure fiscal sustainability and manageable debt-servicing costs. “I do believe we need to reduce deficits and to stay on a fiscally sustainable path,” US Treasury Secretary Janet Yellen told lawmakers in February. Biden administration proposals offer “substantial deficit reduction that would continue to hold the level of interest expense at comfortable levels. But we would need to work together to try to achieve those savings,” she said. Trouble is, delivering on such a plan will require action from a Congress that’s bitterly divided on partisan lines. Republicans, who control the House, want deep spending cuts to bring down the ballooning deficit, without specifying exactly what they’d slash. Democrats, who oversee the Senate, argue that spending is less of a contributor to any deterioration in debt sustainability, with interest rates and tax revenues the key factors. Neither party favors squeezing the benefits provided by major entitlement programmes. In the end, it may take a crisis — perhaps a disorderly rout in the Treasuries market triggered by sovereign US credit-rating downgrades, or a panic over the depletion of the Medicare or Social Security trust funds — to force action. That’s playing with fire. Last summer provided a foretaste, in miniature, of how a crisis might begin. Over two days in August, a Fitch Ratings downgrade of the US credit rating and an increase of long-term Treasury debt issuance focused investor attention on the risks. Benchmark 10-year yields climbed by a percentage point, hitting 5% in October — the highest level in more than one and a half decades. As for how things might end, Britain’s experience in fall 2022 provides a glimpse into the abyss. Then-Prime Minister Liz Truss’s plan for unfunded tax cuts sent the gilt market into a tailspin. Yields soared so quickly that the central bank had to step in to snuff out the risk of an outright financial crisis. The bond vigilantes’ actions forced the government to call off the plan and Truss out of office. For the US, the dollar’s central role in international finance and status as the dominant reserve currency lowers the odds of a similar meltdown. It would take a lot to shake investor confidence in US Treasury debt as the ultimate safe asset. If it did evaporate, though, the erosion of the dollar’s standing would be a watershed moment, with the US losing not just access to cheap financing but also global power and prestige. BY BHARGAVI SAKTHIVEL Bloomberg A million simulations, one verdict for US economy: debt danger ahead Variable variables How does the CBO, Washington’s official budget watchdog, arrive at its debt forecast? The CBO’s assumptions for crucial variables — GDP growth around 2%, inflation returning to 2%, interest rates drifting down from the current levels — are squarely in the ballpark of plausibility. They are also not far from numbers in the Federal Reserve Bank of Philadelphia’s Survey of Professional Forecasters. Indeed, the CBO’s view on rates is a little higher than the most recent consensus. Examine them closely, though, and key assumptions underpinning the CBO forecast appear optimistic: • By law, the CBO is compelled to rely on existing legislation. That means it assumes the 2017 Trump tax cuts will expire as scheduled in 2025. But even President Joe Biden wants some of them extended. According to the Penn Wharton Budget Model, permanently extending the legislation’s revenue provisions would cost about 1.2% of GDP each year starting in the late 2020s. • The CBO also must assume that discretionary spending, which is set by Congress each year, will increase with inflation, not keep pace with GDP. As a result, defence spending falls from around 3% of GDP now to about 2.5% in the mid-2030s — a tall order given the wars currently raging and the geopolitical threats that loom. Former Treasury Secretary Lawrence Summers says a more realistic forecast would add at least 1% of GDP to the CBO’s outlook. • Market participants aren’t buying the benign rates outlook, with forward markets pointing to borrowing costs markedly higher than the CBO assumes. It may take a crisis — perhaps a disorderly rout in the Treasuries market triggered by sovereign US credit-rating downgrades, or a panic over the depletion of the Medicare or Social Security trust funds — to force action.
thursday A P R IL 4, 2024 23 The E dge C E O m o rning brief world MANILA (April 3): The Philippines is prepared to respond to China’s attempts to foil its supply missions in the South China Sea, a top security official said on Wednesday, adding that the operations will be adjusted to counter Beijing’s conduct in the waterway. Jonathan Malaya, the spokesperson of the National Security Council, said the Philippines is committed to maintaining its position at the Second Thomas Shoal and there will be no let-up in resupply missions to Filipino soldiers stationed on a grounded warship there. “Our commitment to maintain BRP Sierra Madre will always be there, so any attempt by China to interfere with re-supply missions will be met by the Philippines in a fashion that protects our troops,” Malaya told a maritime forum. Malaya reiterated that the counter-measures announced by Philippine President Ferdinand Marcos Jr last week against “aggressive” actions by China’s coastguard will be “multi-dimensional” and not solely military in nature. Part of these measures includes making “changes and adjustments” to Philippine resupply missions and operations in the South China Sea, Malaya said without elaborating, citing security concerns. Philippines prepared to respond to China’s attempts to interfere with resupply missions TOKYO (April 3): Indonesia’s president-elect Prabowo Subianto told Japan’s Prime Minister Fumio Kishida on Wednesday he wanted deeper security and economic cooperation just two days after telling Chinese President Xi Jinping he wished for close ties. “We have built a cooperative relationship and going forward I would like to strengthen that,” Prabowo told Kishida at a meeting in Tokyo. Prabowo, who has previously said the world’s fourth most populous nation was committed to a policy of non-alignment, visited Japan after travelling to China on Monday on his first foreign trip since his winning Indonesia’s presidential election in February. Both Tokyo and Beijing are courting the Southeast Asian nations that ring the contested South China Sea, most of which China claims, to gain influence in the strategic region. Kishida told the Prabowo that Japan attached great importance on cooperating with Indonesia to strengthen international rules and said Japan, which agreed in 2023 to supply it with patrol ships, wanted to expand security cooperation, Japan’s Ministry of Foreign Affairs said after the meeting. The current defence minister and former special forces commander will be sworn in as Indonesia’s president in October. His election has raised concerns among human rights groups who point to abuses he is alleged to have committed during his time in the military. Prabowo, who was found by a military council to have kidnapped student activists in 1998, denies the accusations. Prabowo also met Japan’s Minister of Defence Minoru Kihara in Tokyo. BANGKOK (April 3): Thailand’s Constitutional Court on Wednesday accepted a case seeking the dissolution of the opposition Move Forward Party, in another blow for a popular anti-establishment movement pushing major institutional reforms in the country. The court agreed to take on a complaint filed by the election commission asking to disband Move Forward for its controversial campaign to reform a law that shields the powerful monarchy from criticism, under which at least 260 people have been prosecuted in the past few years. The case follows a January ruling by the same court that found Move Forward’s plan to amend the law was unconstitutional and tantamount to an attempt to overthrow the system of government with the king as head of state. Move Forward has denied that was its intention. Spokesperson Parit Wacharasindhu on Wednesday said it would prepare its defence and was ready for all scenarios. The party pulled off a stunning feat in winning last year’s election but was blocked from forming a government by lawmakers allied with the royalist military. Its progressive platform resonated among young and urban voters, including the plan to amend the law protecting the crown, which carries a punishment of up to 15 years in jail for each perceived insult of the royal family. Thailand’s monarchy is constitutionally enshrined to be held in a position of “revered worship” and many royalists see the law as sacrosanct. The palace typically does not comment on the law, which is among the strictest of its kind in the world. Setback for Thailand’s Move Forward Party as court accepts dissolution case Indonesia’s Prabowo pledges cooperation with Japan, closer China ties by Chayut Setboonsarng & Panarat Thepgumpanat Reuters by Tim Kelly Reuters by Karen Lema Reuters Former prime ministerial hopeful Pita Limjaroenrat last month told Reuters his party Move Forward would 'fight tooth and nail' for its future amid efforts to bring down the party, which he said showed paranoia by Thailand's conservative establishment over its push for reforms. reuters
THURSDAY APRIL 4, 2024 24 THEEDGE CEO MORNING 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) SNS NETWORK TECHNOLOGY BHD 117.8 0.040 0.370 57.45 596.7 ZEN TECH INTERNATIONAL BHD 113.5 0.005 0.020 0.00 58.5 VELESTO ENERGY BHD 93.5 -0.005 0.295 28.26 2,423.6 BUMI ARMADA BHD 63.3 0.015 0.595 20.20 3,524.0 GLOSTREXT BHD 54.0 0.040 0.240 14.29 97.7 WIDAD GROUP BHD 45.5 -0.010 0.070 -85.57 216.8 NCT ALLIANCE BHD 42.9 0.035 0.545 65.15 849.7 SC ESTATE BUILDER BHD 41.7 0.000 0.015 -3.57 61.4 SMTRACK BHD 37.4 0.000 0.045 -10.00 58.0 BINA PURI HOLDINGS BHD 37.2 0.000 0.080 -5.88 269.9 EPICON BHD 33.6 0.025 0.480 2.13 285.5 MY EG SERVICES BHD 33.3 -0.005 0.785 -3.68 5,855.4 MMAG HOLDINGS BHD 33.1 0.005 0.190 100.00 322.2 AWC BHD 31.6 0.155 0.820 28.13 269.2 MINETECH RESOURCES BHD 30.1 -0.005 0.160 10.34 285.6 DAGANG NEXCHANGE BHD 28.1 0.000 0.350 -12.50 1,104.7 MALAYSIAN RESOURCES CORP BHD 26.8 -0.020 0.645 44.94 2,881.5 ECA INTEGRATED SOLUTION BHD 26.4 0.045 0.450 -10.89 260.6 HARVEST MIRACLE CAPITAL BHD 25.8 0.000 0.115 -4.17 141.0 PUBLIC BANK BHD 25.3 -0.070 4.160 -3.03 80,748.5 Data as compiled on Apr 3, 2024 Source: Bloomberg NAME CLOSE CHANGE VOLUME YTD MARKET (%) (‘000) CHANGE CAP (%) (RM MIL) BORNEO OIL BHD 0.010 100.00 7,069.7 -33.33 119.9 FINTEC GLOBAL BHD 0.010 100.000 111.6 0.00 59.3 BCM ALLIANCE BHD 0.015 50.00 8.5 -25.00 30.5 ZEN TECH INTERNATIONAL BHD 0.020 33.33 113,506.3 0.00 58.5 AWC BHD 0.820 23.31 31,607.2 28.13 269.2 LAMBO GROUP BHD 0.030 20.00 1,101.5 50.00 46.2 GLOSTREXT BHD 0.240 20.00 54,029.7 14.29 97.7 S&F CAPITAL BHD 0.110 15.79 2,703.7 -18.52 60.5 INNITY CORP BHD 0.470 14.63 246.3 -2.08 65.5 PARAGON GLOBE BHD 0.285 14.00 5,049.9 26.67 212.8 SNS NETWORK TECHNOLOGY BHD 0.370 12.12 117,810.7 57.45 596.7 ECA INTEGRATED SOLUTION BHD 0.450 11.11 26,359.5 -10.89 260.6 SAPURA ENERGY BHD 0.050 11.11 2,354.0 11.11 918.8 VINVEST CAPITAL HOLDINGS BHD 0.050 11.11 526.2 -16.67 48.5 KEY ASIC BHD 0.050 11.11 220.2 -16.67 69.9 MSM MALAYSIA HOLDINGS BHD 3.610 10.40 4,924.2 124.22 2,537.8 PAOS HOLDINGS BHD 0.375 10.29 1,557.7 0.00 67.9 ANCOM LOGISTICS BHD 0.180 9.09 8,710.8 44.00 85.2 ARK RESOURCES HOLDINGS BHD 0.435 8.75 20.9 24.29 30.3 PROTASCO BHD 0.250 8.70 6,545.2 6.38 120.4 Data as compiled on Apr 3, 2024 Source: Bloomberg NAME CLOSE CHANGE VOLUME YTD MARKET (%) (‘000) CHANGE CAP (%) (RM MIL) KEY ALLIANCE GROUP BHD 0.005 -50.00 121.2 -50.00 18.4 COMPUGATES HOLDINGS BHD 0.010 -33.33 0.2 -33.33 55.0 XOX BHD 0.010 -33.33 896.1 -33.33 51.9 BSL CORP BHD 0.025 -16.67 746.0 -44.44 48.3 VSOLAR GROUP BHD 0.100 -16.67 22,152.0 -42.39 19.3 XIDELANG HOLDINGS LTD 0.025 -16.67 506.9 0.00 52.9 WIDAD GROUP BHD 0.070 -12.50 45,541.2 -85.57 216.8 KAMDAR GROUP M BHD 0.150 -11.76 4.0 -21.05 29.7 ABM FUJIYA BHD 0.325 -9.72 211.8 -12.16 58.5 ASIA MEDIA GROUP BHD 0.095 -9.52 309.2 0.00 22.7 INDUSTRONICS BHD 0.050 -9.09 4,106.7 0.00 35.4 PUC BHD 0.050 -9.09 839.1 25.00 123.4 CITRA NUSA HOLDINGS BHD 0.050 -9.09 12.5 -9.09 35.9 MAJUPERAK HOLDINGS BHD 0.290 -7.94 36.9 -13.43 82.5 PNE PCB BHD 0.060 -7.69 439.7 -29.41 33.6 ASIA POLY HOLDINGS BHD 0.060 -7.69 77.0 -25.00 57.5 METROD HOLDINGS BHD 1.250 -7.41 1.3 4.17 150.0 ES CERAMICS TECHNOLOGY BHD 0.190 -7.32 12,050.6 -11.63 127.6 AMWAY MALAYSIA HOLDINGS BHD 7.100 -7.19 168.3 27.37 1167.1 MCLEAN TECHNOLOGIES BHD 0.195 -7.14 2,301.6 18.18 38.5 Data as compiled on Apr 3, 2024 Source: Bloomberg NAME CLOSE CHANGE VOLUME YTD MARKET (RM) (‘000) CHANGE CAP (%) (RM MIL) DUTCH LADY MILK INDUSTRIES 32.640 -0.860 78.8 40.93 2,089.0 AMWAY MALAYSIA HOLDINGS 7.100 -0.550 168.3 27.37 1,167.1 UNITED PLANTATIONS BHD 23.200 -0.440 1,180.1 30.34 9,623.0 PETRONAS DAGANGAN BHD 22.020 -0.260 242.5 0.82 21,875.9 HONG LEONG BANK BHD 19.320 -0.240 545.2 2.22 41,880.3 HONG LEONG FINANCIAL GROUP 16.720 -0.180 99.6 1.70 19,148.5 TENAGA NASIONAL BHD 11.300 -0.140 5,531.9 12.55 65,396.9 CHIN HIN GROUP BHD 4.450 -0.140 229.1 26.06 7,873.9 GE-SHEN CORP BHD 3.750 -0.130 238.5 223.28 470.8 MALAYAN BANKING BHD 9.620 -0.110 17,713.7 8.21 116,084.1 GUAN CHONG BHD 2.370 -0.100 8,185.9 29.51 2,783.6 BINTULU PORT HOLDINGS BHD 5.700 -0.100 11.3 10.89 2,622.0 SPRITZER BHD 2.180 -0.100 293.6 19.13 696.1 METROD HOLDINGS BHD 1.250 -0.100 1.3 4.17 150.0 CIMB GROUP HOLDINGS BHD 6.560 -0.100 12,190.2 13.35 69,963.1 IDEAL CAPITAL BHD 3.210 -0.090 112.6 7.00 1,605.0 SHH RESOURCES HOLDINGS BHD 1.150 -0.080 13.0 -18.44 115.0 TELEKOM MALAYSIA BHD 6.020 -0.080 3,498.7 8.47 23,102.5 SCIENTEX PACKAGING AYER KEROH 1.970 -0.080 1.0 -11.66 690.7 RHB BANK BHD 5.660 -0.070 13,297.2 3.85 24,260.7 Data as compiled on Apr 3, 2024 Source: Bloomberg NAME CLOSE CHANGE VOLUME YTD MARKET (RM) (‘000) CHANGE CAP (%) (RM MIL) NESTLE MALAYSIA BHD 120.000 0.900 74.3 2.04 28,140.0 MSM MALAYSIA HOLDINGS BHD 3.610 0.340 4,924.2 124.22 2,537.8 FRASER & NEAVE HOLDINGS BHD 30.300 0.200 198.9 8.24 11,113.4 MALAYSIAN PACIFIC INDUSTRIES 32.000 0.200 257.4 13.48 6,365.8 PANASONIC MANUFACTURING 19.240 0.160 162.6 6.89 1,168.7 PETRONAS GAS BHD 18.000 0.160 1,168.0 3.45 35,617.2 AWC BHD 0.820 0.155 31,607.2 28.13 269.2 MALAYSIA AIRPORTS HOLDINGS 9.750 0.110 6,169.2 32.47 16,268.4 CHIN HIN GROUP PROPERTY BHD 1.700 0.100 2,607.8 103.59 1,122.7 THETA EDGE BHD 1.300 0.100 9,173.2 89.78 153.4 MBM RESOURCES BHD 4.740 0.100 1,102.5 11.79 1,852.8 PRESS METAL ALUMINIUM 4.770 0.090 4,585.4 -0.83 39,303.0 VSTECS BHD 2.700 0.090 1,297.0 104.55 962.7 LGMS BHD 1.000 0.080 2,277.9 8.70 456.0 BATU KAWAN BHD 19.880 0.080 3.1 -3.50 7,815.6 DAYANG ENTERPRISE HOLDINGS 2.470 0.070 6,418.5 54.38 2,859.7 TONG HERR RESOURCES BHD 2.360 0.070 3.0 -0.84 362.3 UMS-NEIKEN GROUP BHD 1.260 0.070 313.5 40.00 99.2 SHANGRI-LA HOTELS MALAYSIA BHD 2.090 0.060 1,195.4 -5.43 919.6 MEGA FIRST CORP BHD 4.410 0.060 788.4 19.51 4,157.6 Data as compiled on Apr 3, 2024 Source: Bloomberg CLOSE CHANGE CHANGE (%) CLOSE CHANGE CHANGE (%) DJIA * 39,170.24 -396.61 -1.00 S&P 500 * 5,205.81 -37.96 -0.72 NASDAQ 100 * 18,121.78 -171.42 -0.94 FTSE 100 * 7,935.09 -31.53 -0.40 AUSTRALIA 7,782.54 -105.33 -1.34 CHINA 3,069.30 -5.66 -0.18 HONG KONG 16,725.10 -206.42 -1.22 INDIA 73,876.82 -27.09 -0.04 INDONESIA 7,166.84 -70.14 -0.97 JAPAN 39,451.85 -387.06 -0.97 KOREA 2,706.97 -46.19 -1.68 PHILIPPINES 6,863.82 -96.61 -1.39 SINGAPORE 3,222.66 -25.06 -0.77 TAIWAN 20,337.60 -128.97 -0.63 THAILAND 1,375.69 -3.77 -0.27 VIETNAM 1,271.47 -15.57 -1.21 Data as compiled on Apr 3, 2024 * Based on previous day’s closing Source: Bloomberg CPO RM 4,401.0089.00 OIL US$ 89.160.24 RM/USD 4.7560 RM/SGD 3.5171 RM/AUD 3.0945 RM/GBP 5.9795 RM/EUR 5.1211
Malaysian Paper www.thesun.my RM1.00 PER COPY RM1 THURSDAY APR 4, 2024 SCAN ME No. 8494 PP 2644/12/2012 (031195) KUALA LUMPUR: His Majesty the King of Malaysia Sultan Ibrahim yesterday granted an audience to KK Supermart & Superstore Sdn Bhd Group founder and executive chairman Datuk Seri Dr Chai Kee Kan at Istana Negara. According to a post on Sultan Ibrahim Sultan Iskandar’s Facebook page, during the 15-minute audience, Chai sought forgiveness from His Majesty and all Muslims regarding the issue of the sale of socks bearing the name of Allah at one of its outlets,” Bernama reported. Sultan Ibrahim wanted all parties, including KK Mart, to be more careful about the products sold, especially imported goods, to prevent such incidents from recurring. “All parties must be more responsible. I hope this is the last time I have to stress on this,” Sultan Ibrahim told the Royal Press Office. “Once again, I stress that no party should take advantage of this matter, including inciting others. I don’t want this issue to drag on.” oRetail chain chairman seeks forgiveness from His Majesty Sultan Ibrahim and all Muslims over socks incident Apology and appeal to all Malaysians ‘Make M’siaChina visa free policy permanent’ Report on hpage 2 Move will boost tourism industry as well as significantly enhance bilateral relations and stimulate economic growth between both countries: Malaysia China Welfare Advisory Society Report on hpage 3 Spanco boss claims trial Report on hpage 5 Tan Sri Robert Tan charged in Sessions Court with cheating Finance Ministry to procure contract worth RM3.9 billion to manage government vehicle fleet. Up close with exotic pets at reptile cafe Report on hpage 6 Interest in cold-blooded animals inspires tropical environmental biology undergraduate to open outlet for public to safely observe snakes and spiders over a cuppa. Rational thinking varsity professor issues plea to fellow citizens advocating patience, forgiveness and restraint in polemics. KK Mart founder says sorry Sultan Ibrahim during the audience granted to Chai yesterday, during which His Majesty said he does not want the socks issue to drag on and that no party should take advantage of the matter, including inciting others. – PIC FROM SULTAN IBRAHIM FACEBOOK PAGE
THURSDAY | APR 4, 2024 2 Make visa-free travel permanent, govt urged PETALING JAYA: The Malaysia China Welfare Advisory Society has called for the visa-free policy between Malaysia and China to be made permanent. Its vice-president Teh Choon Jin said the tourism industry will benefit immensely from a permanent visa-free policy as Malaysia has witnessed a surge in tourist arrivals from China since the temporary initiation of the policy in December last year. “Having a permanent visa-free policy will also significantly enhance bilateral relations and stimulate economic growth between our two countries.” Supporting his call, Tourism There has been an increase in tourists from China following the temporary visa waiver. – AMIRUL SYAFIQ/THESUN oMove will be mutually beneficial, judging from surge in tourist arrivals from China seen since policy test-run last year: Group █ BYSIVANISVARRY MORHAN [email protected] Anwar to launch AI faculty at Universiti Teknologi M’sia KUALA LUMPUR: The Faculty of Artificial Intelligence (AI) at Universiti Teknologi Malaysia is expected to be launched by Prime Minister Datuk Seri Anwar Ibrahim on May 3, the Dewan Negara was told yesterday. Deputy Higher Education Minister Datuk Mustapha Sakmud said the government had allocated RM20 million for the faculty’s establishment in line with the development of technology, including AI. “Currently, the Finance Ministry has given preliminary allocations and the faculty is being refurbished and related equipment is also being set up,” he said during a questionand-answer session. He was replying to a question by Senator Datuk Seri Prof Dr Awang Sariyan, who wanted to know the latest development on the faculty’s establishment. Mustapha said any decision to close or modify a faculty would be based on the marketability of graduates. “The ministry will evaluate the faculty according to indicators related to the marketability of graduates. If the marketability of graduates is below 30%, the faculty will have to be closed or modified to meet the needs of the industry. “We will ensure that students in all faculties can undergo courses exposed to new technology.” He was replying to a question from Senator Hussin Ismail, who wanted to know if there was an impact on existing courses at higher education institutions due to the development of AI. – Bernama Dewan Negara passes three Bills KUALA LUMPUR: The Dewan Negara approved the Human Rights Commission of Malaysia (Amendment) Bill 2023, the Mutual Assistance in Criminal Matters (Amendment) Bill 2023 and the Highway Authority Malaysia (Incorporation) (Amendment) Bill 2023. The amendment to the Human Rights Commission of Malaysia Act 1999 was approved with a greater number of votes after discussions involving 11 Senate members. When winding up the debate on Tuesday, Deputy Minister in the Prime Minister’s Department (Law and Institutional Reform) M. Kulasegaran emphasised that the amendments aim to fortify the Human Rights Commission for citizens’ benefit. He said the commission would not function like other enforcement agencies such as the police or the Malaysian Anti-Corruption Commission, which are empowered under their respective acts. “However, despite not having an enforcement role and not directly empowered with enforcement authority in carrying out its responsibilities, the Human Rights Commission always collaborates with other government agencies on human rights issues.” – Bernama MACC committed to fulfilling decree PUTRAJAYA: The Malaysian AntiCorruption Commission (MACC) is committed to fully implementing the decree of His Majesty Sultan Ibrahim, King of Malaysia and fulfilling it with utmost integrity. MACC Chief Commissioner Tan Sri Azam Baki said in a statement that the agency respects the King’s decree that combating corruption, which is the nation’s number one enemy, should be a top priority under His Majesty’s rule. “His Majesty’s order reflects his firmness in combating corruption and should be upheld by every layer of society because a corruption-free populace is crucial for the integrity and stability of the nation. “In light of this, as the anti-corruption enforcement agency, the MACC pledges to fully implement the King’s decree and uphold this duty with the highest integrity.” Azam expressed hope that all Malaysians, especially the government machinery would support and implement the King’s decree. In a Facebook post on Monday, the King shared a photo of him handing honey to Azam as symbolic of the end of the “honeymoon” period since he ascended the throne. – Bernama PM eyes closer ties with Kyrgyz Republic KUALA LUMPUR: Prime Minister Datuk Seri Anwar Ibrahim has expressed hope for a closer relationship between Malaysia and the Kyrgyz Republic in the future. He said there are many opportunities to be explored in the bilateral relationship, especially in strengthening trade and investment ties. Kyrgyz Republic’s Foreign Minister Zheenbek Kulubaev called on Anwar at his office on Tuesday. “I am confident that this visit will pave the way for collaboration and foster more substantive cooperation between the two countries,” he said yesterday. Anwar expressed his appreciation for the Kyrgyz president’s invitation to visit the country in May. – Bernama Malaysia Director-General Manoharan Periasamy said Malaysia received a total of 1.47 million tourists from China last year. “We are positive about getting over five million tourists from there because currently we have 247 flights weekly between our two countries. “In terms of seat capacity, there are almost 4.9 million seats available from various destinations in China to Kuala Lumpur.” A survey conducted by the Malaysian Chinese Tourism Association said over 80% of Chinese tourists expressed positive sentiments about Malaysia. The ease of travel afforded by the visa-free policy has also encouraged Chinese tourists to explore Malaysia’s diverse attractions, vibrant culture and rich heritage. Malaysia is also being promoted in China as an ideal destination for tourism, investment and business opportunities. Teh said seamless travel between the two countries is important to further enhance economic cooperation and cultural exchanges. “Having a permanent visa-free policy will play a pivotal role in sustaining this momentum and stimulating the hospitality, retail, transport and entertainment industries.” Citing recent statistics from the Malaysia External Trade Development Corporation, Teh said bilateral trade between Malaysia and China reached a staggering RM899 billion last year, making China Malaysia’s largest trading partner for 15 consecutive years. “Over the years, bilateral relations between our two countries have also blossomed, driven by robust economic ties, cultural exchanges and growing tourism.” Teh said a permanent policy would tangibly strengthen friendship between both nations. “There will be greater mutual understanding, trust and cooperation as people-to-people exchanges increase. “There will certainly be a proliferation of cultural events, educational programmes and business collaborations between our two countries, which will further promote trade, investment and business collaborations.” Teh said having a permanent visa-free policy would also solidify Malaysia’s standing as a premier tourist destination in the eyes of Chinese travellers and encourage repeat visits to Malaysia. “Permanent visa-free travel also aligns with the principles of sustainable tourism and promotes responsible tourism practices. “By implementing it, Malaysia can enhance its appeal as an investment destination and facilitate more interactions between businessmen, investors and diplomats of both nations.” No M’sians affected in Taiwan quake PUTRAJAYA: No Malaysian has reportedly been affected by the powerful earthquake that struck Taiwan at 10am on Wednesday, said the Foreign Ministry. The ministry said it is closely monitoring the situation through the Malaysian Friendship and Trade Centre in Taipei following the 7.2 magnitude earthquake that struck Hualien in Taiwan’s east-coast area. “The Malaysian Friendship and Trade Centre in Taipei is actively coordinating efforts with local authorities to obtain further information.” The earthquake reportedly has caused damage to property and power supply disruption, Bernama reported. Malaysians in the affected areas have been urged to stay vigilant and follow the guidance provided by local authorities. Malaysians requiring consular help can contact the Centre at San Ho Plastic Building, No. 102, Dun Hua North Road, Taipei (phone number: +886 2 2713 2626 or email [email protected]).
THURSDAY | APR 4, 2024 3 KUALA LUMPUR: My wife and I, two Muslims born in Malaysia, would like to ask for forgiveness from all our Malaysian brethren, whether we know them or not, whether our paths have crossed or not. We ask forgiveness for the sake of our religion, for the sake of our children and grandchildren and for the sake of our country, that Malaysians may forgive the excesses and “kurang ajar” behaviour as well as threats to life and property from those Malays who know not their own Prophet, their own God and their own religion that they are so bent in protecting (their beliefs). We ask that Malaysians show patience and act with kindness towards all Muslims. The greatest weapon against cruelty, bigotry and arrogance is simply forgiveness, patience and kindness. There exists no weapon in the arsenal and knowledge of man that can overpower those three acts of humanity. Mahatma Gandhi and Reverand Martin Luther King had proven it. The real power of faith is in those three, not in threats, not in cruelty and certainly not in selfishness. As we enter the final third of the month of Ramadan, said to be the 10 holiest and most sacred days, many Muslims will be spending time at mosques throughout the night hoping for the Lai-latul-Qadr or the “Night of Power”. It is said that Allah’s mercy and blessings would flow on this night until dawn and if one were to capture that night, then all sins may be forgiven. For my wife and I, we are two Muslims who will look first towards asking forgiveness from all Malaysians who have been tested grievously by the “socks incident” that has caused some Malays to act beyond and against the norms, value and faith of Islam. As I watched a video of a man, said to be an ustaz, berating a lone Chinese woman trembling with fear, I felt a dark gloom overcast the celebrations of Hari Raya this year. The darkest gloom for me during Hari Raya was my first heart attack in 2018, when I did not know whether another one would end my life while I waited for my bypass surgery. But the gloom I felt after watching that video created a heaviness in my heart as I confided the feeling to my wife. She too said she was embarrassed and felt ashamed to meet her doctors, who are mostly non-Muslims, and face them after the insults, threats and incitement of the past few weeks perpetuated by some Malays against our fellow citizens. Both my wife and I do not have any political backing, economic strength or even social standing but all we have are the sincerity and sadness of our hearts at the way the issue has been blown out of proportion. I had wished and prayed there would be many Malay professors, muftis and ustaz to back our call for a ceasefire on the issue but none, save one mufti from Penang, did so. We may still have a country, we may still have a parliament and we may still have our cars and houses. But without respect for one another, do we still have a nation? I pray that all good Malaysians tell their children that during these dark days of Ramadan, they saw two lights of hope, faith and joy from two simple Muslims who stood out against those who dishonour the teachings of the Prophet Muhammad and also the words of our forefathers “Bersatu Teguh, Bercerai Roboh” (united we stand robust, divided we crumble). Salam Hari Raya and Lai-latul-Qadr to all Malaysians and Maaf Zahir dan Batin. – MySinchew This open letter from Prof Dr Mohd Tajuddin Mohd Rasdi first appeared on https://mysinchew.sinchew.com.my ‘No need yet for MVC from private sector’ KUALA LUMPUR: There is no need for the private sector to conduct the Malaysian Vocational Certificate (MVC) programme at the moment, said Deputy Education Minister Wong Kah Woh. He said this is because the Education Ministry has a comprehensive plan to expand the Technical and Vocational Education and Training (TVET) programme. However, the ministry is open to collaboration with the private sector in strengthening its TVET plan. Wong said the ministry is confident the initiative under government TVET institutions will provide students with the opportunity to venture into quality programmes, as well as meet anticipated demand growth. “The ministry is committed to providing quality TVET access to all students and various access to TVET education is provided as an option for students based on their interests and inclinations. “We have provided various TVET programmes for post-Form 3 students who are inclined towards skills in vocational colleges, technical secondary schools and national secondary schools,” he said during the question and answer session at the Dewan Negara yesterday. He was replying to a question from Senator Datuk Dr R. Nelson, who wanted to know whether the ministry plans to allow the private sector to operate MVC programmes to meet demand following the promotion of TVET studies in the country. According to Wong, the ministry also offers TVET initiatives such as Senior Vocational Programme, Senior Industrial Apprenticeship and vocational subjects at national secondary schools as well as Technical Elective Subjects at Sekolah Menengah Teknik. – Bernama Apology and appeal to all Malaysians oRational thinking varsity professor issues plea to fellow citizens advocating patience, forgiveness and restraint in polemics Respite for 40,000 bankrupts PUTRAJAYA: Nearly 40,000 bankrupt individuals have been granted relief through the Second Chance Policy initiative as of February. Malaysian Insolvency Department (MID) director-general M. Bakri Abd Majid said the policy aimed to provide relief to up to 130,000 individuals declared bankrupt within a year of the enforcement of the Insolvency (Amendment) Act 2023, which came into effect on Oct 6, 2023. “We aim to grant relief to 130,000 bankrupt individuals by the end of this year. This figure is 50% of the 260,000 cases currently handled by MID,” he said. The Second Chance Policy is a government initiative aimed at safeguarding the interests of individuals with small-scale debts by releasing them from bankruptcy with certain conditions. When tabling Budget 2024 last year, Prime Minister Datuk Seri Anwar Ibrahim announced that the Second Chance Policy would be extended to individuals aged 40 and below with debts not exceeding RM200,000 starting this year. Bakri said the negative stigma surrounding bankruptcy needed to be eradicated as opportunities still abound for all. “These bankrupt individuals often lack accurate information although it is provided on our website. Not all have access to the information we provide. Sometimes, they hear it from third parties. “Now, we have permitted all bankrupt individuals to open an account because everything is now in cashless form,” he added, while advising those concerned to contact the department to get clear information. On the number of bankruptcy cases, he said there was a decreasing trend, with 233,483 cases last year compared to 269,654 in 2022. “We have noticed that the number of bankruptcy cases is going down. This trend can be attributed to the increase in the minimum bankruptcy threshold from RM50,000 to RM100,000, which came into effect on Sept 1, 2021. “Among the main factors leading individuals to be declared bankrupt was personal loans, with 13,112 cases recorded from January 2022 until February this year.” Bakri said an effective measure to prevent individuals from being declared bankrupt was education and knowledge on how to manage expenses prudently and responsibly. “As we can see, many among us spend beyond our means. This situation will lead to individuals being severely indebted when they cannot repay their debts.” He also advised the younger generation not to be influenced by trends or luxurious lifestyles to the extent of neglecting basic needs. – Bernama PAS slams attack on Iranian consulate KUALA LUMPUR: PAS has strongly condemned the Israeli attack on the Iranian Consulate building in Damascus, Syria, which claimed seven lives, including two top military officers. PAS president Tan Sri Abdul Hadi Awang said: “PAS conveys its deepest condolences to the Iranian government for this tragedy. May God bless those who were killed. “It is only appropriate that the Muslim world condemns Israel, which is also committing war crimes in Gaza,” he said. – Bernama RAYA RUSH ... Commuters queuing to buy bus tickets at the Terminal Bersepadu Selatan in Kuala Lumpur yesterday ahead of the Aidilfitri celebrations next week. – ADIB RAWI YAHYA/THESUN
THURSDAY | APR 4, 2024 4 ‘AI education in schools needs cautious approach’ PETALING JAYA: The Education Ministry’s plan to teach the basics of artificial intelligence (AI) in schools from 2027 is commendable, said Malaysian Muslim Teachers Association president Mohd Azizee Hasan. “But it should be executed thoughtfully and effectively.” He was commenting on Education Minister Fadhlina Sidek’s parliamentary written reply on March 21, where she committed to producing a skilled workforce equipped with AI knowledge and abilities to compete in the digital era’s global economy. “While the transformation in the education system will help students adapt to the usage of digital technologies in today’s world, it should begin with resolving basic literacy skills such as reading, writing and counting (3M).” The ministry had earlier said 435,838 school students nationwide have learning difficulties, with 280,985 being between Year One oResolve 3M issues among students first before introducing syllabus to ensure effectiveness of initiative: Expert █ BY QIRANA NABILLA MOHD RASHIDI [email protected] Mussels samples collected following food poisoning claims SEREMBAN: The Negeri Sembilan Fisheries Department has collected samples of mussels and seawater in Port Dickson following allegations of food poisoning linked to seafood consumption. Its deputy director Doreen Wee said they received a report on Tuesday from the Port Dickson Hospital concerning several individuals suspected of suffering from food poisoning believed to be caused by consuming mussels and cockles. “Upon receiving the report, we promptly took action by gathering samples of mussels and seawater from Port Dickson. “This matter is under investigation and we are awaiting the lab results, which could take three to four days.” Doreen said the department was informed that nine individuals in the area had suffered food poisoning from consuming mussels and cockles. Earlier, the Teluk Kemang Fishermen’s Association management issued a notice temporarily prohibiting the purchase and consumption of local mussels and cockles following suspected food poisoning cases. It also urged fishermen and operators to suspend the production of mussels and cockles, while traders were advised to remove both seafood products from the market. Negeri Sembilan Health Department director Datuk Dr Harlina Abdul Rashid confirmed eight cases of food poisoning related to mussel consumption, with two cases admitted to the intensive care unit (ICU), five in ordinary wards and one receiving outpatient treatment. She said the incident was first detected on Monday when the Port Dickson District Health Office received notification from the Port Dickson Hospital about the case. Harlina said preliminary investigations showed that all cases involved different families with a history of consuming mussels purchased from two markets around Port Dickson. “All cases exhibited symptoms such as headaches, numb hands and feet, and muscle weakness. “Two cases were admitted to the ICU due to more severe symptoms, including paralysis,” she said in a statement. – Bernama Kota Kinabalu water pollution at critical level KOTA KINABALU: Sea, river and beach pollution in the Kota Kinabalu city area has become increasingly critical, prompting the Kota Kinabalu City Hall to take concerted action, while hoping to raise the level of public awareness. A city hall statement said 7.5 tonnes of garbage was collected in a series of clean-up works it carried out last week, especially in the Jesselton Point Ferry Terminal jetty area here. The trash in the waters is believed to have been caused by a change in the wind direction, thus polluting Kota Kinabalu city’s waters and seafront. The city hall, through its Solid Waste Management Department, carried out cleaning-up works using boats and waste collection vessel, especially at the Jesselton Point Ferry Terminal area and Pasar Besar Kota Kinabalu. City hall found that most of the garbage pollution in seas, rivers, and along the Kota Kinabalu city coastline originated from villages or water villages (houses built on water) as well as nearby islands. “As a short-term measure, city hall will install rubbish traps in critical water village areas such as Kampung Numbak and the Jalan Saga slums. “Monitoring and cleaning-up works will be continued in the rivers and coastal areas in Kota Kinabalu by the sea and river cleaning unit, which is under the Solid Waste Management Department,” said the statement. The areas targeted include the Sungai Sembulan estuary, Anjung Senja coastline, the rubbish trap in front of the Imago shopping centre, Sabah Parks jetty and Likas Bay. The city hall said the issue of sea, river and coastal pollution must be addressed in an integrated manner with the cooperation of the acting agencies and public’s cooperation. – Bernama Perak achieves onion yield feat TAPAH: Perak became the first state in Malaysia to successfully harvest around 2.3 tonnes of BW1 type local onions at a 0.6ha site under the Onion Cultivation Development Project in Kampung Ladang Bikam. Deputy Agriculture and Food Security Minister Datuk Arthur Joseph Kurup said the project, in cooperation with the State Agriculture Department, was carried out in three phases in a one-hectare farm targeting the production of around four tonnes per hectare. “For this first harvest, it involves phase 1 from a 0.6ha farm producing about 2.3 tonnes. “I am confident that this pilot project can spark the production of onions in the country,” he said at the harvesting ceremony here yesterday. – Bernama Joseph showing some of the harvested onions yesterday. – BERNAMAPIC Interstate efforts to boost tourism IPOH: Interstate cooperation is needed to boost balanced tourism development and attract tourists to the country. Malaysia Tourism Promotion Board (Tourism Malaysia) deputy chairman Datuk Yeoh Soon Hin said instead of competing among themselves, states should complement one another. “For instance, Perak and Pahang can jointly develop ecotourism. Perak is also near Penang and can carry out the ‘sharing the resources’ concept. “I urge all states to develop partnerships in the tourism industry. “We hope that private sector initiatives and agents will also work together to bring tourists to each other’s states,” he said during a working visit to Hobbitoon Village, Simpang Pulai in Perak on Tuesday. Meanwhile, Perak Tourism, Industry, Investment and Corridor Development Committee chairman Loh Sze Ee said they were increasing efforts to ensure tourists stay longer in the state. – Bernama and Six pupils who have yet to master the 3M. “Failure to promptly address this issue would impede the ministry’s efforts to integrate AI education in school syllabus, and undermine the effectiveness of its initiative,” Mohd Azizee said. He said the integration of AI requires a comprehensive approach that includes a fundamental shift in thinking, and collaborative efforts to realise its full potential in enhancing teaching and learning experiences. The ministry, he said, should proceed with caution and not drastically revolutionise the concept of AI in education as it may lead to additional problems and challenges. “While it is a good initiative, there are potential challenges that may be encountered along the way. “Students and teachers should begin adapting to AI from now. This is particularly important for teachers, who must enhance their skills while still embracing traditional teaching methods,” he said. Parent Action Group for Education Malaysia chairman Datin Noor Azimah Abdul Rahim said it is premature to introduce AI education at lower primary school level. “The minister should not be in too much of a hurry to leave a legacy if the time is not yet right to introduce new knowledge. “If introduced prematurely, we fear it may confuse the child especially if teachers lack competence in AI. The potential long-term impact could be disastrous.” Noor Azimah said although parents may initially support the idea, they may raise concerns about the integration and execution of AI education if it is not executed well. She said their concerns, if not addressed, could lead to a lack of trust in the teachers’ capabilities due to the perceived deficiency in their skills and competence in AI. Primary school teacher Subatra Subramaniam, 46, initially was taken by surprise when the ministry announced the introduction of AI education. However, she believes the move will serve as an excellent foundation to embrace the digital era. “It is somewhat surprising to think that primary school pupils will be learning about AI, but I believe it can prepare them for future technological advancements. “ Another primary school teacher, Siti Sharah Ismail Yapi, 25, expressed concern that excessive reliance on AI could diminish critical thinking among pupils. “It is crucial for pupils to maintain their critical thinking skills because if they rely heavily on AI for tasks that require cognitive efforts, there is a risk that their analytical abilities may dry up over time.”
THURSDAY | APR 4, 2024 5 Cops tracing suspect in KK Mart attack KUANTAN: Police believe only one individual was involved in the Molotov cocktail attack on the KK Mart outlet in Sungai Isap last Saturday. District police chief ACP Wan Mohd Zahari Wan Busu said the information was obtained based on examination of several CCTV recordings. “Efforts to track down the suspect are underway and we will also examine other CCTV footage,” he told reporters during a crime prevention campaign at the Dataran Sekilau Aidilfitri Bazaar on Tuesday. Mohd Zahari urged those with information to come forward to help in investigations, which is being conducted under Section 435 of the Penal Code. On March 30, the KK Mart branch in Sungai Isap was attacked with a petrol bomb by an individual, causing damage to four shelves and some products. Pahang police have recorded statements from four individuals. State police chief Datuk Seri Yahaya Othman said the four individuals comprised witnesses and the complainant, and investigations to identify the suspects were ongoing. “I have asked the vehicle and motorcycle units to increase patrols at other KK Mart branches,” he said during a crime prevention programme at Mahkota Square Ramadan Bazaar on Tuesday. Yahaya also advised the public to remain calm, not take action arbitrarily and to always obey the law. – Bernama Dad of 10 facing 7 counts of cheating BUTTERWORTH: A businessman pleaded not guilty in the Magistrate’s Court yesterday to seven counts of cheating an individual to invest in a non-existent housing project that resulted in a loss of RM580,000 six years ago. Ahmad Kamal Akbar Rahim, 54, made the plea after all charges were read before Magistrate Siti Zulaikha Nordin. Kamal was charged with deceiving Ibrahim Romli, 53, into believing he would make a profit from the scheme, prompting Ibrahim to hand over cheques amounting to RM580,000 in several transactions. DPP Asma Amira Shahidani proposed bail of RM10,000 for each charge. National Legal Aid Foundation lawyer Ima Syakira Mohd Salim, who represented Ahmad Kamal, appealed for a lower bail on the grounds that Kamal is bankrupt and the caretaker of his unemployed wife and 10 children. The court then allowed bail of RM56,000 for all seven charges and set June 26 for mention. – Bernama 158 arrested in prostitution crackdown KUANTAN: A total of 158 individuals were arrested in 27 raids that involved restaurants, hotels and entertainment centres during a month-long operation named Op Noda Khas, which aimed to crackdown on prostitution activities. Pahang police chief Datuk Seri Yahaya Othman said they were arrested between Feb 27 and March 31 at several locations in Kuantan, Temerloh, Bentong, Raub, Lipis and Jerantut. He said 21 men and eight women arrested were locals, and they were owners and caretakers of entertainment centres, restaurants and massage parlours. Yahaya said of the total arrested, 128 were foreign women. They comprised 97 Thai nationals, nine Indonesians, eight Laotians, nine Vietnamese and five Chinese who are suspected of being involved in prostitution and vice activities. He said police took action against seven entertainment premises operators, which used restaurant licences to carry out their activities and employed foreign women to service customers. – Bernama Muhyiddin’s bid to quash reinstatement of charges blocked KUALA LUMPUR: The prosecution has objected Tan Sri Muhyiddin Yassin’s application to seek leave from the Court of Appeal to review a decision made by its previous panel to reinstate four power abuse charges involving RM232.5 million against him. DPP Datuk Wan Shaharuddin Wan Ladin revealed this during case mention before Judge Azura Alwi at the Sessions Court yesterday. The prosecution filed the preliminary objection on April 1, citing the request by the Bersatu president was trivial and an abuse of court process. Azura then set May 8 for the next case management. On Feb 28, the Court of Appeal ordered for the case to be sent back to the Sessions Court for further action. The case involves Muhyiddin, who allegedly used his position as then prime minister and Bersatu president to obtain bribes amounting to RM232.5 million from three companies, namely Bukhary Equity Sdn Bhd, Nepturis Sdn Bhd, Mamfor Sdn Bhd and Datuk Azman Yusoff for the party. A panel of three judges chaired by Datuk Hadhariah Syed Ismail made the unanimous decision after allowing the prosecution’s appeal to set aside the High Court decision that acquitted Muhyiddin of the four charges on Aug 15 last year. Muhyiddin, 76, was charged with committing the offences at the Prime Minister’s Office in Putrajaya between March 1, 2020 and Aug 20, 2021. In addition to the four charges, he was also charged with two counts of receiving proceeds from unlawful activities amounting to RM195 million from Bukhary Equity, which was deposited into Bersatu’s CIMB Bank account. The offences were allegedly committed at CIMB Bank Menara KL Branch in Jalan Stesen Sentral between Feb 25 and July 16, 2021, and between Feb 8 and July 8, 2022. Muhyiddin was also charged at the Shah Alam Sessions Court on March 13 with receiving money from illegal activities amounting to RM5 million. The case was transferred to the Sessions Court for a joint trial. – Bernama Spanco boss charged with cheating Finance Ministry KUALA LUMPUR: Spanco Sdn Bhd chairman Tan Sri Robert Tan Hua Choon was charged in the Sessions Court yesterday with cheating the Finance Ministry to award his company a contract worth RM3.9 billion to manage the government’s vehicle fleet. Tan, 83, pleaded not guilty after the charge was read to him before Judge Suzana Hussin. “I understand (the charge), I am not guilty,” he said. Tan is accused of deceiving the ministry by misleading the Tender Opening Committee for a tender titled “Request for Proposal for Supply, Repair, Maintenance and Management of Government of Malaysia Vehicle Fleet, Public Private Partnership Unit”, involving at least 30% of the Bumiputera shareholding in Spanco through a document titled Appendix IV (Annex i) Bidder’s Profile. Tan allegedly influenced the ministry to award the contract worth RM3,966,386,628 to Spanco, Bernama reported. The offence was allegedly committed at the Finance Ministry in Precinct 2, Putrajaya between Feb 27 and 28, 2019. The charge, under Section 420 of the Penal Code, provides for imprisonment of up to 10 years, whipping and a fine. Malaysian Anti-Corruption Commission (MACC) DPP Mahadi Jumaat proposed bail of RM2 million in one surety, with conditions such as the surrender of Tan’s passport, reporting to the MACC office every month and refraining from interacting with witnesses directly or through third parties. Tan’s lawyer Datuk Wan Azmir Wan Majid did not object to the bail amount. “Please allow my client to report to the MACC office once every three months because he suffers from various illnesses, including high blood pressure, and knee and back pain. My client is also not a flight risk.” Suzana allowed Tan bail of RM2 million in oAccused facing imprisonment of up to 10 years, whipping and fine under Section 420 of Penal Code one surety on condition he does not interact with witnesses and reports to the MACC office once every two months. The court set June 4 for case mention. In July last year, Berjaya Group founder and advisor Tan Sri Vincent Tan filed a suit against the government and Spanco over the multimillion-ringgit vehicle fleet concession. The suit was over a joint venture (JV) between Berjaya Group and Naza Group and it was filed against the Finance Ministry for terminating a letter of intent (LoI) offered to the JV. Naza and Berjaya were selected to manage the fleet concession by the previous administration through an LoI issued in 2018. Berjaya formed a 49:51 consortium with Naza in 2018 to jointly bid for the contract. The deal reportedly involved around 12,500 vehicles worth an estimated RM300 million annually starting after the fifth year. Tan said the consortium had received the LoI from the Finance Ministry to replace Spanco, which was the fleet management provider. The LoI was said to have been terminated three months after the collapse of the Pakatan Harapan government. Tan said the tender by the JV was the lowest among all bidders. SNUFFED OUT ... Kelantan Customs director Wan Jamal Abdul Salam Wan Long showing some of the seized cigarettes from a haul worth RM749,000 during a press conference in Kota Bharu yesterday. – BERNAMAPIC
THURSDAY | APR 4, 2024 6 Or download app on the AppStore or Google Play ENJOY A SEAMLESS READING EXPERIENCE. Read our iPaper at https://www.thesun.my/ Carving out niche on path less travelled PETALING JAYA: Pet cafes have gained popularity in Malaysia, with one of the latest in Selangor being a reptile themed establishment. Fangs by Dekori in Bandar Sunway, Subang Jaya opened in December 2022 and is owned by 21-year-old Yap Ming Yang, who said the cafe aims to challenge negative impressions of reptiles. “I have always been fascinated with reptiles, which is why I am studying for my Bachelor of Science degree and majoring in tropical environmental biology at Monash University. “My interest in exotic pets inspired me to start the cafe so patrons could safely observe snakes and spiders while enjoying a drink or dessert and chatting with friends.” The cafe features a diverse collection of exotic animals, some of which were previously kept as pets. They include snakes, scorpions, tarantulas, geckos and bearded dragons. “The animals do not require a licence to own and are available at most pet stores. They are also not subject to the Wildlife Conservation Act 2022. “Even feeding them does not incur much cost. For instance, the snakes only need feeding once every two weeks.” Yap said he has a letter from a veterinarian supporting the opening of his cafe and attesting to his professionalism and expertise in handling exotic animals, which assures patrons of his ability and experience. “After presenting my proposal to the relevant authorities, they conducted thorough assessments to ensure I adhered to safety standards, hygiene protocols and regulations governing the keeping of exotic animals. “Only after confirming all safety aspects were addressed and all requirements would be met did I get the approvals.” As a standard operating procedure, patrons are instructed to wash their hands before and after interacting with the animals. They are also only permitted to touch the animals after their meals to avoid contamination. Veterinarian Dr Ali Imran Razali said if animal cafes do not follow strict guidelines, diseases could spread from the animals to the patrons. “Bacteria such as salmonella may be harmless in a reptilian gastrointestinal tract, but it could be dangerous to humans. The (transmission) could happen through a faecal-oral route and may result in severe gastrointestinal symptoms, such as diarrhoea, vomiting and, in worst-case scenarios, blood poisoning. “These cafes are a creative way to attract patrons, but they must adhere to strict health and safety guidelines to protect them and the animals,” he said, adding that as long as business owners have professional experience in handling exotic pets, their expertise would ensure the well-being of the animals. A Subang Jaya city council spokesman said pet cafes must practise health and safety standards and maintain animal welfare. “Business owners must ensure controls are in place so that there is no disruption to public peace.” The spokesman said those who wish to open similar cafes can apply for a business licence at https://ezy.mbsj.gov.my/lesen. The cafe features several exotic animals, such as snakes, scorpions, tarantulas, geckos and bearded dragons. – ADIB RAWI YAHYA/THESUN █ BY NUQMAN ADAM [email protected] Local machetes a cut above in global market KLUANG: Machete craftsman Ahmad Shah Ismail, 42, did not think his hobby of making parang (machetes) would lead him to establish a line so popular they are now highly sought after by hikers worldwide, especially from the United States, New Zealand and Australia. His machetes are known as Parang Tantari and are produced at his workshop. The most suitable models for hiking are Candong, Ponco, Rintis and the current hot pick, Green Star Trail. “I forged these machetes for my own use initially and gifted several to foreign hikers I guided, without expecting them to spread the word to other hikers. “I can’t take a break as orders can exceed 100 pieces a month,” said the mountain guide when met at his workshop in Kampung Pinggir Jaya, Kahang. He said a machete is a necessity for mountain hikers as it not only functions as a weapon but as a life survival tool, adding that the popularity of his machetes are due to the unique and comfortable sheaths that rest well on the hips. “I am thankful for this enterprise as I have received support from the state government through Perbadanan Usahawan Johor Berhad.” As for the brand name, Ahmad said he was inspired by a machete-wielding warrior character from the P. Ramlee film “Enam Jahaman”, who displayed a noble spirit in his efforts to avenge the death of his wife. The avid hiker started climbing when he was 10, frequently following his father to forage for petai and fish, and has climbed over 60 hills and mountains in Peninsular Malaysia. “I want to scale Mount Kinabalu one day. I have conquered Gunung Tahan in Pahang, Gunung Ledang in Johor and Gunung Chamah in Kelantan. “(For me), the hardest peak to climb is a mountain at the border of Perak, Kelantan and Pahang known as Gunung Yong Belar, which is a favourite among foreign hikers,” he said, adding that he has begun introducing hiking to his three-year-old child Aazeen Afifah. – Bernama oStudent entrepreneur opens reptile themed cafe to challenge negative impressions of exotic animals
THURSDAY | APR 4, 2024 7 Taiwan’s strongest quake in 25 years kills nine o50 en route to national park missing Biden calls Xi to ease Philippines, Taiwan tensions WASHINGTON: US President Joe Biden sought to manage tensions over the South China Sea and Taiwan’s May presidential inauguration in a call with Chinese President Xi Jinping on Tuesday, their first direct talks since meeting in November. Biden used the call to emphasise “the importance of maintaining peace and stability across the Taiwan Strait and the rule of law and freedom of navigation in the South China Sea”, the White House said. Xi said ties between the China and the US are beginning to stabilise, but warned that they could “slide into conflict or confrontation”, according to Xinhua news agency. White House national security spokesperson John Kirby told a briefing after the call that US Secretary of State Antony Blinken would travel to China in the coming weeks. That follows a trip this week by Treasury Secretary Janet Yellen. The nearly two-hour call between the leaders – described by Kirby as “business-like” – comes ahead of meetings next week between Biden, Japanese Prime Minister Fumio Kishida and Philippines President Ferdinand Marcos as China flexes its military might. On Monday, a senior US administration official said the US and Chinese militaries would hold maritime talks this week in Honolulu. Washington has expressed concern over China’s coast guard’s use of water cannons on Philippines vessels near Second Thomas Shoal in a disputed section of the South China Sea. An escalating diplomatic row and recent maritime run-ins between the two Asian countries has made it a potential flashpoint between the US and China. Beijing claims vast areas of the South China Sea, sometimes in opposition to international law. “China seems determined to continue to run these grey zone operations, driving the USPhilippine alliance and PhilippinesJapan security ties closer, which we’ll see on display next week,” said Gregory Poling, a South China Sea expert at the Center for Strategic and International Studies, referring to the summit in Washington. – Reuters Thai court accepts case seeking to disband opposition party BANGKOK: Thailand’s Constitutional Court yesterday said it had accepted a case seeking the dissolution of the opposition Move Forward Party, in another blow to a popular anti-establishment movement pushing major institutional reforms in the country. The court agreed to take on the complaint filed by the election commission asking to disband Move Forward for its campaign to reform a law that shields the powerful monarchy from criticism, under which at least 260 people have been prosecuted in the past few years. The case came after a January ruling found Move Forward’s plan to amend the law was unconstitutional and tantamount to an attempt to overthrow the system of government with the king as head of state. Move Forward has rejected that. Move Forward won last year’s election but was blocked from forming a government by lawmakers allied with the royalist military. It is the biggest party in the lower house with about 30% of seats. The monarchy is constitutionally enshrined to be held in a position of “revered worship” and many royalists see the law as sacrosanct. – Reuters B R I E F SPRABOWO PLEDGES CLOSER TIES WITH JAPAN TOKYO: Indonesia’s president-elect Prabowo Subianto yesterday told Japan’s Prime Minister Fumio Kishida he wanted deeper security and economic cooperation two days after telling Chinese President Xi Jinping he wished for close ties. “We have built a cooperative relationship and going forward I would like to strengthen that,” Prabowo told Kishida. Prabowo, who has previously said the world’s fourth most populous nation was committed to a policy of nonalignment, visited Japan after travelling to China on Monday on his first foreign trip since winning Indonesia’s presidential election in February. Both Tokyo and Beijing are courting the Southeast Asian nations that ring the contested South China Sea to gain influence in the strategic region. The defence minister and former special forces commander will be sworn in by President Joko Widodo in October. His election has raised concerns among rights groups who point to allegations of abuses. Prabowo, who was found by a military council to have kidnapped student activists in 1998, denies the accusations. – Reuters SINGAPORE RULES OUT C’WEALTH GAMES BID SINGAPORE: The city-state yesterday joined Malaysia in ruling out hosting the 2026 Commonwealth Games, plunging the future of the event into doubt. The Commonwealth Games Federation (CGF) has been scrambling to find a new host after the Australian state of Victoria withdrew last year because of soaring costs. Malaysia emerged as a possible replacement but turned down the opportunity last month because of the cost, despite the offer of a £100 million (RM512 million) sweetener from the CGF. The financial support is available to any prospective host. “Commonwealth Games Singapore and Sport Singapore have studied the feasibility of hosting the 2026 Commonwealth Games and have decided not to make any bid to host the Games,” the sports bodies said in a joint statement. Victoria’s sudden pullout, and the lack of an obvious alternative, have raised doubts over the future of the Games, which take place every four years with most of the competing teams drawn from former British colonies. The Games were last hosted in 2022 by the city of Birmingham in England. – AFP TYPHOON-LIKE WINDS KILL 7 IN SOUTH CHINA BEIJING: Rare storms with typhoonlike winds have killed at least seven people in China’s southern Jiangxi province since the weekend, three of them blown out of their high-rise apartments in their sleep. The extreme weather, which began on March 31, has engulfed nine cities including Nanchang and Jiujiang with 93,000 people in 54 counties affected, said the Jiangxi provincial emergency flood control office. On Sunday, freak storms led to gusts that ripped door-size windows off frames in two apartments in a highrise building in Nanchang, the provincial capital. Three people were pulled from their beds through the holes, plunging to their deaths, according to reports. Officials yesterday said seven people so far have died across the province and 552 had to be emergency evacuated. They also said 2,751 houses were damaged. – Reuters A damaged building tilts precariously in Hualien after the earthquake. – AFPPIC TAIPEI: Taiwan’s biggest earthquake in at least 25 years killed nine people yesterday, injuring more than 800, while 50 went missing en route to a national park, authorities said, as rescuers used ladders to bring others to safety. Television broadcast images of buildings tilted at precarious angles in the mountainous, sparsely populated eastern county of Hualien, near the epicentre of the 7.2 magnitude quake, which struck just offshore at about 8am (8am in Malaysia). “It was very strong. It felt as if the house was going to topple,” said Chang Yu-lin, 60, a worker in a hospital in Taipei. A woman who runs bed-andbreakfast accommodation in Hualien city said she scrambled to calm her guests who were frightened by the quake. “This is the biggest earthquake I have ever experienced,” said the woman, who asked to be identified only by her family name, Chan. The quake hit at a depth of 15.5km, just as people were headed for work and school, setting off a tsunami warning for southern Japan and the Philippines that was later lifted. Video showed rescuers using ladders to help trapped people out of windows, while elsewhere there were massive landslides, as strong tremors in Taipei forced the subway system to close briefly, although most lines resumed service. Fire authorities said they were slowly evacuating some of those trapped in tunnels near Hualien city, including two Germans. But they had lost contact with 50 travellers aboard four minibuses heading to a hotel in a national park, Taroko Gorge, they said, without giving details. The government put the number of injured at 821. “At present the most important thing, the top priority, is to rescue people,” said President-elect Lai Ching-te, speaking outside one of the collapsed buildings in Hualien. Taiwan’s air force said six F-16 fighter jets had been slightly damaged at a major base in the city from which jets are often scrambled to see off incursions by China’s air force, but the aircraft are expected to return to service very soon. Chinese state media said the quake was felt in the southeastern province of Fujian, while a Reuters witness said it was also felt in the commercial hub of Shanghai. Aftershocks could still be felt in Taipei, with more than 50 recorded, weather officials said. Most power has been restored after the quake, electricity utility Taipower said, with the island’s two nuclear power stations unaffected. Taiwan’s high-speed rail operator said no damage or injuries were reported on its trains, although services would be delayed as it made inspections. Taiwan weather officials ranked the quake in Hualien as “Upper 6”, or the second-highest level of intensity on a scale ranging from 1 to 7. – Reuters
THURSDAY | APR 4, 2024 8 YONGIN: South Koreans bid farewell yesterday to Fu Bao, the first giant panda born in the country, as she left the zoo where she was born in 2020 to be flown to China in a tearful sendoff by a large crowd of fans braving steady rain. Zoo keepers thanked the panda cub for bringing joy and the fans for the love they had shown Fu Bao in the four years she spent growing up at the Everland zoo. She was then put on a climate-controlled truck to take her to the airport. “It was a miracle to meet you. Thank you, Fu Bao,” read a message attached to pictures of the panda that covered the vehicle. Fu Bao, which means lucky treasure, had been in quarantine for a month and did not appear before the public. “This day has really come ... the day you are beginning a long journey for the next part of your life,” said zoo keeper Kang Cher-won, who had been caring for Fu Bao, in a farewell message. “Thank you and we’re proud of you.” Fans had the last view of her a month ago when thousands of visitors queued up in the early morning chill, many saying they will miss the panda after she’s gone. The panda is leaving for China’s Sichuan province. The cub’s parents, 10-year-old female Ai Bao and 11-year-old male Le Bao, arrived in 2016 from Sichuan province, the home of the giant pandas, as part of China’s “panda diplomacy”. Last July, Ai Bao gave birth in South Korea to giant panda twins. Female pandas can only conceive once a year for a limited period, and cubs have very low chances of survival as they are often born prematurely, usually weighing less than 200gm. – Reuters ‘Microsoft lapses led to China hack’ WASHINGTON: The US Cyber Safety Review Board is expected to issue a report detailing lapses by Microsoft that led to a targeted Chinese hack of top US government officials’ emails last year, the Washington Post reported on Tuesday. The intrusion, which ransacked the Microsoft Exchange Online mailboxes of 22 organisations and more than 500 individuals around the world, was “preventable” and “should never have occurred”, the Washington Post said, citing the report. “While no organisation is immune to cyberattack from well-resourced adversaries, we have mobilised our engineering teams to identify and mitigate legacy infrastructure, improve processes, and enforce security benchmarks,” Microsoft said. “Our security engineers continue to harden all our systems against attack and implement even more robust sensors and logs to help us detect and repel the cyber-armies of our adversaries. We will also review the final report for additional recommendations.” The Cyber Safety Review Board did not immediately respond to a Reuters request for comment. Last year, the tech giant said the Chinese hack of senior officials at the US State and Commerce departments stemmed from the compromise of a Microsoft engineer’s corporate account penetrated by a hacking group it dubbed Storm0558. The hack is alleged to have stolen hundreds of thousands of emails from top American officials including Commerce Secretary Gina Raimondo, US Ambassador to China Nicholas Burns and Assistant Secretary of State for East Asia Daniel Kritenbrink. The Cyber Safety Review Board’s report blames shoddy cybersecurity practices, lax corporate culture and a deliberate lack of transparency over what Microsoft knew about the origins of the breach, according to the Washington Post. – Reuters B R I E F S‘LITERALLY ANYBODY ELSE’ FOR PRESIDENT HOUSTON: When choosing their president in November, Americans will likely have incumbent Democrat Joe Biden and Republican Donald Trump as the two main candidates. But could they also vote for “Literally Anybody Else?” A 35-year-old school maths teacher in Texas has officially changed his name to Literally Anybody Else and is collecting signatures to run as an independent. Else, who used to be called Dustin Ebey, is protesting against the American electoral system, in which only members of the Republican and Democratic parties have been elected president for the past 150 years. Even though independent candidates can appear on the ballot, the political system favours a two-party race. “People are voting for the lesser of two evils, not someone they actually believe in or support.” – AFP LUNAR TIME STANDARD IN THE MAKING WASHINGTON: The White House is directing Nasa to create a unified time standard for the Moon and other celestial bodies, as governments and private companies increasingly compete in space. With the US keen to set international norms beyond Earth’s orbit, the White House Office of Science and Technology Policy instructed the agency to formulate a plan by the end of 2026 for a standard it is calling Coordinated Lunar Time. “It’s important that we establish celestial time standards for safety and accuracy,” OSTP Deputy Director for National Security Steve Welby said. He noted how “time passes differently” depending on positions in space, offering the example of how time appears to pass more slowly where gravity is stronger. “A consistent definition of time among operators in space is critical”. – AFP US$1.8bn fraud trial opens in Switzerland BELLINOZA: Two men accused of embezzling US$1.8 billion (RM8.54 billion) from the Malaysian sovereign wealth fund 1MDB went on trial in Switzerland on Tuesday, the latest hearings stemming from the multi-billion-dollar financial scandal. Tarek Obaid and Patrick Mahony will plead not guilty, their lawyers have indicated. They are accused by Swiss prosecutors of involvement in an embezzlement operation orchestrated by Jho Low, an adviser to former prime minister Datuk Seri Najib Razak. The 1MDB scandal has led to criminal investigations around the world, including in the United States, Switzerland and Singapore. It is alleged that billions of dollars were pilfered from the fund, officially 1Malaysia Development Berhad, by a number of people and used to buy items ranging from artwork to a superyacht. oDuo accused of involvement in embezzlement operation Najib was sentenced in 2022 to 12 years in jail for offences linked to the misuse of public money in the 1MDB financial scandal. In February, his sentence was halved to six years. The latest trial, which is due to last throughout April, is being held at the Federal Criminal Court of Switzerland in the southern city of Bellinzona. The case is being heard by three judges. Lawyers for one of the accused on Tuesday asked for the president of the court to recuse himself from the case, believing that the judge had accepted the prosecution’s thesis, and thereby cast into doubt his ability to conduct proceedings impartially, Switzerland’s Keystone-ATS domestic news agency reported. According to the original indictment, “the two accused are alleged, with the aim of enriching themselves and others, to have misappropriated at least US$1.8 billion”, transferred by 1MDB in connection with a joint venture with the Saudi oil exploration and production company PetroSaudi, “and then to have laundered the amounts involved”. “The allegations cover a period at least from 2009 to 2015 and constitute the offences of fraud on a commercial basis, aggravated criminal mismanagement, and aggravated money laundering.” Obaid is a Swiss-Saudi dual national, while Mahony is a Swiss-British dual national. “The two accused used money misappropriated from 1MDB to acquire, among other assets, real estate in Switzerland and in London, jewellery, private equity, to develop PetroSaudi activities from which they received substantial income, and to maintain a lavish lifestyle,” the indictment said. The Swiss public prosecution bureau thanked their counterparts in the United States, Malaysia, Britain, Singapore, Jersey, Canada and Barbados for their cooperation. According to Mahony’s lawyers Maurice Harari and Laurent Baeriswyl, quoted in the Tribune de Geneve newspaper, the “verbose indictment ... is the culmination of a totally biased and incomplete investigation”. In 2005, Obaid served as a private advisor to the Saudi monarchy, the Swiss newspaper Le Temps wrote in a long investigation published in 2018. PetroSaudi was based within the royal palace and the implicit guarantee of the crown opened doors in the oil world. – AFP South Koreans bid tearful farewell to beloved panda Fu Bao A vibration-free vehicle carrying giant panda Fu Bao leaving Everland amusement park in Yongin yesterday. – AFPPIC
THURSDAY | APR 4, 2024 9 Fatal strike unintentional, says Netanyahu Iran vows to punish Israel for strike on embassy TEHRAN: Iran warned its arch foe Israel on Tuesday that it will retaliate for an air strike that killed seven Revolutionary Guards, two of them generals, and destroyed its consular annex building in the Syrian capital. Israel declined to comment on Monday’s strike in Damascus, which fuelled Middle East tensions already inflamed by the Gaza war and violence involving Iran-backed groups in Lebanon, Syria, Iraq and Yemen. Iranian state media said 13 people were killed in the strike in which, according to Tehran’s ambassador, Israeli F-35 fighter-jets fired six missiles that levelled the five-storey consular building next to the embassy. The building was reduced to rubble by the blasts which blew out windows in nearby buildings and incinerated cars parked on the roadside. Iran’s supreme leader Ayatollah Ali Khamenei vowed that Israel will be punished. Iranian President Ebrahim Raisi condemned the attack as a “clear violation of international regulations” which “will not go unanswered”. Syria’s ally Russia accused Israel of seeking to “fuel” conflict in the Middle East with the attack, with Moscow’s envoy adding at a UN Security Council meeting that Israeli strikes on Syria are “unacceptable”. Iran’s mission to the United Nations called on the Security Council “to condemn this unjustified criminal act”. Iran said the strike killed seven Islamic Revolutionary Guard Corps members, including two commanders of its Quds Force foreign operations arm, Brigadier Generals Mohammad Reza Zahedi and Mohammad Hadi Rahimi. Zahedi, 63, had held a succession of commands in a long career. The Britain-based Syrian Observatory for Human Rights said the strike killed 14 people, none of them civilians – eight Iranians, one Lebanese and five pro-Iran Syrian fighters. Israel has long fought a shadow war of assassinations and sabotage against Iran and its allies. Iran also charged that the United States, Israel’s main backer, bore responsibility, and the Foreign Ministry summoned a diplomat from the Swiss embassy which looks after US interests in Iran. US National Security Council spokesman John Kirby denied any US involvement and Deputy Pentagon Press Secretary Sabrina Singh said Washington was not informed about it in advance. – AFP Palestinians relaunch bid to become full UN member state Smoke billows from fires after an Israeli bombardment of Khan Younis on Tuesday. – AFPPIC B R I E F SIMMUNITY FOR HEADS OF STATE FAVOURS PUTIN BRASILIA: Brazil is advocating for the immunity of heads of states that are not party to treaties such as the International Criminal Court (ICC), which could favour Russian President Vladimir Putin attending the Group of 20 summit in Rio this year. The ICC has been debating the immunity of heads of state since 2007, and it is unclear whether any decision can be reached before Brazil hosts the summit of leaders from the world’s 20 largest economies in November. But the argument could allow the Brazilian government to ignore an arrest warrant issued last year against Putin by the ICC in The Hague, to which Brazil is party, based on war crimes charges related to the abduction of Ukrainian children. Russia was a signatory to the ICC, but left the treaty in 2016, after the court’s actions against the invasion and annexation of Crimea in 2014. Russia has said the charges against Putin are groundless. – Reuters RUSSIA PUSHING UKRAINIAN FORCES WESTWARDS MOSCOW: Russian Defence Minister Sergei Shoigu said on Tuesday that the army was pushing Ukrainian forces westwards. But comments by Ukrainian President Volodymyr Zelenskiy and Ukrainian military sources disputed some of Shoigu’s assertions that Moscow’s troops had seized control of a number of localities along the eastern Ukrainian front. The reports from Ukraine suggested its forces had inflicted heavy losses in a attack by Russian tanks and armoured vehicles. Shoigu said that Ukraine’s 2023 counteroffensive had proved to be a failure and Kyiv’s forces had since tried to gain a foothold on various fronts but had not achieved their goals. Shoigu said Russian forces had captured 403 sq km of territory since the New Year and secured control over five towns and villages in eastern Ukraine in March. – Reuters GAZA STRIP: Prime Minister Benjamin Netanyahu admitted that Israel’s military had “unintentionally” killed seven aid workers with a US charity in an air strike in Gaza. World Central Kitchen had earlier said a “targeted attack” by Israeli forces on Monday had killed the group, which included Australian, British, Palestinian, Polish and USCanadian employees. Netanyahu said it was a “tragic case” that would be investigated “right to the end”, stopping short of apologising for the deaths. But President Isaac Herzog took that step, telling WCK founder Jose Andres of his “deep sorrow and sincere apologies over the tragic loss of life”. Israel’s army acknowledged yesterday it had committed a “grave mistake”. “It shouldn’t have happened,” IDF chief Herzi Halevi said in a video message, as he blamed the strike on a “misidentification – at night during a war in very complex conditions”. The Israeli army has vowed to hold an investigation and promised to “share our findings transparently”. UN Secretary-General Antonio Guterres called the strike “unconscionable” but added that it was “an inevitable result of the way the war is being conducted”. “It demonstrates yet again the urgent need for an immediate humanitarian ceasefire, the unconditional release of all hostages, and the expansion of humanitarian aid into Gaza,” he said in a speech to the UN General Assembly. UK Prime Minister Rishi Sunak said he was “shocked and saddened” after learning that British nationals were among those killed. He spoke to Netanyahu and told the Israeli leader that “he was appalled by the killing of aid workers”, a Downing Street spokesperson said. The UK summoned the Israeli ambassador to express its “unequivocal condemnation”. French Foreign Minister Stephane Sejourne said that “nothing justifies such a oVows to investigate tragic case right to the end tragedy”, adding that “protecting humanitarian workers is a moral and legal imperative that everyone must adhere to”. Australian Prime Minister Anthony Albanese slammed the “completely unacceptable” attack, called it a “tragedy that should never have occurred”, and offered “sincere condolences” to the family of Australian volunteer Lalzawmi “Zomi” Frankcom, who was killed in the strike. “She just wanted to help out. That says everything about the character of this young woman,” Albanese said. Andres said he was “heartbroken and grieving for their families and friends”. “The Israeli government needs to stop this indiscriminate killing,” he wrote on social media. “It needs to stop restricting humanitarian aid, stop killing civilians and aid workers, and stop using food as a weapon.” The charity said it had coordinated its movements with the Israeli army and was travelling in vehicles branded with its logo. It has now paused its operations in Gaza. China said it was “shocked” by the strike. – AFP NEW YORK: The Palestinians on Tuesday officially revived their bid for a full member state in the United Nations – a process with an uncertain outcome but one they say is necessary in the face of Israel’s offensive in Gaza. The Palestinians, who have had observer status at the world body since 2012, have lobbied for years to gain full membership, which would amount to recognition of Palestinian statehood. In a letter to UN Secretary-General Antonio Guterres, dated Tuesday, UN envoy Riyad Mansour requested “upon instructions of the Palestinian leadership” that an application dating back to 2011 be reconsidered. The letter has been transmitted to the Security Council, and the Palestinians have asked that it be reviewed this month. “It was the international community that decided to create two states in Palestine since 1947,” Mansour said in February. “It is the duty of the international community along with the Palestinian people to complete that exercise by admitting the state of Palestine to membership.” Last month, he said the Palestinians would “start mobilising the largest number of countries to support us” and expressed hope that the council would act in April, pointing to a council meeting set for April 18 on the situation in Gaza. Malta, which holds the rotating Security Council presidency, said Mansour’s letter was “received and circulated” to council members, adding that talks would be held “on a way forward”. The League of Arab States, the Organisation of the Islamic Conference and the Non-Aligned Movement sent a letter to Guterres on Tuesday supporting the bid by the Palestinians. – AFP
10 THURSDAY | APR 4, 2024 The Sun invites your esteemed organisation to subscribe to our latest education bulletin in response to the upcoming SPM results to be released. The Bulletin to be published on Friday May 3rd 2024 provides a variety of choices for SPM school leavers on the various pathways available, to pursue their studies. DON’T MISS THIS OPPORTUNITY, COME JOIN US! PUBLICATION DATE 3 May 2024 (Friday) BOOKING DEADLINE 26 April, 2024 (Friday) MATERIAL DEADLINE 29 April, 2024 (Monday) Contact theSun's Sales & Marketing team to book your advertising space. 03-7784 6688 [email protected] Malaysian Paper “The King has advised that we defer to the courts for resolution, a sentiment echoed by our PM, who emphasised that no one should take on the roles of executioner and judge. Address religious issues with rationality AS the government endeavours to attract foreign direct investments (FDIs), and Prime Minister Datuk Seri Anwar Ibrahim along with Cabinet ministers work diligently to promote Malaysia as a secure destination for investments, we must avoid sending signals that portray any adverse situations in the country which can negatively impact our reputation in the international community. The challenges facing the government are not merely about avoiding time wastage, but rather about directing efforts and resources towards preserving the nation’s political stability, safeguarding the national treasury, and combatting corruption. Such endeavours will enhance Malaysia’s attractiveness for FDIs. Unfortunately, in recent weeks, the country has been embroiled in various boycotts against local establishments for various reasons. Ongoing conflicts in the Middle East have led to widespread boycotts of goods and services perceived to originate from contentious sources. Additionally, overlooking certain actions can lead to severe consequences for companies and their employees. These boycotts have generated negative publicity for the country regionally and internationally, raising investor concerns about handling these situations. Religious and ethnic tensions can lead to significant repercussions, especially when politicians exploit these issues for personal gain or undisclosed motives. The government’s focus should be on addressing and navigating these complex economic challenges effectively. While we acknowledge that issues surrounding race, religion and royalty are significant concerns, it is essential to handle them with sensitivity, ensuring that actions are devoid of intentionality and malice. It is crucial to allow companies We must avoid sending signals that portray any adverse situations in the country which can negatively impact our reputation in the international community. – BERNAMAPIC Time to move on and let the law prevail TO move on from contentious issues, especially those that can cause disunity, unhappiness and possible violence, and to move on from all other issues that take our attention away from important matters such as the economy and nationhood – this is the mantra of all peace-loving Malaysians. Specifically, it is time to move on from the KK Supermart and the socks issue. The law is now taking its course on this matter, and we should all leave it at that. Let the law decide what is right and what is wrong, and then prescribe the right response. All other matters must take a back seat. This is no time to perpetuate illegality. If some matters still rankle, let the police do the necessary investigation and take action. Let us not take the law into our hands. The consequences can be dire if we do. Before such an eventuality, the National Unity Ministry must take immediate steps to address issues that can cause disunity in our multiracial country. That is its job, and that is what it should do. It is important, as suggested by Tawfik Ismail of the Malay Moderate Group, for it to hold a series of nationwide reconciliation events to smoothen ruffled feathers. In a multiracial society such as ours, embracing this diversity should be celebrated as a strength rather than a source of division. It is time for us to recognise the dangers of continuously stoking sensitive issues for personal or political gain. While freedom of speech is a fundamental right, it should not cause harm and sow discord. Too often, discussions on sensitive topics escalate into heated debates, fuelled by emotions rather than by reason. These can then lead to unnecessary and unproductive polarisation. One of the cornerstones of a just society is the impartial application of the law. Regardless of race, religion or social status, every individual is entitled to equal protection under the law. Therefore, rather than taking matters into our own hands, let us entrust the legal system to uphold justice and hold perpetrators accountable for their actions. Tan Sri Lee Lam Thye Chairman Alliance for a Safe Community LETTERS [email protected] or individuals to defend themselves, including providing legal representation, rather than resorting to boycotts, which ultimately serve no constructive purpose. The police, the attorney-general and the courts have demonstrated utmost responsibility and commitment in their actions. Therefore, it is prudent to trust them to formulate charges and administer appropriate punishments for those who have intentionally and maliciously offended the religious sentiments of others. The King has advised that we defer to the courts for resolution, a sentiment echoed by our prime minister, who rightfully emphasised that no one should take on the roles of executioner and judge. As law-abiding citizens, we must allow the legal process to unfold without inciting hatred or enmity among different ethnic communities. Living in unity and harmony requires our collective effort to safeguard the delicate balance of our religious, cultural and ethnic diversities while embodying the kindness, mercy and tolerance that are characteristic of Malaysians. I have full confidence that we, including the government, possess the courage and strength to approach every challenging situation rationally, avoiding the sway of emotions and feelings that can lead to irrational thoughts and decisions. Together, we have the capabilities required. By inspiring one another, fostering constructive growth and ensuring equitable access to economic opportunities, we can propel our nation to greater heights economically. Dr Tan Eng Bee Kajang
11 THURSDAY | APR 4, 2024 Communication, research key to selecting right education institution THE Sijil Pelajaran Malaysia (SPM) examinations for 2023 ended last month and for many schoolleavers, the next phase of their educational pursuit will start soon, if they have not enrolled in private institutions already based on their SPM trial results. Having put three children through private tertiary education, including my youngest son last year, this is a testing time for parents too. Private tertiary education is not cheap and can put parents back by up to hundreds of thousands per child. The costs will be higher if it involves overseas education. It does not help that our ringgit has weakened considerably over the years, which affects parents whose children are studying overseas. Even in neighbouring Singapore, the exchange rate is now hovering at RM3.50 for every S$1. As parents, we would want our children to opt for tertiary education that aligns more with our financial ability. On the other hand, we also want our children to enjoy quality education and not study in some fly-by-night institution with dubious credentials. Based on my experience, I noticed that some parents are led by the nose by their children who have a commanding say on where they want to study, but can be oblivious to their parents’ financial abilities or lack of them. Some students are subjected to peer pressure or taken in by the “glamour” of studying in certain institutions, which charge an arm and a leg just for being “fanciful”. This is why communication and research are key for parents and students. Parents should communicate the parameters they have in mind when their children select where they want to further their education. Students should also articulate their expectations to their parents. Ideally, both sides should meet halfway. I also noticed that some parents and students quickly decide on their choice for colleges or universities without doing much research. In Malaysia, there are different tiers of tertiary institutions. For example, top-tier institutions may have a good track record and reputation but can be costly. The second-tier institutions also offer comparable quality education but are more affordable. It is just that they may not be as “glitzy” as the top-tier institutions. There is no need to always go for the top-tier institutions as some of the programmes may not be suitable for students. It is understandable that in an industry as competitive as education, certain institutions have strengths in certain areas and weaknesses in others. The key is communication and research. When enough is done on both fronts, parents and students will be able to avoid common pitfalls when selecting an institution and course of study. In the long run, it would also save parents a lot of headaches and heartache. Isaac Peters Subang Jaya Integrating AI in higher education ARTIFICIAL intelligence (AI) has emerged as a transformative force with the potential to revolutionise various aspects of society, and higher education stands at the forefront of this technological evolution. In recent years, educational institutions have increasingly embraced AI to enhance teaching, learning and administrative processes. The integration of AI in higher education offers promising opportunities such as personalised learning experiences, improved administrative efficiency and innovative research capabilities. However, as the educational landscape undergoes a digital transformation, it also raises ethical considerations, challenges related to data privacy and the need for comprehensive policies to govern AI applications. In 2021, the United Nations Educational, Scientific and Cultural Organisation issued a report on the ethics of AI in education, calling for the development of clear ethical guidelines and frameworks to ensure the responsible and equitable use of AI in educational settings. A 2022 survey by the Association for Computing Machinery revealed that 85% of computer science educators are concerned about the potential for AI to exacerbate bias and discrimination in higher education. In 2023, the European Network for Artificial Intelligence in Education found that 70% of higher education institutions are already using AI in some form, with the most common applications being for personalised learning, administrative tasks and student support. This introduction sets the stage for exploring the multifaceted role of AI in higher education, its impact, benefits and quality issues required to ensure responsible and effective integration within academic settings. Here are some perspectives on integrating and managing AI in higher education: 0 Guidelines and policies Ethical guidelines and policies governing the use of AI in higher education are essential to ensure responsible and equitable implementation of these technologies. The policies centre on principles of transparency, fairness, security and privacy. Institutions must commit to providing clear explanations of AI-driven decision-making processes to foster transparency. Fairness dictates that AI applications should be designed and monitored to prevent biases and discrimination, promoting equal opportunities for all students. Furthermore, robust data privacy measures must be in place, safeguarding sensitive student information and ensuring compliance with relevant privacy regulations. Ensure that AI applications in education are also aligned with established ethical standards. The ethical policy should also emphasise ongoing review, monitoring, evaluation, and adaptation of AI systems to align with evolving ethical standards and emerging challenges. Ultimately, the goal is to harness the benefits of AI in higher education while upholding the highest ethical standards and safeguarding the well-being and rights of all stakeholders involved. 0 Students’ learning experience AI-powered chatbots and virtual assistants are being deployed to provide instant support to students and faculty. These tools can answer common queries, assist in administrative tasks and enhance overall user experience. With the rise of online education, AI is increasingly used for remote proctoring. This involves the use of AI algorithms to monitor students during online exams, detecting and preventing potential instances of cheating. AI can also be used to create personalised learning experiences for students. Adaptive learning platforms can assess individual student progress and tailor educational content to meet their specific needs. In this context, ensuring the privacy and security of sensitive student data is crucial. Mishandling of data can have serious consequences and compromise the quality of education. An over-reliance on AI for personalisation should also be taken into consideration such that it may miss the holistic understanding that human educators bring to the learning process. Students should be systematically trained in AI to equip them with the knowledge and skills necessary for the evolving demands of the future workforce. This training should be integrated into the curriculum, offering a comprehensive understanding of AI concepts, methodologies and applications. Emphasis should be placed on hands-on experience, allowing students to engage in practical projects and real-world problemsolving. Additionally, fostering critical thinking and ethical awareness is crucial, ensuring that students understand the societal implications of AI and the responsible use of these technologies. Collaborations with industry experts and participation in AIrelated competitions or projects can further enhance practical skills and expose students to current industry practices. This holistic approach to AI education ensures that students not only possess technical proficiency but also develop the analytical and ethical foundations needed to navigate the complex landscape of AI in their future careers. 0 Faculty training and development Training academic staff in AI is imperative for fostering a technologically proficient and adaptive higher education environment. Institutions should provide comprehensive professional development programmes for faculty members, catering to various proficiency levels and disciplinary backgrounds. Workshops, seminars and collaborative projects can facilitate hands-on experience, enabling educators to integrate AI tools effectively into their teaching and research. Emphasis should be placed on the ethical considerations surrounding AI applications, encouraging instructors to embed responsible AI practices into the curriculum. Continuous learning opportunities, such as access to online courses or specialised training modules, should be available to keep academic staff abreast of the rapidly evolving AI landscape. AI can also be used to automate the grading process, allowing educators to focus more on teaching. This includes the use of machine learning algorithms to assess written assignments and provide feedback. However, there should be some serious considerations if it can potentially lead to inaccuracies of gradings or assessments since AI may lack the nuanced understanding and context that human graders possess. Additionally, promoting interdisciplinary collaboration and partnerships with industry experts can enhance the exchange of knowledge and best practices, ensuring that academic staff remain at the forefront of AI education and research integration within higher education institutions. AI tools are now assisting researchers by automating literature reviews, data analysis and even suggesting potential research topics. This can accelerate the research process and enhance the quality of academic output. Promote interdisciplinary research initiatives that explore the potential benefits and challenges of AI in higher education. Encourage collaboration between academia, industry and government to facilitate the exchange of knowledge and best practices in AI integration. Support research projects that investigate the impact of AI on teaching, learning outcomes and institutional efficiency. In this context, responsible and ethical issues in research such as plagiarism, data fabrication and novelty of the work need to be addressed. 0 Trust and transparency Ensure transparency in the development and deployment of AI systems in education. Provide clear explanations of how AI algorithms make decisions and recommendations. Foster a culture of openness by encouraging institutions to share information about their AI initiatives, methodologies and outcomes. This helps build trust among stakeholders, including students, the faculty and the broader community. In short, striking a balance between the advantages of AI technologies and quality perspectives is crucial for a successful integration into higher education. Considering these quality perspectives will contribute to the responsible and effective use of AI in higher education, ensuring that the benefits of AI are maximised while minimising potential risks and ethical concerns. Continuous monitoring, assessment and adaptation of these initiatives are crucial to staying abreast of the rapid developments in AI technology. The writer is the director of the Quality Advancement Centre at Universiti Tenaga Nasional. She is also the deputy president of the Malaysian Higher Education Institutions Quality Assurance Network. Comments: [email protected] “We need clear ethical guidelines and frameworks to ensure the responsible and equitable use of AI in educational settings. Striking a balance between the advantages of AI technologies and quality perspectives is crucial for a successful integration into higher education. – BERNAMAPIC LETTERS [email protected] COMMENT by Prof Dr Hanim Salleh
PROPERTY PROPERTY THURSDAY | APR 4, 2024 12 KUALA LUMPUR: iProperty Malaysia observed a positive outlook for Johor’s property market, fuelled by the development of the Rapid Transit System (RTS) Link. The RTS Link, slated for completion by the end of 2026, is proving to be a catalyst for the southern state’s economy by enhancing connectivity with Singapore and revitalising the local property market, especially in Johor Bahru. In the past few years, Johor’s residential property market has grappled with a significant overhang issue, exacerbated by the Covid-19 pandemic. However, with the onset of post-pandemic recovery and recent advancements in transport infrastructure, Johor is poised for a turnaround. Following the announcement of the endemic phase in April 2022, iProperty Malaysia saw a 29% surge in Johor Bahru’s property demand index. Similarly, as the RTS Link reached 50% completion in April 2023, the demand index for Johor Bahru properties climbed by 17%. These demand trends are in line with Napic’s Property Market Report 2023, which noted a 20% decrease in Johor’s unsold property units from 5,258 in 2022 to 4,228 units by 2023. Sheldon Fernandez, country manager, PropertyGuru Malaysia (PropertyGuru.com.my and iProperty.com.my), said, “Johor is undergoing a notable transformation, transitioning from being the state with the highest overhang property to a more favourable position. This improvement is attributed to various initiatives undertaken by the state including the development of the RTS Link, the designation of Forest City as a special financial zone, the proposed Johor-Singapore Special Economic Zone, and the potential revival of Kuala Lumpur-Singapore highspeed rail. These efforts have not only boosted property demand but also enhanced property values.” According to Napic, Johor emerged as the leading state in the 2023 Malaysian House Price Index, showcasing an encouraging annual home price growth of 6.2%. In comparison, the runner-up, Penang, achieved a growth rate of 3.8%. “As we reflect on the past year, it is evident that Johor’s property landscape has undergone a period of growth, resulting in the surge in demand for properties in the state, especially in Johor Bahru. Investors and homebuyers seeking to capitalise on this momentum should carefully consider Johor Bahru and its surrounding suburbs. “With the development of major projects such as the RTS and other initiatives that position Johor as an emerging hub of economic activities, the outlook for the state appears promising. The ongoing developments and anticipated economic growth could lead to attractive investment prospects in the real estate sector.” said Sheldon. Market in Johor shows signs of turning around SDP promotes sustainability in Jom Raya campaign PUTRA HEIGHTS: Sime Darby Property Bhd is placing sustainability at the core of its Ramadan and Hari Raya celebrations this year, with focus on creating positive community experience. Aligning with the company’s larger sustainability framework to foster resilient communities, Sime Darby Property is activating its Jom Raya campaign with the Go Green – Let’s Celebrate Raya Sustainably initiative for its largest ever fabric collection drive. Offering a powerful environmental solution by tackling textile waste, Sime Darby Property believes that the initiative can encourage people to rethink about how they discard unwanted clothes or fabrics at home. The company aims to collect 72 tonnes of recyclable materials by the end of 2024 as part of its effort to prevent waste in landfill. Sime Darby Property’s chief marketing and sales officer Datuk Lai Shu Wei said, “Ramadan is a month traditionally focused on mindful consumption and presents the perfect opportunity to champion sustainable practices. In reducing a major contributor to environmental pollution, we believe that the fabric collection drive can promote a circular economy for textiles, extending their lifespan and minimising their carbon footprint.” The initiative begins with concurrent fabric collection drives at The Glades Plaza in Putra Heights, Serenia City Sales Gallery, KL East Mall and KL East Sales Gallery, encouraging communities in selected townships to practise sustainability this Ramadan. Sime Darby Property is championing this effort with the support of Kloth Circularity (formerly known as Kloth Cares) to ensure that the fabrics are given a second life through various channels. The fabrics will be distributed to those in need or upcycled to transform into new and unique items. This not only reduces waste but also lowers the demand for virgin materials, which require significant resources like water and energy to produce. “Overall, upcycling fabrics is a responsible way to manage clothing and textiles. It benefits the environment, supports local businesses, and allows for creative expression, all while saving the planet. This initiative recognises that mindful consumption and environmental responsibility can go handin-hand with cherished Raya traditions,” said Lai. The company has also partnered with Pos Malaysia, Sime Darby Motors and Tupperware Brands Malaysia. Rehda Selangor hopes to feature properties worth RM4.8b at expo KUALA LUMPUR: The Real Estate and Housing Developers’ Association Malaysia Selangor branch (Rehda Selangor) is targeting to showcase RM4.8 billion worth of properties at Malaysia Property Expo (Mapex) Selangor 2024. Its chairman Datuk Zaini Yusoff said with the participation of Lembaga Perumahan dan Hartanah Selangor (LPHS) and 11 other participating developers, it expects to achieve about 5% in sales valued at about RM850 million. “We will have about 9,000 units of properties to offer at the expo which comprises residential units such as serviced apartments, landed properties and office spaces. “LPHS will be displaying their products which are below RM250,000 per unit, while other products will range up to RM2.5 million per unit,” he said in a press conference at the Rehda Selangor office in Kelana Jaya recently. Mapex Selangor 2024 will be held from April 26-28 at Pavilion Bukit Jalil. Zaini also said project locations would showcase areas in Ampang, Bandar Kinrara, Bangi, Bangsar, Bukit Jalil, Jalan Kuching, Kepong, KLCC, Puchong, Salak Tinggi, Seri Kembangan, Setapak, Sungai Besi and Sungai Buloh. He said the expo would also hold dialogues on the Malaysia My Second Home programme, tax fillings, property hotspots, and opportunities for buying homes, among others. In addition, Mapex 2024 would offer special and attractive promotions, discounts and rebates for purchasers. Rehda Selangor, which has 372 members, is the biggest branch of Rehda Malaysia with a total of about 1,800 members. – Bernama TCS wins RM140m building works deal from KLK Retail Centre KUALA LUMPUR: Building and infrastructure construction services provider, TCS Group Holdings Berhad, announced that its wholly owned subsidiary, TCS Construction Sdn. Bhd. (TCSCSB), has secured a RM140.27 million contract from KLK Retail Centre Sdn. Bhd. (KLKRC), a wholly-owned subsidiary of Kuala Lumpur Kepong Bhd (KLK) for main building works for a proposed commercial complex known as Bandar Seri Coalfields Retail Park in Bandar Seri Coalfields, Selangor (contract). Managing director Datuk Tee Chai Seng said, “We are certainly delighted to be awarded this RM140.27 million project by KLK, who is a returning client. This contract enhances our current outstanding order book and strengthens our earnings visibility for the coming financial years. Looking ahead, the Group is positive on the outlook of the construction industry. This is on the back of strategic infrastructure, utilities projects, and the acceleration of projects under the Twelfth Malaysia Plan, 2021-2025.” “Accordingly, he added they see opportunities and are bidding for projects in residential and commercial buildings, infrastructure projects, as well as institutional buildings. All in all, we continue to be cautiously optimistic on the long-term prospects of the Group premised on the aforementioned factors,” he said. The duration of the contract is 19 months, commencing from March 2024 with expected completion by October 2025. Binastra records increase in revenue, earnings for FY24 KUALA LUMPUR: Binastra Corporation Bhd (formerly known as Comintel Corporation Bhd), an investment holding company specialising in construction services, recorded an increase of 110.6% in revenue to RM155.4 million compared to the corresponding quarter last year, in its results for the fourth quarter and full year ended Jan 31, 2024 (FY24). Profit before tax (PBT) and profit after tax (PAT) were RM20.4 million and RM15.4 million, which translated to a growth of 150.8% and 176.3% respectively. For FY24, the group’s revenue increased by 130%, year on year, to RM425.2 million. Additionally, PBT and PAT were RM55.1 million and RM40.8 million respectively, representing a surge of 134.2% and 146.8%. The strong growth was primarily attributed to higher construction activities in condominium and housing projects across Klang Valley. As of Jan 31, Binastra’s outstanding order book stood at approximately RM1.4 billion, demonstrating the group’s ability to capitalise on the flourishing real estate market and build a solid foundation for future growth. Moreover, the group has a strong balance sheet with a positive net cash position. The group officially changed its name to Binastra Corporation Bhd effective March 8. oInitiatives such as RTS Link, Johor-Singapore SEZ, Forest City financial zone and potential revival of high speed rail trigger increase in demand, values: PropertyGuru
THURSDAY | APR 4, 2024 Editorial T: 03-7784 6688 F: 03-7785 2625 E: [email protected] Advertising T: 03-7784 8888 E: [email protected] SCAN ME SME Bank, JPDC to promote economic growth in Johor KUALA LUMPUR: SME Bank has signed a memorandum of understanding (MoU) with Johor Petroleum Development Corp Bhd (JPDC) to promote economic growth in Johor. In a statement yesterday, SME Bank Group president and CEO Datuk Wira Aria Putera Ismail said that since its establishment in 2005, SME Bank has approved more than RM47 billion in financing to 23,820 small and medium enterprises (SME), with RM560.74 million allocated specifically to entrepreneurs in Johor. “We are ready to leverage our expertise in collaboration with JPDC, the federal government’s main agency that oversees the planning and coordination of the Pengerang Integrated Petroleum Complex (PIPC). “Together, we intend to empower investments and increase the participation of local entrepreneurs in the workforce and the availability of business resources for the downstream oil and gas, petrochemical and chemical industries in the PIPC,” he said. At the MoU signing ceremony in Johor Bahru on Tuesday, SME Bank was represented by Aria Putera, while JPDC was represented by acting CEO Izhar Hifnei Ismail. Also at the event, Izhar Hifnei presented a letter of appointment to Centre for Entrepreneur Development and Research Sdn Bhd (Cedar) CEO Amirul Imran Ahmat to provide customised training in business capacity building under the Contractor Development Programme (CDP). “Both parties will work together in identifying and nurturing prospective vendors from Pengerang, Johor, and Malaysia, offering them guidance in business and financial management, access to financing, and other important support services. “This effort aims to equip local contractors with the skills and capabilities required to thrive in the downstream oil and gas, petrochemical and chemical industries,” Aria Putera said, adding that SME Bank has allocated more than RM35 million in financing to support 30 clients. oIncludes boosting investments and participation of local entrepreneurs in downstream oil and gas, petrochemical and chemical industries PETALING JAYA: UCrest Bhd and MDC Asia Link Bhd have signed a business partnership agreement to digitalise the latter’s dental clinic operations with artificial intelligence (AI) and Internet of Medical Things (IoMT) using the iMedic platform. MDC Asia Link is the first dental clinic chain in Malaysia, perhaps Asia, that is embarking on the use of AI, IoMT and 3D printing technologies to elevate the standard of care and to provide better healthcare management services to customers. UCrest chairman Eg Kah Yee said that with iMedic, dentists and health consultants will be able to develop a personalised dental health plan to manage and service customers. “The AI technologies will be able to diagnose with high precision and predict the development of dental diseases in patients, allowing early preventive measures to be taken,” he said at the signing ceremony yesterday. iMedic will be used to manage patients using a mobile app that allows tracking of vital signs, biomarkers and lifestyle factors affecting oral health, facilitating management of their dental care plans. Furthermore, all medical records, including X-ray images, will be uploaded and accessible by patients. Meanwhile, the machine learning of AI technologies in iMedic will help to analyse and diagnose images. MDC Asia Link CEO Dr Aslan Bacho said, “We are leading the transformation of dental care services with the use of AI, IOT, 3D printing and digital technologies to provide our customers with the highest level of care and services while improving the clinic operation efficiency.” He also shared updates on the group’s initial public offering (IPO), stating that the group now plans to carry out a listing exercise by 2026. Aslan said plans for an IPO have been delayed in order to improve its business model as well as digitisation efforts. “We are aware only with the clinic itself, without a system, without integrated digitalisation, Malaysian iron, steel industry affected by China construction slowdown: Liew KUALA LUMPUR: The local iron and steel industry is facing major challenges resulting from the lack of activities in China’s construction sector, Deputy Investment, Trade and Industry Minister Liew Chin Tong said. To address this challenge, the government has implemented two measures, one of which is a twoyear moratorium to allow for reassessments to address the challenges faced by the local iron and steel industry, he said. Effective Aug 15, 2023, the Ministry of Investment, Trade and Industry (Miti) has suspended all inquiries, assessments of current applications, new applications, licence transfers, expansions, regularisations and diversifications for manufacturing licence. The suspension also involves the issuance of certificates for exemption from manufacturing licence under the Industrial Coordination Act, 1975 for manufacturing activities in the iron and steel industry. “This moratorium gives respite for local industry players to coordinate and rebuild (the industry) to face future challenges, including global overcapacity and carbon emissions. “The carbon emission issue will be taken into account every time an industry player seeks a bank loan. This moratorium helps companies and industry players by giving them some space,“ Lim said during a question-and-answer session at the Dewan Negara yesterday. He was responding to an additional question from Senator Tan Sri Low Kian Chuan who wanted to know the effectiveness of the government’s existing initiatives to help and empower local iron and steel industry players. According to Liew, the establishment of an independent and special committee for the iron and steel industry to assess the sector can give it a new lease of life. “The committee will report to the ministry in six months and the ministry will implement the proposed recommendations to give the industry a new lease of life,“ he said. – Bernama Malaysian government top bond issuer in first quarter with RM50b: BPAM KUALA LUMPUR: The Malaysian government has been named the overall top bond issuer in Bond Pricing Agency Malaysia Sdn Bhd’s (BPAM) Bond League Tables reports for the first quarter (Q1) of 2024, with a total issuance of RM50 billion. In addition, BPAM said, the government issued the top traded bond overall for the quarter under review at RM221.38 billion. The government was also the top bond issuer overall and issued the top traded bond overall in the fourth quarter of last year, it said in a statement. According to the report, Pac Lease Bhd was the top corporate bond issuer (RM1.41 billion) for the first quarter while Cagamas Bhd issued the top traded corporate bond (RM1.17 billion). Maybank Islamic Bank Bhd was the top sukuk issuer (RM4 billion) in the quarter, while DanaInfra Nasional Bhd issued the top traded sukuk (RM5.93 billion), BPAM said. Meanwhile, Malaysian Trustees Bhd emerged as the top bond trustee overall, both by value (RM48.51 billion) and issuance (91 issues) for the quarter under review. The company was also the top conventional bond trustee by value (RM2.47 billion) and the top sukuk trustee by value (RM46.04 billion). “Released quarterly, these reports highlight the Malaysian bond market performance and rankings of key bond market players in the given period,” BPAM said. BPAM is the only registered bond pricing agency accredited by the Securities Commission of Malaysia. – Bernama Izhar Hifnei said the CDP is a projection from the Skills in Oil and Gas training programme that has been implemented by JPDC at the PIPC since 2013. It provides skills and work efficiency training, including reskilling and skill upgrading for a nearly 7,000-strong workforce across the country, he said. “About 95% of them managed to get jobs in the downstream oil and gas, petrochemical, chemical and energy sectors at the PIPC and other locations in Malaysia. “Under the CDP, JPDC aims to provide small and medium-sized Malaysian companies and contractors with business management skills and competencies,” said Izhar Hifnei. He said that 30 participants who meet the CDP criteria will undergo training in two groups, with 15 from the first group to be trained this year and 15 from the second group to be trained next year. – Bernama █ BYHAYATUN RAZAK [email protected] Dental clinic chain MDC Asia Link in AI, IoMT deal with UCrest very difficult to compete with the healthcare industry. “So hopefully with this, our collaboration will accelerate the process in terms of business model, customer relations, and also the valuation of the company,” he added. MDC Asia Link, which currently has 25 dental clinics, largely in Klang Valley, is one of the largest dental clinic chains in the country, with special focus on paediatric dental care in addition to its general dentistry and orthodontic services. Eg (left) and Aslan at the signing ceremony.
BIZ & FINANCE BIZ & FINANCE THURSDAY | APR 4, 2024 14 READ OUR HERE /thesun Malaysian Paper Malaysia Airlines, IndiGo in codeshare, cooperation deal PETALING JAYA: Malaysia Airlines and IndiGo, India’s leading airline, have signed a memorandum of understanding (MoU) for a codeshare partnership and mutual cooperation agreement. The agreement will enable both carriers to provide customers with more options and flexibility for seamless travel between Malaysia and India. Through this cooperation, Malaysia Airlines will be able to strengthen its connectivity into India as the marketing carrier on IndiGo operated flights, while IndiGo customers get to explore more Southeast Asian destinations through Malaysia Airlines’ extensive network. oAgreement will enable carriers to provide more options and flexibility for seamless travel between Malaysia and India Kawan Renergy poised to make ACE Market debut in second quarter PETALING JAYA: Engineering solutions provider Kawan Renergy Bhd has entered into an underwriting agreement with M&A Securities Sdn Bhd for its upcoming initial public offering (IPO) on the ACE Market of Bursa Malaysia Securities (Bursa Securities). Kawan Renergy Group, through subsidiaries Kawan Engineering Sdn Bhd and Kawan Green Energy Sdn Bhd, is principally involved in the design, fabrication, installation and commissioning of industrial process equipment, process plants as well as renewable energy and co-generation plants. Its engineering solutions are applicable in a wide range of industries such as food processing, oleochemical and chemical processing, oil and gas, waste recovery, power plant and utilities. The group is also involved in power generation and sale of electricity through Bercham Plant, a landfill biogas power plant in Ipoh with an installed capacity of 1.2MW of electricity and a net export capacity of 1MW. Kawan Renergy’s IPO entails a public issue of 110 million new ordinary shares, representing 20% of its enlarged share capital, as well as an offer for sale of 34.5 million existing shares, or 5.3% of its enlarged share capital to selected investors by way of placement and 1% to selected Bumiputera investors approved by the Ministry of Investment, Trade and Industry. Kawan Renergy managing director Lim Thou Lai said the IPO exercise will expedite their expansion plans and allow them to tap into the equity capital market, giving them better financial flexibility to capitalise on upcoming opportunities. “The IPO proceeds will mainly be used as working capital to enable the group to undertake more quality projects, moving up the value chain as well as to strengthen our power generation and sale of energy business,” Lim said, adding that the industrial process equipment industry continues to show promising prospects, supported by the improved demands of various sectors that utilise such equipment. Kawan Renergy is scheduled to be listed on the ACE Market by the second quarter of this year. From left: Kawan Renergy executive director Heng Siew Aun, Lim, M&A Securities managing director Datuk Bill Tan and corporate finance head Gary Ting. – AMIRUL SYAFIQ/THESUN Malaysian small firms’ growth expectations highest since 2012: Survey PETALING JAYA: Some 66% of Malaysian small businesses grew in 2023 with 2024 expected to be an even better year, a new survey by CPA Australia shows. The annual Asia-Pacific Small Business Survey found 78% expect to grow in 2024, the country’s best result since 2012 and higher than the survey average of 70%. The upbeat sentiment is pegged to the confidence in the economy with nearly three quarters expecting it to grow this year, above the survey average of 65%. In a statement, it said 59% sought external funding for business growth in 2023 reflecting a shift from business survival in 2022. The increasing cost of doing business, however, remains a key concern with materials, utility costs, staff costs and rent impacting businesses the most last year. Close to 50% said increasing cost negatively impacted their business. “Young entrepreneurs are driving the momentum on innovation and technology uptake. The survey results have shown over many years that small business with younger entrepreneurs are more likely to be growing, innovating, using emerging technologies and exporting,” said CPA Australia Malaysia Division president Surin Segar. Strong returns from online sales through a wider choice of new digital and payment technologies and greater social media presence are driving technology spending. Mobile apps remain the most popular technology for Malaysian small businesses to invest in 2023, with almost 50% reporting their technology investment improved profitability. 32% said they will introduce a new product, process or service to Malaysia or the world in 2024. This will support long-term growth and improved competitiveness of Malaysia’s small businesses. MIDF Research expects MSM’s earnings per share to surge KUALA LUMPUR: MIDF Research analysts project a bright outlook for MSM Malaysia Holdings Bhd, anticipating an upsurge in its earnings per share (EPS). The outlook is backed by a potential decrease in raw sugar prices, reminiscent of levels observed in financial years 2014 and 2015 (FY14 and FY15). It said the completion of rectification works at MSM Johor enables the group to ramp up its melting activities, catering to the rising demand in Asia-Pacific markets and potentially boosting its share price. The normalisation of local and export average selling prices, alongside an anticipated increase in sales volume, is poised to boost the group’s sugar yield while concurrently reducing production costs, thus paving the way for sustainable profit and margin levels of 6-8% over FY24- FY26 period, it said. “We remain sanguine on MSM’s long-term business prospects, given that all rectification works in the Johor refinery have been completed. “The refinery can now operate at full capacity, increasing its utilisation factor from 15-25% to 35-45% in FY24-FY25, thereby paving better economies of scale in refining cost structures ahead,” it said. MIDF Research foresees that the government would be able to expand the targeted subsidy range post-implementation of Padu. This expansion could extend beyond fuel ceiling prices to encompass other essential commodities, notably coarse grain sugar and fine granulated sugar. “Note that sugar is not subsidised by the government and the industry has never had to struggle with rising input costs previously,” it added. – Bernama Malaysia Aviation Group managing director Datuk Captain Izham Ismail said that with India being their largest international market, they are delighted to enter into the MoU with IndiGo to widen their reach beyond the nine hubs they currently operate within India. “This collaboration underscores our ongoing commitment to providing diverse travel options and flexibility to this growing aviation market, with a primary focus on enhancing the customer journey. We look forward to fostering cultural exchange and making travel more accessible for both Malaysia Airlines and IndiGo passengers as we extend our inimitable Malaysian Hospitality to ensure a warm and welcoming experience for all our guests,” he added. Indigo CEO Pieter Elbers said the partnership will not only offer seamless travel experience between India and Malaysia, but also enhance international trade opportunities by improving accessibility. “This codeshare is in line with our vision to provide access to an unparalleled network, while delivering on our promise of providing on-time, affordable, courteous, and hassle-free travel experiences,” he added. Malaysia Airlines currently operates 71 weekly flights to nine key hubs in India, – New Delhi, Mumbai, Bengaluru, Chennai, Hyderabad, Kochi, Ahmedabad, Amritsar and Trivandrum. B R I E F SKITACON ACCEPTS BUILDING WORKS JOB WORTH RM81 MILLION KUALA LUMPUR: Kumpulan Kitacon Bhd’s wholly owned subsidiary Kitacon Sdn Bhd has accepted a letter of award from Sime Darby Property (City of Elmina) Sdn Bhd for a main building works contract valued at RM80.98 million. In a filing with Bursa Malaysia yesterday, Kitacon said the project involves the construction and completion of 126 units of houses and one unit of Tenaga Nasional Bhd substation in Elmina West, Shah Alam, Selangor. The contract begins on April 22 and is to be completed within 18 months. – Bernama MINISTRIES TEAM UP TO INJECT TECHNOLOGY INTO PALM OIL INDUSTRY KUALA LUMPUR: The Ministry of Agriculture and Commodities (KPK) will collaborate with the Ministry of Science, Technology and Innovation (Mosti) to promote innovations, automation and mechanisation in the country’s palm oil industry. In a post on X, Agriculture and Commodities Minister Datuk Seri Johari Abdul Ghani said the agreement was reached following discussions with Science, Technology and Innovation Minister Chang Lih Kang regarding the advancement of technology for oil palm harvesting. – Bernama
BIZ & FINANCE BIZ & FINANCE THURSDAY | APR 4, 2024 15 Enclosed is my payment of RM payable to SUN MEDIA CORPORATION SDN BHD. Please WhatsApp your bank-in slip to 0182929936 or email to [email protected] *Not inclusive of vendor service charge Stay informed with the latest news and trends All the best articles from Monday to Friday 32 pages full colour 6 month subscription (128 issues) for only RM110* (Normal price RM128) 1 year subscription (258 issues) for only RM200* (Normal price RM258) PERSONAL PARTICULARS Name: NRIC: Race: Malay Chinese Indian Others Profession: Commencement date: Delivery Address: Residence Ofice Postcode: State: Tel: Mobile No: E-mail: DETAILS OF CURRENT NEWS VENDOR (IF ANY) Vendor name: Contact no: For your convenience, you may call or send in your subscription particulars via any of the following: Tel: KL/PJ 03-7781 4000, 03-7784 6688 (9.30am - 5pm, Monday to Friday) Fax: 03-7781 4484 Post: P.O. Box 179, Jalan Sultan, 46720 Petaling Jaya, Selangor Darul Ehsan Attn: Subscription Email: [email protected] *Terms & Conditions apply Important note: SMCSB reserves the right to revise the price at any time without prior notice. Pay to Maybank ( Account number 508177700420 ) Account name ( SUN MEDIA CORPORATION SDN BHD ) Nov 8 to Nov 10 Malaysian Paper www.thesun.my RM1 WEDNESDAY NOV 8, 2023 No. 8389 PP 2644/12/2012 (031195) SCAN ME Casino chip heist: Five more identified Police have detained a total of 10 suspects, including a Chinese national, in connection with the RM4.6m theft at Genting Highlands on Oct 28. Congratulations! You are holding the first edition A new sunrise of our new 32-page paper featuring more of the great content you have loved for the past 30 years. Copies will be free until Friday and will be available via subscription and at newsstands beginning Monday for only RM1. Muruku Buntong entrepreneur’s Deepavali snack, made from a still a national favourite 60-year-old recipe, is constantly in high demand. Chicken price float benefits consumers A week after subsidies ended, market prices are competitive and lower than subsidised prices, says expert. Full report —on page 3 Full report —on page 6 Full report —on page 4 Citing protection of country’s interests in terms of diplomatic, economic relations and security as reasons for joining meeting, Anwar says he remains steadfast in defending justice and rights of Palestinians. I will show up at Apec Story on page 2 Full story -on page 2 SCAN TO SUBSCRIBE Subscribe now for Monday-Friday copies of theSun newspaper only per copy M’sia continues to attract Chinese property buyers KUALA LUMPUR: Malaysia is now Chinese buyers’ second most popular Southeast Asian country, an improvement from third place in 2022, according to data released yesterday by the global real estate agent network IQI, which is a member of Juwai IQI. This improvement is due to Malaysia’s convenient location, economic stability, international education sector, and growing property market. Juwai IQI co-founder and group CEO Kashif Ansari said, “Malaysia continues to attract significant foreign residential real estate investment. Foreign investors view properties in Malaysia as lucrative opportunities for capital appreciation and rental yields.” He added Malaysia has been one of the top three countries in Southeast Asia for residential buyers from China for the past five years. This year, he said Malaysia is the second-ranked destination for buyers from China, up one spot from third in 2022. Vietnam fell from second to third, swapping places with Malaysia. “Thailand is the only Southeast Asian destination that consistently ranks more highly than Malaysia. Thailand has been the No.1 destination for Chinese buyers since before 2018,” he said, adding that Chinese buyers who purchased residential property today report having roughly the same reasons for buying as in 2018. “Chinese buyers tell us that they want to live in Malaysia. But, at the same time, they consider their property purchases here to be good investments. If they didn’t, they would probably rent instead of purchasing,” said Ansari. He added that 60% of Chinese buyers say they are purchasing for investment purposes in Malaysia and Southeast Asia. Ansari remarked that what foreign buyers are looking for has changed somewhat since before the oCountry now ranks second most popular destination in Southeast Asia, up one spot, displacing Vietnam: Juwai IQI pandemic, as it has for local buyers as everyone is more conscious of their living space today than in 2019. “Foreign buyers now look more often for larger homes with more and larger rooms. They value amenities, whether on the property itself, in the facilities shared with other residents, or in the nearby neighbourhood. And they want the convenience of transit, services, and shopping. Every buyer trades among these features to some degree to find a property that best suits their needs at the right price. “It is common for buyers from China to put their children into local international schools. That also affects their choice of location. It is why many of them purchase in popular expat neighbourhoods that already have a selection of such schools,” he said. He also pointed out that retirees from China have joined those from the UK and other parts of Europe in choosing Malaysia because of its lifestyle and affordability. “If you come to Malaysia under a Platinum MM2H visa, you must make a deposit of at least RM5 million (US$1.05 million). So, these retirees pour a significant amount of money into the local economy,” he said. Malaysian rail expertise to be on display at German trade fair KUALA LUMPUR: Malaysia’s latest innovations, expertise and capabilities in the rail industry will be showcased at the InnoTrans 2024, the leading trade fair for transport technology in Germany this September, Malaysia External Trade Development Corporation (Matrade) said in a statement yesterday. Deputy CEO (export acceleration) Abu Bakar Yusof said the agency will demonstrate its commitment to driving technological advancements and sustainable solutions in the global rail sector by sending a delegation that includes key players in the industry, government agencies, and trade associations. He said a distinguishing feature of Malaysia’s rail industry was its emphasis on sustainability, which is underscored by its embrace of green technologies and ecofriendly practices. “These efforts align with Matrade’s initiative in facilitating Malaysian exporters to embrace and adopt sustainability and eventually contribute to global efforts to combat climate change,” Abu Bakar said. Therefore, Matrade as organiser of Malaysia’s participation in the event invites Malaysian companies and related organisations in the rail industry to join the Malaysian Pavilion at InnoTrans 2024. The agency will host businessto-business meetings and facilitate signing ceremonies, showcasing Malaysia as a reliable international partner in rail engineering, procurement, construction and commissioning. Overall, Malaysia’s global trade in the rail sector continued its upward trend in 2023 with a 14.3% increase to reach RM1.3 billion. Malaysia’s 2023 total trade in the rail industry with Germany stood at RM47.8 million, a 25% rise versus 2022. – Bernama Matrade will host business-to-business meetings and facilitate signing ceremonies at InnoTrans 2024. - INNOTRANS WEBSITE
BIZ & FINANCE BIZ & FINANCE THURSDAY | APR 4, 2024 16 @thesundaily FOLLOW ON Malaysian Paper INSTAGRAM BEIJING: Consolidation in China’s crowded solar power sector is pushing smaller players out of the market, but excess production capacity – with more on the way – threatens to keep global prices low for years. China accounts for 80% of solar module production capacity after years of subsidies, driving oversupply that has triggered a collapse in global prices and provoked import duties from trading partners to stave off being swamped by low-cost equipment. US Treasury Secretary Janet Yellen, set to visit China this week, plans to warn Beijing of the harm done by subsidies for clean energy products including solar panels that she says are flooding global markets and pose a threat to American firms, workers and the global economy. Overcapacity in China’s solar industry is emblematic of the challenges facing the world’s second-biggest economy. High levels of state-guided industrial investment and low levels of household consumption mean many sectors produce more than the domestic market can absorb. Oversupply pushed prices of finished solar panels in China down 42% last year, making Chinese panels more than 60% cheaper than US-made equipment, with some module-only manufacturers taking orders at negative margins to preserve market share, said Wood Mackenzie analyst Huaiyan Sun. At the end of last year, China’s annual production capacity for finished solar modules was 861 gigawatts (GW) equivalent according to China Photovoltaic Industry Association data, more than double global module installations of 390 GW. Production capacity is expected to increase by a further 500 or 600 GW this year, according to forecasts by Wood Mackenzie and Rystad Energy, as Chinese heavyweights including Longi, Jinko Solar and JA Solar continue to build new plants. Sector expansion has been driven by local government policy support and comes after years of breakneck demand growth. “China’s estimated wafer, cell and module capacity that will come online in 2024 is sufficient to meet annual global demand now through to 2032,” said Xuyang Dong, China energy policy analyst at Climate Energy Finance in Sydney. Nearly half of China’s solar panel exports last year were to Europe, data compiled by energy think tank Ember showed, where multiple factories have announced plans to close due to the flood of imports. Chinese solar panels have been subject to US tariffs for more than a decade, with further duties recently imposed on several Chinese solar panel makers who finished their panels in Southeast Asia. China’s solar industry generated 2.5 trillion yuan (RM1.6 trillion) in investment, goods and services last year, according to a study by think tank Carbon Brief, making it the top contributor to the country’s economic growth as investment poured in. “Many non-solar companies in China have been enticed by massive sustained market growth opportunities in solar and favourable policy support,” said Dong of Climate Energy Finance, who expects most plans by such players not to materialise. Between June 2023 and February 2024, at least eight companies cancelled or suspended more than 59 GW of new production capacity, equivalent to 6.9% of China’s total finished panel production capacity last year, according to the China Photovoltaic Industry Association. Utilisation rates for finished solar panel production capacity tumbled to 23% in February, down from more than 60% a year earlier, according to data from consultancy PV Infolink. Marius Mordal Bakke, a solar supply chain analyst at Rystad, said the largest vertically integrated players will grow market share as smaller players are squeezed out. The top four module manufacturers – Jinko Solar, Trina Solar , Longi and JA Solar – all have integrated cell and wafer supply chains. Transition to more efficient N-type modules gives an advantage to higher tech manufacturers. N-type modules often incorporate additional chemical elements to silicon such as gallium to achieve better performance under high-temperature or low-light conditions. Against this backdrop, consolidation is “good for the leading players, and also good for customers”, said Dennis She, vice-president of Longi, which recently said it will lay off about 5% of employees this month. Analysts cautioned consolidation was unlikely to significantly support prices in the short term, meaning the dumping concerns being raised by Yellen this week are likely to persist. “As supply is still set to outpace demand in 2024, a sustained increase in component prices is unlikely to happen unless supported by policy changes”, such as reforms to bidding for solar components that keep sales prices above input costs, said Bakke. China has yet to announce plans for any such changes. Overcapacity means buyers hold bargaining power, making it difficult for individual manufacturers to raise prices, said Sun. “The overcapacity issue will not be easily solved in the short term as more capacity continues to come online,” Sun said, describing the industry as facing “survival of the fittest”. – Reuters Sri Lanka recovering but poverty enduring COLOMBO: Crisis-hit Sri Lanka will return to growth this year, the World Bank said on Tuesday, but around a quarter of the country’s citizens will remain living in poverty. The Indian Ocean island nation was hammered by its worst-ever economic crisis in 2022, when it ran out of foreign exchange and protests over the resulting shortages of food, fuel and pharmaceuticals forced its president to resign. Sri Lanka’s economy shrank by 7.3% that year, followed by another contraction of 2.3% in 2023. But in a new report the World Bank said Sri Lanka’s GDP was expected to stabilise this year, projecting growth of 2.2%. Even so, the bank warned that the recovery would make little difference for many of those who were still suffering from the crisis. More than 5.5 million Sri Lankans – or a quarter of the country’s population of the 22 million – were living below the poverty line of US$3.65 (RM17.35) a day, the World Bank said. That compared to 11.3% in 2019. “The modest economic recovery will be insufficient to reverse welfare losses experienced during the crisis,” the bank said, estimated poverty would stay above 22% until 2026. Utility price rises and government revenue measures meant household budgets would “remain stressed”, it added. The bank warned that Sri Lanka must carry out a “deep debt restructuring” and restore its access to international financial markets, blocked since it defaulted on its US$46 billion foreign debt in April 2022. Colombo secured a US$2.9 billion IMF bailout early last year after sharply raising taxes and cutting energy subsidies. The government has secured financial assurances from its bilateral creditors, including China, the biggest official lender to the island, but formal debt deals are yet to be signed. Sri Lanka’s inflation slowed to 0.9% last month, a huge drop from the peak of nearly 70% in September 2022. The central bank last week cut its benchmark lending rate from 10% to 9.5% to boost “the ongoing revival of economic activity”. – AFP China solar industry faces shakeout oExcess production capacity threatens to keep global prices low for years Thai business group urges stimulus, rate cut BANGKOK: Thailand’s economy is expected to grow 2.8% to 3.3% this year, but remains at risk from weak exports and domestic demand and is in need of stimulus measures and lower interest rates, a leading joint business group said yesterday. The growth projection by the Joint Standing Committee on Commerce, Industry and Banking, which includes representatives from those sectors, was in line with its earlier forecast. The economy grew 1.9% last year. Exports, key driver of the Thai economy, are projected to rise 2% to 3% this year, the group said, also in line with forecast. The business group also maintained its inflation outlook at 0.7% to 1.2% seen in March. Southeast Asia’s second-largest economy unexpectedly shrank 0.6% in the final quarter of 2023 from the third, with full-year growth at 1.9%, lower than the 2.5% growth in 2022. Last month, the central bank lowered its 2024 growth outlook to 2.5%-3% from 3.2%. Prime Minister Srettha Thavisin, who is also finance minister, has repeatedly called on the central bank to reduce interest rates. The Bank of Thailand will review its key rates next week. “A rate cut of 25 basis points would greatly help SMEs with expenses,” said Federation of Thai Industries chairman Kriengkrai Theinnukul, adding credit access for small businesses was a big problem. The group’s remarks come as the government rushes to find funding for its 500 billion baht (RM65 billion) signature scheme to transfer 10,000 baht to 50 million Thais to be spent in their local communities via a digital wallet. The programme has been delayed to the fourth quarter this year. Some experts have called the policy fiscally irresponsible. – Reuters Korea Zinc to prioritise domestic sales SEOUL: Korea Zinc, the world’s biggest producer of zinc, will prioritise domestic sales over exports in the event of any steep drop in South Korean smelting production, a senior executive said. The question of just how much zinc South Korea will be able to export has become a focal interest for zinc traders after the country’s No. 2 producer Young Poong said last month it had cut production at its 400,000 metric ton-per-year Seokpo zinc smelter by a fifth. Sources at zinc raw material suppliers have since said they expect further production cuts from Young Poong, which has long been loss-making and is grappling with low prices and increases in electricity costs. Young Poong said yesterday that it has no such plans. South Korean demand for zinc – mostly used to treat steel – is around 470,000 tons per year. Of the total, Korea Zinc and Young Poong supply around 400,000 tons. Korea Zinc can easily satisfy South Korean demand, D.W. Kang, executive vice-president at the firm’s raw materials division, told Reuters. “The priority for us is to sell in South Korea. “The rest, we export. “Among exports, we prioritise higher premiums and we also sell some zinc in the spot market.” Korea Zinc plans to produce 650,000 tons in 2024, similar to last year. Last year, South Korea exported 609,145 tons of zinc ingots, accounting for about 4.4% of the global zinc market. Of that, Korea Zinc exported 454,388 tons, the company said. – Reuters An aerial view showing residential buildings with roof-mounted photovoltaic solar panels in the northwestern China city of Yinchuan. – AFPPIC
BIZ & FINANCE BIZ & FINANCE THURSDAY | APR 4, 2024 17 Tesla’s quarterly sales plunge Gold hits new high, oil rises on geopolitical tensions NEW YORK: Gold prices hit another historic peak on Tuesday and oil extended gains over rising tensions in the Middle East, while stocks wilted as traders worried whether the rally has run its course. The haven precious metal advanced as high as US$2,279.41 per ounce to extend its blistering record-breaking run, driven also by the prospect of interest-rate cuts in the coming months. Oil prices pushed to five-month highs as Iran warned Israel that it will retaliate for a deadly air strike on its consular annex building in Syria’s capital Damascus, raising fears of a spillover of the Gaza war across the region. “Gold’s historic safe haven appeal has been re-ignited by geopolitical factors which includes the current crisis in the Middle East,” said Rabobank analyst Jane Foley. “The possibility of an escalation in the Middle East given current headlines regarding Iran’s accusations of Israeli strike on a consulate building in Syria are underpinning gold prices.” Gold prices are rising as traders anticipate interest-rate cuts by the European Central Bank, Bank of England and the US Federal Reserve in June as inflation is slowing, analysts said. “When interest rates fall, gold becomes relatively more attractive compared with fixed income assets such as bonds, which offer weaker returns in a lower interest rate environment,” said City Index analyst Matthew Weller. In equities trading, New York’s main indices fell, a day after a stronger-than-expected reading of US manufacturing and prices paid sparked questions about the Fed’s timeline for cutting interest rates. US Treasury bond yields, a proxy for interest rates, climbed again as analysts to push back expectations for Federal Reserve interest rate cuts. On Tuesday, a senior Federal Reserve official said that she recently raised her prediction for interest rates over the longer term. “I raised my estimate to reflect the continued resilience in the economy despite high nominal interest rates and higher model-based estimates of the equilibrium interest rate,” said Cleveland Fed president Loretta Mester Market analyst Fawad Razaqzada at City Index and Forex.com said that concerns about the rally that has seen the S&P 500 rise around 28% since October has prompted some profit-taking. “Following such a big move, the risks of a correction are high, especially when you consider for example that US oil prices are pushing US$85 per barrel and governments are facing rising cost of servicing their debt as yields climb.” – AFP Taylor Swift officially declared billionaire by Forbes NEW YORK: Taylor Swift (pic) was officially named a member of the three-comma-club on Tuesday, as Forbes confirmed rumours estimating her wealth exceeds a billion dollars. The financial news outlet said she is the first artist to achieve billionaire status solely on the basis of her music, and estimated she has a US$1.1 billion (RM5.2 billion) fortune. Other industry heavyweights who have hit the mark – Rihanna and Jay-Z among them – have earned their massive wealth in part via fashion brands, alcohol companies or entertainment holdings, among other interests. Along with her vast songwriting catalog, Swift staged the first billion-dollar tour ever – the ongoing Eras Tour has boosted economies and delighted fans around the world. Swift, 34, also has a significant real estate portfolio, with homes in New York, Beverly Hills, Nashville and a coastal mansion in Rhode Island. Her touring milestone was one of many records Swift shattered over the past year, including winning a fourth Grammy for Best Album, the most of any artist. She received wall-to-wall attention throughout 2023, which closed with Time magazine honouring Swift as Person of the Year, calling her a “rare person who is both the writer and hero of her own story”. And in mere weeks fans have a brand-new album to look forward to. Swift is set to drop The Tortured Poets Department on April 19. – AFP People walking out of a Tesla showroom in Miami, Florida. – AFPPIC NEW YORK: Tesla reported sharply lower first-quarter auto sales on Tuesday amid an underwhelming demand outlook for electric vehicles, while legacy players including Toyota rode improved US inventories to higher sales. Elon Musk’s auto giant reported 386,810 global deliveries over the period, down 8.5%, reflecting in part a weak sales market in China, where it faces heavy competition from local electric vehicle (EV) makers. Tesla also cited the drag from an apparent arson attack on power lines in Germany that dented output at the company’s lone European factory. Among other automakers, General Motors reported a slight dip in sales while Toyota enjoyed a surge compared with a year-ago period, when it was constrained by severe inventory issues due to Covid-19 supply chain problems. Analysts have been expecting about a 6% rise in overall sales in the quarter, reflecting a still strong US labour market and an improved supply picture that has eased pricing pressures. However, market watchers caution that many consumers still feel the pinch from higher interest rates. In explaining the drop, Tesla pointed to a hit from the production ramp-up of an updated Model 3 at its California factory and plant shutdowns due to shipping diversions caused by the Red Sea conflict, as well as the attack on Gigafactory Berlin. Financial services firm Morningstar said the decline also “points to a slowdown in demand for Tesla’s vehicles, as the company’s competitors, particularly in China, may have cut prices more than Tesla to win consumers”. Analysts have been girding for a tough first quarter for the high-flying Tesla, which has reportedly cut production in China in the face of the rise of BYD and other Chinese automakers. At the same time, an increase in EVs in other markets including the United States has led Tesla to enact price cuts, dimming the company’s profit outlook. “While we were anticipating a bad 1Q, this was an unmitigated disaster,” said Wedbush analyst Dan Ives. “We view this as a seminal moment in the Tesla story for Musk to either turn this around and reverse the black eye 1Q performance. “Otherwise, some darker days could clearly be ahead that could disrupt the long-term Tesla narrative.” Elsewhere, General Motors reported a 1.5% dip in first-quarter US deliveries. But the firm pointed to continued strong customer demand for its vehicles, with its incentives trending below the industry average. While overall EV sales fell compared with the year-ago period, General Motors described its ramp-up as “on track”, with deliveries of its Equinox EV beginning to ship to dealers in the first half of this year. Targeted at middle- and working-class consumers, the Equinox is being closely watched as a barometer of mainstream US demand for EVs. The first available versions of the model will start at US$43,295, with the lowest priced option around US$35,000 available later in 2024, according to Chevy. The average EV was priced at US$52,314 in February, according to Kelley Blue Book. The Equinox will also qualify for a federal US$7,500 US tax credit. At Toyota, US auto sales for the quarter jumped 20.3% to 565,098. The Japanese giant scored broad-based gains across its nameplate and Lexus luxury brand thanks to a much-improved inventory situation. Similarly, Honda, which also experienced vehicle shortages in the 2023 period, won a 17.3% increase in US quarterly sales to 333,824. Cox Automotive chief economist Jonathan Smoke described the macro environment as “mixed”, noting that some potential car consumers may hold off on purchases if they expect the US Federal Reserve to cut interest rates later this year. “It’s not bleak, but it’s not trending positively for consumer spending to improve in the near term,” Smoke said on a conference call last week. – AFP Biden airs concern to Xi on China TikTok ownership WASHINGTON: President Joe Biden told his counterpart Xi Jinping on Tuesday that the US wants a change of ownership of TikTok, as Congress debates banning the blockbuster app unless it separates from its Chinese owners. “The president reiterated our concerns about the ownership of TikTok,” National Security Council spokesman John Kirby told reporters after a wide-ranging telephone call between the two leaders. “He made it clear to President Xi that this was not about a ban of the application, but rather our interest in divestiture, so that the national security interest and the data security of the American people can be protected.” Western officials have voiced alarm over the popularity of TikTok with young people, alleging that it is subservient to Beijing and a conduit to spread propaganda, claims denied by the company and Beijing. The US House of Representatives last month overwhelmingly approved a bill that would force TikTok to divest from Chinese parent company ByteDance or face a nationwide ban. Biden has supported the effort even though his campaign has turned to TikTok to reach young voters. The bill faces less certain prospects in the Senate, with some members saying that the United States is overstepping its authority on civil liberties and business ownership. Biden’s election rival Donald Trump has also voiced unease, even though he is usually eager to denounce China. – AFP oAnalyst calls it ‘unmitigated disaster’, warns of darker days ahead
BIZ & FINANCE BIZ & FINANCE THURSDAY | APR 4, 2024 18 @thesundaily FOLLOW ON TWITTER Malaysian Paper Turkish inflation inches up to 68.5% ANKARA: Price growth in inflation-plagued Turkiye gathered pace last month, rising to 68.5% year-on-year, the country’s statistics agency TUIK said yesterday. The increased reading followed a Sunday municipal election drubbing for President Recep Tayyip Erdogan’s party that many blamed on the out-of-control cost of living. Last month, the cost of education, health, transport and food showed the biggest increases, after inflation reached 67.07% in February, TUIK said. But ENAG, a group of independent economists, said their own calculations put the year-on-year figure at almost 125%. Pointing to slowing month-on-month inflation in the official data, at 3.16% rather than February’s 4.53%, Finance Minister Mehmet Simsek wrote that “monthly inflation decreased in line with our forecast”. Following a return to orthodox central bank policy, with the headline interest rate having been raised to 50%, the government has also vowed to control spending to brake activity and inflation. “All these developments will anchor inflation expectations and support the disinflation process,” Simsek said. “We will do whatever is necessary until we reach our goal of price stability, which is our top priority.” – AFP Petrobras subsidiary pushes for renewables in terminals RIO DE JANEIRO: Transpetro, the logistics arm of Brazil’s state-run oil firm Petrobras, is analysing projects to supply all its 48 terminals with renewable energy, the subsidiary’s director of ducts and terminals Marcio Guimaraes said, ahead of the inauguration of a solar plant in Sao Paulo state this week. The plant, set to be operated by Transpetro, will supply enough energy to Brazil’s national grid to account for all operations at Transpetro’s terminal in Guarulhos International Airport, said Guimaraes. “We don’t want just one to use as an example,” Guimaraes told Reuters. “We do have solutions being analysed, being studied, for each of our units.” Petrobras has put a big bet on renewables as part of its plan to shift from an oil company to an energy firm, in line with President Luiz Inacio Lula da Silva’s wish to kickstart Brazil’s energy transition. Transpetro invested 12 million reais (RM12.1 million) in the Guarulhos project, and this year is set to start another one in the firm’s Coari Waterway Terminal, in Amazonas state, to be completed sometime next year. Coari ships oil from Petrobras’ Urucu onshore oil and gas cluster in Amazonas. The firm is set to use solar and hydro power generation supported by the use of batteries in Coari, Guimaraes said. – Reuters ECB needs to stop subsidising banks, says council member VIENNA: The European Central Bank (ECB) needs to stop subsidising commercial banks and should cut interest payments on the piles of cash lenders got from the central bank on the cheap, Austrian central bank governor Robert Holzmann said. Commercial banks are sitting on €3.2 trillion (RM16.4 trillion) worth of excess liquidity, parking this at the ECB at a 4% rate, pushing the ECB and many of the euro zone’s national central banks deep into the red. “There’s no monetary policy reason why we should offer this subsidy,” said Holzmann, who also sits on the ECB’s 26-member Governing Council. “It’s not acceptable that the current structure puts major burden on the financial outcomes of central banks,” Holzmann told Reuters in an interview. “We cannot run deficits without an end in sight, it can’t be the case.” At the core of the issue is the ECB’s large scale money printing operation, also known as quantitative easing, which was the hallmark of its stimulus efforts over the past decade. The ECB printed trillions of euros to buy government bonds in the hope that abundant and cheap credit would rekindle economic growth and push inflation back up to 2%. When interest rates were negative, this had little cost to the ECB but it must now pay a 4% interest rate on the funds it handed to lenders and this expense far outweighs any income. Since it will take years for the bond pile to shrink, the payments are likely to remain a long-term expense and some central banks could burn through most if not all profit reserves. Partly as a response, the ECB last year decided to require banks to keep 1% of excess reserves at the central bank unremunerated. Some policymakers, including Bundesbank President Joachim Nagel, pushed for a higher ratio, but failed to garner support, even as the German central bank had a net interest income of negative €13.9 billion last year. Holzmann said he was not ready to give up this fight and wanted to cut payments to banks. “For me, the discussion is certainly not settled,” he said, arguing that unremunerated reserves should be between 5% and 10%. “For me, it’s a way of a clawback,“ Holzmann said. – Reuters German family businesses desperately seeking buyers BERLIN: The Scharringhausen deli has been selling fine foods and wines in northern Germany for 160 years, but its future is in doubt as it struggles to find a buyer to take over the business. Juergen Scharringhausen, who is in his 70s, has been trying to sell the family business in Bremen on the banks of Weser River for almost two years, but has yet to receive a serious offer. Many owners of small and medium-sized enterprises (SMEs) in Germany are in a similar position, thanks to the double burden of an ageing population and a stagnating economy. “Anyone with ideas and a love of food would be welcome,” Scharringhausen told AFP. “If nothing comes of it, I’ll have to close down,” said Scharringhausen, wearing a black apron embroidered with a champagne label, alongside his wife Simone. The delicatessen, founded by his great-great-grandfather, offers fine products from around the world, with two fish and deli counters, a wine cellar and a 25-seat bistro area. Including catering services and online sales, the business generates €500,000 (RM2.6 million) in annual sales, with four employees and occasional reinforcements. According to a recent study by Commerzbank, one in three German companies with annual sales of up to €15 million are currently struggling to find buyers. Up to 250,000 businesses could be forced to shut down over the next five years, said Christian Erbe, president of the local chamber of commerce in Baden-Wuerttemberg state. There is currently an average of only one candidate for every three businesses in need of new owners, according to the national association for the German chambers of commerce (DIHK). In the hotel and catering sector, it is one candidate for every seven businesses. “The problem of business succession has become much worse,” said Karsten Nowak, director of the Bremen chamber of commerce. In the small German city-state, 59 out of every 1,000 businesses will be looking for a new owner between 2022 and 2026 – the highest proportion of any of Germany’s 16 states, according to IfM research institute for SMEs in Bonn. The problem is the same demographic Scharringhausen and Simone posing for photos at the fish counter of their delicatessen. – AFPPIC oCountry hit by double burden of ageing population and stagnating economy trend that is currently leading to a shortage of skilled workers in Germany: with the baby boomer generation entering retirement, there are “not enough candidates between the ages of 18 and 40 to take over established businesses”, Nowak said. Another issue is that younger workers tend to prefer salaried jobs with “flexible working hours and a good work-life balance”, according to Erbe. Scharringhausen took over the family business in 1987, the year his daughter was born. Now a buyer in a large commercial group, she will not be taking over. Entrepreneurial culture is still “rarely taught in schools, except from a critical angle”, Nowak believes. The volatility of the economy is also putting off potential buyers, who are reluctant to take on the long-term debt needed for an acquisition in an uncertain climate, he said. Entrepreneurs struggling to sell their businesses blame “over-regulation, the future of the economy and energy costs” for the lack of candidates, said Detlef Schmidt-Schoele, in charge of successions at the Thuringia chamber of commerce. The government has attempted to address the problem by launching a website to link businesses with potential new owners, overseen by the Economy Ministry. There are thousands of adverts on the site from all over Germany: a car parts manufacturer in Baden-Wuerttemberg, a mechanical engineering company in Lower Saxony, a timber merchant in Thuringia. Many of them are family-run businesses. A survey of German family-run SMEs published by Ifo last year found that 42% of respondents had not yet found a family member to take over. – AFP
BIZ & FINANCE BIZ & FINANCE THURSDAY | APR 4, 2024 19 STOCKS CLOSING (RM) +/- (RM) VOLUME (’00) DLADY 32.64 -0.86 788 UTDPLT 23.2 -0.44 11,798 AMWAY 7.1 -0.35 1,680 HSI-HS7 0.395 -0.315 200 PETDAG 22.02 -0.26 2,425 HLBANK 19.32 -0.24 5,451 HLFG 16.72 -0.18 996 CHINHIN 4.45 -0.14 2,291 TENAGA 11.3 -0.14 55,317 GESHEN 3.75 -0.13 2,385 SP500-C38 0.68 -0.13 10 MAYBANK 9.62 -0.11 177,116 BIPORT 5.7 -0.1 113 CIMB 6.56 -0.1 121,896 GCB 2.37 -0.1 81,858 METROD 1.25 -0.1 13 NVIDIA-C1 4.5 -0.1 151 SPRITZER 2.18 -0.1 2,936 IDEAL 3.21 -0.09 1,126 VELESTO-C38 0.06 -0.09 550 STOCKS CLOSING (RM) +/-(RM) +/-(%) VOLUME HSI-CVE 0.12 -0.045 -27.27 2,475,611 ZENTECH-WB 0.005 - - 1,914,044 HSI-HSL 0.055 +0.010 +22.22 1,639,653 SNS 0.37 +0.040 +12.12 1,178,107 ZENTECH 0.02 +0.005 +33.33 1,135,063 HSI-HUE 0.165 +0.025 +17.86 979,156 VELESTO 0.295 -0.005 -1.67 934,673 HSI-HSY 0.19 +0.035 +22.58 788,833 ARMADA 0.595 +0.015 +2.59 633,294 GLXT 0.24 +0.040 +20.00 540,297 WIDAD 0.07 -0.01 -12.50 455,412 NCT 0.545 +0.035 +6.86 428,721 SCBUILD 0.015 - - 417,175 HSI-CVB 0.13 -0.04 -23.53 396,697 SMTRACK 0.045 - - 374,455 BPURI 0.08 - - 371,638 HSI-CTP 0.055 -0.02 -26.67 359,187 EPICON 0.48 +0.025 +5.49 335,579 MYEG 0.785 -0.005 -0.63 332,998 MMAG 0.19 +0.005 +2.70 331,238 SUNBIZ presents a summary of the day’s trading activity on Bursa Malaysia and other markets in an easy to digest format. MARKET ROUND-UP: APRIL 3 [ Sources: Bursa Malaysia, Bernama, shareinvestor.com and websites DISCLAIMER: The data and reports are provided as a service to investors. Sun Media Corporation Sdn Bhd shall not be liable or responsible for any consequences resulting from usage of the information. INDEX CHANGE FBMEMAS 11,584.77 -55.69 FBMKLCI 1,537.01 -10.98 CONSUMER PRODUCTS 579.46 -0.24 INDUSTRIAL PRODUCTS 179.91 +0.07 CONSTRUCTION 222.57 +1.50 FINANCIAL SERVICES 17,151.85 -208.50 ENERGY 966.04 +9.12 TELECOMMUNICATIONS 593.14 -0.61 HEALTH CARE 1,976.07 -3.17 TRANSPORTATION 1,008.03 +6.17 PROPERTY 996.64 -5.88 PLANTATION 7,311.16 +0.51 FBMSHA 11,713.83 -20.12 FBMACE 4,954.75 +6.95 TECHNOLOGY 64.90 -0.14 TURNOVER: 4.266 bil VALUE: RM2.877 bil Top 20 Actives Top 20 Losers (By RM) Bursa Indices INDEX CLOSING DAILY DAILY CHANGE CHANGE (%) DJIA (US) 39,170.24 -396.61 -1 S&P 500 (US) 5,205.81 -37.96 -0.72 NASDAQ (US) 16,240.45 -156.38 -0.95 NYSE (US) 18,107.53 -108.66 -0.6 EURO STOXX 50 (EUR) 5,065.86 23.86 0.47 FTSE 100 (UK) 7,902.67 -32.42 -0.41 DAX (GER) 18,344.04 60.91 0.33 NIKKEI 225 (JPN) 39,451.85 -387.06 -0.97 TOPIX INDEX (JPN) 2,706.51 -7.94 -0.29 HANG SENG INDEX (HK) 16,725.10 -206.42 -1.22 CSI 300 (CHN) 3,567.80 -12.88 -0.36 MSCI ASIA PACIFIC 175.65 -1.23 -0.7 SHANGHAI SE COM (CHN) 3,069.30 -5.66 -0.18 KOSPI INDEX (SK) 2,706.97 -46.19 -1.68 SENSEX INDEX (IND) 73,912.63 8.72 0.01 ASX 200 (AUS) 7,782.54 -105.33 -1.34 ALL ORDINARIES INDX (AUS) 8,033.60 -112.18 -1.38 FBM KLCI 1,537.01 -10.98 -0.71 STRAITS TIMES INDEX (S’PORE) 3,222.66 -25.06 -0.77 WTI (US$/BBL.) 85.37 0.22 0.26 BRENT (US$/BBL.) 89.21 0.29 0.33 GOLD (COMEX) (US$/T OZ) 2,291.30 9.5 0.42 SILVER (COMEX) (US$/T OZ) 26.41 0.49 1.88 PLATINUM (US$/T OZ) 923.58 -1.39 -0.15 COPPER (COMEX) (US CENTS/LB.) 407.6 0.55 0.14 COPPER 3MO (LME) (US$/MT) 8,991.00 124 1.4 CORN (US CENTS/BU.) 426.75 0.25 0.06 WHEAT (US CENTS/BU.) 543.25 -2 -0.37 SOYBEAN OIL (CBOT) (US CENTS/LB.) 48.98 0.38 0.78 COCOA (ICE) (US$/MT) 9,910.00 -39 -0.39 RUBBER (S’PORE) (US CENTS/KG) 163.2 -0.9 -0.55 World Stocks/Commodities as at 5pm, April 3 STOCKS CLOSING (RM) +/- (RM) VOLUME (’00) HIBISCS-C54 0.01 -75.00 1,000 VELESTO-C38 0.06 -60.00 550 AZRB-WA 0.01 -50.00 149,556 KGROUP 0.005 -50.00 1,212 MNC-WB 0.005 -50.00 17 MOBILIA-WA 0.005 -50.00 261 BYD-C27 0.025 -44.44 150 HSI-HS7 0.395 -44.37 200 HSI-CTL 0.04 -38.46 99,674 MBSB-C67 0.095 -36.67 100 COMPUGT 0.01 -33.33 2 GENM-C2L 0.02 -33.33 5,002 HSI-CTO 0.02 -33.33 1,450 PARAMON-WA 0.01 -33.33 926 PBBANK-C1A 0.02 -33.33 503 PUC-WA 0.01 -33.33 950 RADIUM-CB 0.03 -33.33 2,000 XOX 0.01 -33.33 8,961 MRDIY-C23 0.095 -32.14 11,930 GCB-C4 0.05 -28.57 32,050 Top 20 Losers (By %) STOCKS CLOSING (RM) +/- (RM) VOLUME (’00) NESTLE 120 +0.900 743 MSM 3.61 +0.340 49,242 F&N 30.3 +0.200 1,989 MPI 32 +0.200 2,573 MSM-CQ 1.06 +0.185 94 PANAMY 19.24 +0.160 1,626 PETGAS 18 +0.160 11,680 AWC 0.82 +0.155 316,070 MSM-CN 0.8 +0.140 1,675 MSM-CO 0.985 +0.130 300 AIRPORT 9.75 +0.110 61,692 CHGP 1.7 +0.100 26,078 MBMR 4.74 +0.100 11,025 THETA 1.3 +0.100 91,731 PMETAL 4.77 +0.090 45,854 VSTECS 2.7 +0.090 12,970 BKAWAN 19.88 +0.080 31 LGMS 1 +0.080 22,779 MSM-CR 0.645 +0.075 50 DAYANG 2.47 +0.070 64,183 Top 20 Gainers (By RM) STOCKS CLOSING (RM) +/- (RM) VOLUME (’00) ARMADA-C87 0.025 +150.00 19,644 CMSB-C45 0.035 +133.33 4,520 KAREX-C14 0.035 +133.33 140 ASTRO-C58 0.01 +100.00 600 BORNOIL 0.01 +100.00 70,697 EDUSPEC-WB 0.01 +100.00 3,000 FINTEC 0.01 +100.00 1,116 PNEPCB-WA 0.01 +100.00 1,319 PETROCH-CM 0.16 +68.42 202 PMETAL-C93 0.025 +66.67 6,880 AT-WC 0.09 +63.64 124 BCMALL 0.015 +50.00 85 CLASSITA-WC 0.015 +50.00 5,457 PMETAL-C98 0.035 +40.00 50 SCOMNET-CA 0.035 +40.00 200 VS-C82 0.095 +35.71 1,109 ZENTECH 0.02 +33.33 1,135,063 HARTA-C2A 0.19 +31.03 16,980 HARTA-C1Z 0.085 +30.77 650 PETGAS-C3 0.065 +30.00 448 Top 20 Gainers (By %) 1,537.01pts April 3, 2024 Bursa eases on negative cues from Wall Street BURSA Malaysia drifted lower yesterday, snapping a three-day winning streak, taking cues from the negative developments on Wall Street overnight, said an analyst. At 5pm, the FBM KLCI shed 10.98 points, or 0.7%, to 1,537.01 from Tuesday’s close of 1,547.99. The benchmark index opened 0.70 of-a-point easier at 1,547.29 and moved between 1,537.01 and 1,548.42 throughout the trading session. On the broader market, decliners beat gainers 593 to 480, with 487 counters unchanged, 734 untraded, and 13 others suspended. Turnover widened to 4.26 billion units worth RM2.87 billion compared with 4.15 billion units valued at RM2.81 billion on Tuesday. Apex Securities Bhd head of research Kenneth Leong said the weakness also came in due to profit-taking activities following the past sessions of gains as weakness was evident in the majority of the banking heavyweights. Among the heavyweights, MRDIY eased 3 sen to RM1.48, Public Bank dropped 7 sen to RM4.16, CIMB was down by 10 sen to RM6.56, Axiata declined 4 sen to RM2.63 and Telekom Malaysia slid 8 sen to RM6.02. On the most active stocks list, SNS Network was 4 sen firmer at 37 sen, Zen Tech rose half-a-sen to 2 sen, Velesto reduced half-a-sen to 29.5 sen and Bumi Armada added 1.5 sen to 59.5 sen. On the index board, the FBM Emas Index was 55.69 points weaker at 11,584.77, the FBMT 100 Index decreased 59.10 points to 11,221.82, and the FBM Emas Shariah Index trimmed 20.12 points to 11,713.83. – Bernama Participation 20.76 43.86 35.38 100.0 Retail Institutions Foreign Bought RM m 592.82 1393.16 891.27 2877.25 Sold RM m 601.94 1130.69 1144.62 2877.25 Net RM m -9.12 262.47 -253.35 0.0 % Preliminary stats (excluding trade amendments). For final data, please refer to www.bursamalaysia.com Source: Bursa Malaysia A Participating Organisation of Bursa Malaysia Securities Berhad A Trading Participant of Bursa Malaysia Derivatives Berhad S E C U R I T I E S S D N. B H D. 197201001092 (12738-U) 3/4/2024
BIZ & FINANCE BIZ & FINANCE THURSDAY | APR 4, 2024 20 MARKETS/FROM THE BROKERS SUNBIZ presents extracts of a selection of commentaries and research reports received from stockbrokers on counters that could be of interest to investors. [ Compiled by SunBiz Team DISCLAIMER: The information is extracted from stockbrokers’ commentaries and research reports and do not represent the views or opinions of Sun Media Corporation Sdn Bhd. It is not a solicitation, recommendation or an offer to buy or sell the equities featured. Sun Media Corporation shall not be liable or responsible for any consequences resulting from usage of the information. THE MPM segment’s medium-term outlook remains positive. We understand that its new surimi processing plant in Indonesia is undergoing trial runs at present, and will start to positively contribute to group earnings from FY25E onwards, with a timeline of 3-5 years to hit full capacity. In the shorter-term however, surimi ASPs may be suppressed due to lower fish catch and ongoing price pressure from heightened global competition. Family Mart’s new store opening plans of between 60-80 stores p.a. is intact (Q3’24: 385 stores). QLG aims to reach 396 stores by end-FY24E and targets the Northern and East Coast regions for new store openings (targeting 600 stores by FY27). Recent calls for boycotts have adversely impacted Family Mart’s sales by 10%. Coupled with the Ramadan period, QLG’s CVS segmental sales could be weaker in Q4’24. Note that 4% of Family Mart stores are located in the “Green States” where the other retailers have experienced the brunt of boycotts. As a leading agro-food organisation, QLG’s main ESG concern lies in its GHG emissions, waste management and health & safety of its products. The group is cognisant of its main emission contributors and is working on developing strategies to reduce its total GHG emissions through investments in solar energy and other renewable energy sources. QLG has stringent biosecurity measures in place to prevent pathogens from entering its poultry farms. High quality of its food products are also ensured by adhering to international food safety standards and obtaining all required industry certifications. Maintain BUY with an unchanged DCF-TP of RM6.80. WITH two consecutive years of profits surpassing AWC’s, the full acquisition of Stream (from 51% owned) ensures complete profit consolidation, elevating the green division as AWC’s leading profit generator (65.5% of FY25F core profit). Positioned as the world’s leading AWCS provider, Stream is set to capitalise on global trends towards smart cities and cleaner living environments, benefitting from favourable government policies and increased global adoption of AWCS (2024-2030 CAGR: 10.3%). Stream’s state-ofthe-art AWCS promotes green technology and fosters environmental sustainability by reducing carbon emissions, conserving energy, and minimising waste generation. AWC’s subsidiary Ambang Wira strategically diversified its revenue from 90% concession earnings in FY2004 to 42% in FY23, driven by its non-concession integrated facilities management (IFM) contracts across commercial, healthcare, and academic sectors. Notably, it strengthened its presence in hospital support services (HSS), serving major healthcare institutions. Moving forward, it aims to secure more high-margin healthcare contracts. Stream, as well as AWC’s engineering division – specialising in plumbing services in Malaysia and mechanical & engineering services in Singapore – should benefit from developments in the construction and property sectors. The rail division, bolstered by its strong track record, stands to gain from the revival of major infrastructure projects in Malaysia. With an outstanding orderbook of RM767 million and substantial tenderbook of RM1.2 billion as of Jan 1, AWC enjoys strong earnings visibility and growth prospects. RM1.06 FV implying 12x FY25F (June) P/E. NOT RATED. WE project tourist arrivals of 27 million in CY24, up 35% from 20m in CY23 and surpassing 26.1 million in CY19 before the pandemic, backed by higher demand for both business and leisure air travel. The number is consistent with Tourism Malaysia’s target of 27.3 million. A key driver is Chinese tourists that historically contributed to about 12% of total tourist arrivals in Malaysia. Also helping, is a 30-day visa-free arrangement for Chinese and Indian visitors to Malaysia starting from Dec 2023. We project AIRPORT’s system-wide passenger throughput to rise by 7% to 131 million in CY24. The group is optimistic that resurgence in passenger numbers and connectivity, expected to be driven by the introduction of new airlines and services at key airports including Kuala Lumpur International Airport, Penang, Kota Kinabalu and Langkawi. Amplifying the positive outlook is the latest airlines’ seat capacity for 2024 showing an anticipated 13% increase over 2023, underpinned by the visa-free entry for Chinese and Indian passengers expected to boost for traffic recovery, particularly in the Northeast Asia Region. The Malaysian Aviation Commission (Mavcom) recently announced the revisions to the Passenger Service Charges (PSC) for the First Regulatory Period, with effect from June 1, 2024 to Dec 31, 2026. Specifically, the PSC rates are for international travel i.e. Asean and beyond Asean. PSC have been standardised into a single international departure of RM73 per pax for KL International Airport (KLIA) Terminal 1, and RM50 per pax for KLIA Terminal 2 and other airports. We maintain our NEUTRAL view on the sector. FOREIGN CURRENCY SELLING TT/OD BUYING TT BUYING OD 1 US Dollar 4.8150 4.6820 4.6720 1 Australian Dollar 3.1550 3.0310 3.0150 1 Brunei Dollar 3.5640 3.4620 3.4540 1 Canadian Dollar 3.5480 3.4530 3.4410 1 Euro 5.1960 5.0300 5.0100 1 New Zealand Dollar 2.8840 2.7800 2.7640 1 Singapore Dollar 3.5640 3.4620 3.4540 1 Sterling Pound 6.0650 5.8780 5.8580 1 Swiss Franc 5.2910 5.1710 5.1560 100 UAE Dirham 132.7600 125.9300 125.7300 100 Bangladesh Taka 4.4740 4.1830 3.9830 100 Chinese Renminbi 67.0800 64.2700 N/A 100 Danish Krone 71.4100 65.7500 65.5500 100 Hongkong Dollar 62.2200 59.1500 58.9500 100 Indian Rupee 5.8800 5.5200 5.3200 100 Indonesian Rupiah 0.0314 0.0284 0.0234 100 Japanese Yen 3.1850 3.0850 3.0750 100 New Taiwan Dollar N/A N/A N/A 100 Norwegian Krone 45.6300 42.0000 41.8000 100 Pakistan Rupee 1.7600 1.6600 1.4600 100 Philippine Peso 8.6900 8.1900 7.9900 100 Qatar Riyal 133.6500 126.8800 126.6800 100 Saudi Riyal 129.9300 123.3500 123.1500 100 South Africa Rand 26.5800 24.0000 23.8000 100 Sri Lanka Rupee 1.6500 1.5200 1.3200 100 Swedish Krona 46.2500 42.1500 41.9500 100 Thai Baht 13.7500 12.2000 11.8000 Exchange Rates Source: Malayan Banking Bhd/Bernama Ringgit ends lower despite US dollar’s slip THE ringgit slipped against the US dollar at close yesterday despite the greenback’s retracement against major currencies, said an analyst. At 6pm, the ringgit eased to 4.7545/7575 against the US dollar from Tuesday’s close of 4.7515/7535. SPI Asset Management managing director Stephen Innes said that while the US Dollar Index (DXY) has temporarily eased back from the significant technical level of 105, benefitting the European and high-yielding currencies, low-yielding Asian foreign exchange, such as the ringgit, continues to face challenges amid higher US yields. “Following stronger-than-expected US jobs data, the 10-year US yields surged to 4.4% overnight. There might be a slight reduction in risk appetite ahead of Friday’s non-farm payrolls report, leading to some consolidation around the 4.75 level for the ringgit,” he told Bernama. At the close, the ringgit was also traded lower against a basket of major currencies. It depreciated against the euro to 5.1192/1224 from 5.1036/1057 at Tuesday’s close, weakened vis-a-vis the British pound to 5.9769/9807 from 5.9717/9742, and was easier versus the Japanese yen at 3.1329/1351 from 3.1326/1339 previously. The ringgit was traded mostly higher against Asean currencies except for the Singapore dollar. The local note was higher versus the Thai baht to 12.9519/12.9653 from 12.9659/12.9771 on Tuesday and improved vis-a-vis the Indonesian rupiah to 298.6/298.9 compared to 298.9/299.1 previously. It was also better versus the Philippine peso at 8.42/8.43 from 8.43/8.44 at yesterday’s close but slipped against the Singapore dollar to 3.5159/5183 from 3.5134/5151 previously. Keyfield targets RM188m from IPO, eyes deals with shipyards KUALA LUMPUR: Keyfield International Bhd (Keyfield) may enter into shipbuilding contracts with suitable shipyards to build new accommodation vessels, apart from acquiring completed vessels that are available in the market, according to Public Investment Bank (Public IB) in an initial public offering (IPO) note on the company. The research house said the shipbuilding contracts allow for vessels with specific features tailored to charterers’ needs such as hybrid engines, higher capacity main cranes, more accommodation rooms, and environmentally friendly designs. It noted that Keyfield expects to acquire a newly built accommodation vessel over the next two years upon listing. Keyfield, which is involved in chartering accommodation vessels, is looking to raise about RM188 million from its IPO via the issuance of 209 million new ordinary shares at an issue price of 90 sen per share. The group is scheduled to be listed on the Main Market of Bursa Malaysia on April 22 and under the IPO listing, the group’s market capitalisation is RM720 million. As of Feb 29, Keyfield owns 11 accommodation vessels, of which eight are accommodation work boats (AWBs), two are smaller accommodation vessels and one is an accommodation work barge. The group primarily charters accommodation vessels for the upstream oil and gas (O&G) industry, serving customers such as Petronas Carigali Sdn Bhd, petroleum arrangement contractors, O&G contractors and offshore support vessel owners. For the industry outlook, Public IB said the AWB chartering market size in Malaysia is forecast to register a compound annual growth rate of 6% between 2024 and 2026. – Bernama Aviation Neutral AWC Bhd Not Rated. Fair Value: RM1.06 QL Resources Bhd Buy. Target price: RM6.80 Source: Maybank Investment Bank Source: RHB Research April 3, 2024: RM0.82 Source: Kenanga Research April 3, 2024: RM6.00 April 2, 2024: RM0.81
LYFE LYFE THURSDAY | APR 4, 2024 22 /thesuntelegram FOLLOW ON TELEGRAM Malaysian Paper oThe inspiring journey of Ida Faizura I DA Faizura Megat Muhaiyadin, a woman whose journey from law to entrepreneurship epitomises strength, determination and the pursuit of passion. In an interview with theSun, Ida opens up about her diverse background, the challenges she faced and the transformative power of embracing change. Finding the right fit Ida’s journey traces back to her upbringing, where education and ambition were instilled as core values. “Growing up in Kuala Lumpur, I was the second child in a family of six. My parents prioritised my education, ensuring I received excellent schooling and acquired the necessary knowledge for a prosperous future career,” she reminisces. After pursuing her legal studies at the University of Wales, Aberystwyth, Ida embarked on what seemed like a conventional career path in law. However, after five years in the legal field, she found herself at a crossroads. “The relentless hustle of legal practice left me feeling tired and exhausted, making me question if it was the right fit for me,” she shares. Leap of faith It was during a vacation in Bali that Ida’s entrepreneurial spirit was sparked. “Being young and adventurous, my husband and I decided to take up the journey of entrepreneurship after discovering a local fashion brand,” she recalls. Thus, their foray into the fashion industry began, culminating in the establishment of three successful boutiques. However, adversity struck in 2015 with a financial crisis that led to the closure of their fashion business. “Everything changed when we faced a financial crisis. Not only did my career suffer, but my third child was also diagnosed with autism.” In the face of these challenges, Ida found solace and inspiration in the kitchen. Discovering culinary passion “Cooking and experimenting with various dishes have always been hobbies of mine,” she shares. Motivated by a desire to provide a better life for her family, Ida turned her culinary passion into a lifeline, kickstarting her catering business Jua Bake & Cook. Drawing from her experiences in law and the fashion industry, Ida understood the importance of financial prudence and adaptability in sustaining a business. “Previous business closure taught me to manage costs and make wise decisions to avoid financial crises,” she acknowledges. Seeking guidance However, navigating the complexities of the food industry presented its own set of challenges. “After experiencing setbacks in previous business ventures, I found myself lacking the confidence and courage to explore new opportunities,” the 48-year-old admits. It was at this juncture that she sought guidance from mentors and industry experts. Participation in programmes like Programme Mentor Wanita Cukup Berani Maggi provided Ida with invaluable insights and support. “Through this initiative, I sought valuable guidance from mentors Anne Idris and Sheila Rusly to advance my career in the food industry. “The programme provided me with the courage and ambition to face crowds and pursue opportunities to grow my business,” Ida made the switch in careers after finding herself drained from the relentless pace of being a legal eagle. – ALL PICS COURTESY OF IDA FAIZURA MEGAL MUHAIYADIN █ BYTHASHINE SELVAKUMARAN Ida believes success has no limits. Ida aims to inspire and motivate other women with her entrepreneurial journey. Ida is grateful to her husband Izard Azman for his constant encouragement in her every step. From legal practice to culinary passion she explains. Harnessing the power of social media Social media emerged as a vital tool in Ida’s entrepreneurial journey, particularly Instagram. “Instagram has become a vital platform for connecting my recipes with customers,” she emphasises. Leveraging the platform’s reach, she cultivated a strong online presence, showcasing her culinary creations and engaging with customers. Reflecting on her journey, the Kuala Lumpur-native acknowledges the role of determination in overcoming adversity. “The determination to provide a better life and serve as a role model for my children has always been a driving force for me. Understanding the responsibility of providing for my family and being a source of strength for my children, I strive to demonstrate resilience and perseverance in the face of adversity.” Looking ahead, Ida is optimistic about the future of her catering business. “I aim to enhance my content creation skills to effectively utilise social media for expanding my business and reaching a broader audience. “I hope that this assistance contributes to the growth of my business, particularly as I plan to use this opportunity to establish a platform for my third child to launch her career at a young age,” she shares. As she continues to carve her path in the culinary world, her story serves as an inspiration to aspiring entrepreneurs everywhere. Follow Ida’s culinary journey on Instagram @juacooknbake.
LYFE LYFE THURSDAY | APR 4, 2024 23 lifestyle on YouTube, but he had no clue on how to start. After undergoing a steep learning curve, Dave started to post videos in 2020. And the rest is history. Much to his surprise, the easy and simple recipes posted on his social media channels gained followers from all over the world. Dave became immensely popular, receiving praise from all corners of the globe for his clever alternative ingredients, creative recipes, tips and presenting vegan versions of favorite Malaysian dishes without compromising taste. For example, his vegan Nasi Kerabu is a big hit among locals, with some saying it tastes better than the original meat version. All his recipes use local ingredients that are easily sourced and affordable for people from all walks of life. “My content revolves around vegan food, vegan travel and a vegan lifestyle. In terms of vegan food, I share recipes and give alternatives. For example, an alternative to cow’s milk is almond, cashew or walnut milk. “I will (provide information) on where to get ingredients and what you can get as alternatives or what alternative items to use in the cooking, such as vegetarian belacan.” Dave shares tips on how a vegan could travel and find food options easily, debunking the myth that vegans cannot get meals while travelling. He also speaks passionately about the vegan lifestyle, which is about activities, clothing, personal care products and cosmetics that are not derived from animals or involve the suffering of other species. Advocating veganism According to Dave, veganism is not associated with any religion, and the core ideology of veganism is avoiding the exploitation of animals. “We are basically brainwashed and made to believe that at every meal, we must have protein, at least one piece of chicken, or fish. But we can have tofu, dhall or chickpeas, which are all available in Malaysia, that are cheap and nutritious. The alternative source for animal protein are soy, legumes, lentils, nuts, seeds and tempeh.” Vegans abstain from meat, dairy, honey and any animal-based products such as cheese and butter and also avoid using leather products such as shoes, bags, belts and leather furniture and car seats. “My aim is not to convince people to become vegan, but to inspire those who are ready to (adopt this lifestyle), and show them it is possible. “I am not telling others what diet they should follow. That decision should come from inside each of them, on their own. They should discover the reason or have a turning point in life to become a vegan.” Dave’s social media channels serve as a guide and he provides information not just to vegans but vegetarians and those with health issues. “I don’t want them to lose the flavour of Malaysia and I want them to continue enjoying Malaysian food.” A new challenge Starting on social media was not easy for Dave, who had previously worked at the Shangri-La Hotel and on the Disney Cruise Line. “I would say from the beginning, I learned through trial and error. I realised I had to be consistent in producing videos. It went from zero to 30,000 subscribers within a year, with my live streaming sessions being the most engaging.” In the second year, something special happened when Dave was stir-frying Mee Goreng Mamak on a live session. Usually, he would draw about 200 to 300 viewers. But on that episode, there were over 3,000 people watching. “I could not believe it. But with that particular video, in just one night, my video reached one million views and drew 100,000 subscribers.” Since then, Dave has focused on live sessions and his subscriber numbers have grown tremendously. Last year, he launched Project 365, challenging himself by posting one recipe per day for the whole year. “The biggest challenge was keeping up with social media trends, which constantly changes... from short videos to long ones and then back to short videos again. But as a content creator, I keep updating myself with trends, knowledge and technology. “When you have no knowledge in the area of editing, photography or videography and solely depend on your team, you are in your comfort zone and you stop learning,” said Dave, who learned from that mistake and mastered every aspect of making, editing and posting videos. Revitalised during Ramadan For every occasion, Dave comes up with traditional vegan recipes. For Ramadan, he has been posting plant-based recipes under “Sehijau Ramadan 2.0”, an improved version of the farm-totable concept that he produced last year. “The ingredients are sourced from the farm and the video also shows to the world the life of Malaysians living in their kampung.” In these videos, a drama element was added, in which Dave plays the character of an adopted son of a Muslim parent, with messages on human values such as filial piety embedded. “I want viewers to immerse themselves in the feeling of serenity, peace and calmness. We hope people appreciate our culture and food,” said Dave, who is making plans to diversify his content in different languages, such as Mandarin, to reach a wider audience. Dave’s recipes can be viewed on Instagram @chefdave-veganjourney and his YouTube channel Chef Dave Vegan Journey. F OUR years ago, a video on animal cruelty at farms popped up on Chef Dave’s social media feed on his phone. It was a video of newly hatched male chicks being dispatched in a grinding machine, as it was not profitable to keep them alive due to low market prices at the time. Dave, whose full name is Kalidevan Murugaya, decided to stop eating eggs immediately. “I asked myself: How many eggs am I eating in a day? Why I am a part of this, which I don’t agree with? I eat eggs and I pay the industry to do this.” Two weeks later, another video popped up. This time, it was a video on the atrocities in the dairy industry, in which cows are caged in a crowded space while female cows are artificially inseminated. When the female cow delivers, its newborn calves are separated and fed a blended solution while the nutritious milk from its mother is extracted for human consumption. Newborn female calves are kept alive and when they come of age, the same artificial insemination process is repeated. Male calves are sent to the slaughterhouse for veal and their skin is processed into leather. This changed Dave’s mind completely. He recalled an advertisement for fresh milk, in which cows were living free and running around on green pastures at beautiful farms in foreign countries. But the reality was shockingly far from it. Exposed to speciesism As Dave have always stood up for social justice, he found his calling in the animal rights movement. “Animal rights just (connects) with me. If this were to happen to cats and dogs, we would definitely fight for them. If a cat is bullied or treated badly, the public would be outraged. So, why are we not fighting for chickens, goats, cows, ducks or pigs?” he said, adding that the world has accustomed itself to accepting some animals as “pets” and others as “food”. This was when he decided to learn about speciesism – prejudice or discrimination against animals based on species. “Why are we paying money every single day for the industry to do all these cruel things to farm animals?” The thought led to his “awakening”, and the journey towards embracing life as a vegan. Switching to veganism “I decided I wanted to be a vegan, but I was afraid to share my thoughts with anyone. At times, I even doubted myself, wondering what would happen if I started craving for meat. So, I learned to challenge myself. For a week, I ate vegan food. Then, I began to turn all my favourite foods to vegan (versions), replacing chicken in curries and experimenting with alternatives. “Slowly, I started learning to eat well. I was ‘surviving’ and this triggered my passion for vegan cooking even more. Now, I feel like I cook with a purpose and (hopefully) each of my recipes will save many (animals) from being killed. “The more people are inspired by my cooking and start cooking like me, the more it would help to free animals (from a brutal and premature death). This is my motivation, the symphony of a social justice movement, passion and fire in my heart and my love for cooking, fused together,” said Dave. Steep learning curve One day, a friend suggested he post videos of his Dave says his grandmother inspired him on his culinary journey. – ADIB RAWI YAHYA/THESUN Dave’s popular vegan Nasi Kerabu. █ BY S. TAMARAI CHELVI A voice for the voiceless – PICS BY CHEFFAVEVEGANJOURNEY.COM Tauhu Goreng Kunyit is another proteinheavy dish. oVegan influencer Chef Dave makes a big impact on social media with his creative, flavour-packed plant-based recipes Dave creates dishes using local produce that are easy to source. Vegan dishes are full of protein, negating the need for meat.
LYFE LYFE THURSDAY | APR 4, 2024 24 /thesundaily FOLLOW ON FACEBOOK Malaysian Paper A new chapter for Taemin SHINEE’S iconic Taemin is all set to hop on an exciting new chapter in his career as he signs an exclusive contract with Big Planet Made Entertainment, which was announced on Monday. After an illustrious 16-year journey with SM Entertainment, Taemin’s exclusive contract with his longtime agency came to an end in March. While Shinee’s group activities remain under SM Entertainment’s management, Taemin’s solo endeavours will now be guided by Big Planet Made Entertainment. In a statement, Big Planet Made Entertainment expressed their enthusiasm, highlighting Taemin’s talents as both Shinee’s main dancer and a solo artist. They pledged full support for his diverse musical ventures, aiming to bring his career to new heights and explore fresh avenues of artistic expression. Taemin, who made his debut with Shinee in 2008 and later ventured into solo territory in 2014, brings a wealth of experience and creativity to his new partnership. Notably, Big Planet Made Entertainment has an impressive roster of talents including VIVIZ, former NU’EST member Ren, Ha Sung-woon, Lee Mu-jin, Huh Gak, BE’O and more. The recent addition of comedian and broadcast personality Lee Soo-geun further solidifies the agency’s diverse and dynamic portfolio. All the best to Taemin. – by THASHINE SELVAKUMARAN Taemin made his debut with Shinee in 2008 and later ventured into solo territory in 2014. – PIC FROM INSTAGRAM @XOALSOX Lee Jae-wook and Aespa’s Karina officially split LEE Jae-wook, known for his roles in various popular dramas such as Alchemy of Soul and Extraordinary You, and Karina from the sensational K-pop group Aespa, have decided to go separate ways. Reports surfaced on Tuesday, indicating that Karina and Lee’s relationship came to an end after a mere five weeks of making it public. Confirming the news, a representative from Lee’s agency, C-JeS, stated that the decision to part ways was made by Lee to prioritise his ongoing filming project. The statement also emphasised their intention to maintain a professional relationship, describing their new status as supportive colleagues. The representative further expressed hope for continued support and affection from fans as both Lee and Karina pursue their individual endeavours. Adding to the confirmation, a representative from SM Entertainment, Karina’s agency, verified the breakup, affirming its authenticity. Previously, in February, Lee and Karina had publicly acknowledged their romantic involvement, generating significant attention and speculation within the entertainment industry and among fans alike. The duo reportedly fell in love at Prada’s fashion show in January 2024. – ALLKPOPPIC █ BYTHASHINE SELVAKUMARAN Record-breaking sale honoured TIKTOK Shop Malaysia recently entered Malaysia Book of Records for achieving the “Fastest RM1 million sales value in TikTok Shop live streaming”, all thanks to entrepreneur Khairul Aming’s spicy sauce. This was achieved during Super Brand Day and reflected TikTok Shop’s dedication to providing support and guidance to sellers and creators on its platform. TikTok Shop marketing communication, integrated marketing lead Nur Aisya Rosly said this recognition by the Malaysian Book of Records is a bonus for the company in its journey towards empowering businesses on TikTok Shop. “We intend to provide businesses of all sizes an avenue to sell and grow their brand and the opportunity to succeed, and this is a demonstration of the impact that shoppertainment has on our community. “We continue to work with creators and entrepreneurs such as Khairul Aming as they further innovate their content, offerings Khairul (left) was presented with an award at the TikTok Shop’s Mobile Truck in conjunction with the #TikTokShopBazarRaya2024. oTikToker Khairul Aming’s latest product Dendeng Nyet Berapi achieves RM1m within 3 minutes and 28 seconds, setting a new high in Malaysia and approach to digital commerce in these exciting times,” added Nur Aisya. Khairul Amin Kamarulzaman, to give him his full moniker, is a popular cooking influencer. He engages with the viewers with delicious and easy-to-do cooking videos on TikTok. On Feb 2, Khairul Aming unveiled his second product Dendeng Nyet Berapi at 9 pm, during the 2.2 Super Brand Day, an event crafted to propel the exponential growth trajectory of local businesses. The exclusive product launch held on the TikTok Shop live stream garnered the recordbreaking response with an astounding 80,000 orders placed and RM1 million in sales achieved within 3 minutes and 28 seconds. At its peak, the live stream recorded a total of over 3.3 million viewers showed Khairul Aming’s commanding presence and influential impact within the dynamic digital marketplace. “I am immensely grateful and inspired by this presentation; this is all thanks to my community, who have been the biggest supporters of everything that I have set out to do when it comes to my content. “Success does not come overnight. All the late nights, time and money spent have culminated in this, and I will continue to do my best in my content and ventures. “Thank you, TikTok Shop and my viewers for always being behind me to see many more local brands will follow this trajectory and beyond in the future,” said Khairul. This marked the inaugural inclusion of a local product and brand, at the forefront of this double-day campaign organised by TikTok Shop. The objective of this recordbreaking initiative was to enhance visibility and foster robust engagement among Malaysian users and the local brand, amplifying the sense of local pride on a broader scale. Since its inception, TikTok Shop has a driving force to support, uplift and upskill local business from the grassroots level. The TikTok Shop has collaborated with several local government agencies to extend its reach to aspiring business owners or affiliate creators in under served communities. Most recently, TikTok Shop has launched its #JomLokal initiative, which aims to empower businesses and enable adoption among Malaysian entrepreneurs.
LYFE LYFE THURSDAY | APR 4, 2024 25 Binge-watching dilemma BINGE-WATCHING has become a ubiquitous phenomenon, revolutionising the way we consume television shows and movies. Defined as watching multiple episodes of a TV series or several movies back-to-back, binge-watching offers both advantages and disadvantages. Here are some pros and cons of this popular trend. Pros Convenience and flexibility Binge-watching allows viewers to watch Binge-watching can foster connection among fans. – PICS BY PEXELS o Exploring pros and cons of modern TV watching habit █ BYTHASHINE SELVAKUMARAN Shin Hyun-been and Moon Sang-min to lead new romantic comedy IN the upcoming rom-com Cinderella at 2am, Shin Hyun-been and Moon Sang-min take the lead roles, promising audiences a fresh perspective on love and relationships. Departing from conventional narratives, the drama centres around Yoon-seo (Shin), a pragmatic and independent woman who makes the bold decision to end her relationship with her affluent boyfriend. Moon portrays Joo-won, a character who challenges societal norms by believing that love transcends differences in social status. As the story unfolds, viewers will witness the unconventional choice made by Yoon to accept money and break up with her boyfriend, juxtaposed with Joo’s unwavering determination to salvage their love. The dynamic between the two leads is expected to be unique, with both actors expressing their excitement for the project and their confidence in delivering a captivating romance. Scheduled for release in the latter half of 2024, Shin (left) and Moon star in the series, which is confirmed to be released in the second half of 2024. – PIC FROM TWITTER @KDRAMAHANDLE King Kong by Starship denies allegations against Song Ha-yoon KING Kong by Starship, the agency representing actress Song Ha-yoon, has denied that the actress is a bully and recent allegations of school violence by JTBC’s Crime Chief on Monday. Song was alleged to have bullied a rising actress “S” who portrayed a villainous character in a recent drama. In its statement, King Kong by Starship acknowledges the gravity of the situation and expresses its commitment to uncovering the truth. Upon receiving the initial report, it promptly reached out to the informant to verify the allegations. Despite efforts to arrange a meeting and further clarification through messaging apps, the informant’s side declined, and subsequent attempts to establish contact via phone were met with silence. Following this, the agency conducted an internal investigation, consulting Song directly. The actress confirmed that the allegations were baseless and that she has no association with the informant. However, the unilateral claims made by the informant continue to fuel unfounded speculation in various online communities. In light of this, King Kong by Starship urges the public and media outlets to exercise restraint and refrain from spreading speculative reports and unverified information regarding this matter. The detailed response aims to clarify the situation and defend Song against the false accusations, emphasising the need for responsible reporting and respect for due process. – by THASHINE SELVAKUMARAN Song firmly denies allegations of bullying. – IMDBPIC Binge-watching allows for immersive storytelling experiences. Binge-watching can disrupt sleep patterns. their favourite shows at their convenience without having to wait for a weekly episode release. This flexibility appeals to busy individuals who may not have the time to watch TV at scheduled times. It also eliminates the frustration of cliffhangers and allows for a more immersive viewing experience sans interruptions. Social bonding Binge-watching has evolved into a cultural phenomenon, sparking conversations and fostering a sense of community among viewers. Whether it is discussing plot twists with friends or engaging in online forums, binge-watching creates opportunities for social bonding and shared experiences. Stress relief Binge-watching offers a form of escapism and stress relief. Engaging yourself in a captivating storyline can provide temporary respite from daily worries and responsibilities. It serves as a therapeutic outlet, allowing viewers to unwind and relax after a long day. Paying full attention in binge-watching can be likened to diving into a different world, where mundane concerns fade away, and entertainment takes centre stage. Diverse content Binge-watching provides an opportunity to explore a diverse range of content across various genres and platforms. With streaming services offering an extensive library of TV shows and movies, viewers can discover hidden gems and broaden their entertainment horizons. From gripping dramas to light-hearted comedies, binge-watching enables individuals to explore different narratives, cultures and perspectives, fostering a greater appreciation for storytelling and creativity. Cons Health risks One of the most significant drawbacks of binge-watching is its contribution to a sedentary lifestyle. Spending prolonged hours sitting in front of a screen can lead to various health risks, including obesity and heart disease. Additionally, excessive screen time has been linked to poor sleep quality and eye strain, exacerbating overall health concerns. Without proper moderation and breaks, binge-watching can take a toll on physical well-being. Social isolation and disconnection While binge-watching can facilitate social bonding among like-minded individuals, it also has the potential to isolate viewers from real-world interactions. Excessive immersion in fictional narratives may lead to a detachment from reality, hindering meaningful social connections and interpersonal skills. Moreover, bingewatching alone for extended periods can exacerbate feelings of loneliness and isolation, especially if it becomes a substitute for genuine human interaction. Loss of productivity and time management Binge-watching poses a significant threat to productivity and time management, especially when it becomes a compulsive behaviour. The allure of binge-worthy content can easily derail individuals from their responsibilities and priorities, leading to procrastination and neglect of important tasks. Moreover, the time spent bingewatching could be allocated to more constructive pursuits, such as pursuing hobbies, exercising, or advancing one’s career. Without proper self-regulation, binge-watching can disrupt the balance between leisure and productivity. Impact on mental health and well-being While binge-watching may offer temporary escapism, it can have adverse effects on mental health and well-being in the long run. Engaging in prolonged viewing sessions can exacerbate feelings of anxiety, depression, and emotional instability, especially if the content consumed is emotionally intense or triggering. Furthermore, the constant exposure to unrealistic portrayals of life and relationships in media can distort perceptions and fuel unrealistic expectations. To reap the benefits of binge-watching while minimising its negative effects, selfawareness and mindful consumption are essential. By striking a balance between indulgence and restraint, viewers can derive enjoyment from binge-watching without compromising their well-being and overall quality of life. Cinderella at 2am is all set to keep audiences on the edge of their seats with its engaging storyline and compelling characters. – by THASHINE SELVAKUMARAN