Web posted at: 9/28/2008 4:31:54
Source ::: The Peninsula / by Nasser Al Harthy
DOHA • Trade between Qatar and Malaysia is increasing with a surge of investments between the two countries in various sectors.
In an interview with The Peninsula, Malaysian Ambassador, Dato Shahrul Ikram said, "The volume of bilateral trade between Malaysia and Qatar surpassed for the first time the RM1bn mark (approximately QR 1bn) in 2007, indicating the rapidly growing economic ties between the two countries."
"Malaysia and Qatar have close political relationship as the governments of the two countries share many common positions on international and particularly Middle East issues," said Ikram.
"What Malaysia is trying to do now is to put more substance in the relationship in terms of investments, tourism and education."
Malaysia's exports to Qatar consisting mainly of electronic products, machinery, appliances and parts and metal manufacture, totaled RM 392.4m (approximately QR 392.4m) in the first half of this year.
Imports from Qatar, valued at RM 335.5m in the first half of this year, are showing a steady growth.
The main imports in 2008 consisted of refined petroleum products, crude petroleum, chemicals and chemical products.
Ikram added that six major Malaysian companies are currently operating in Qatar mainly in the oil and gas field involving platforms construction and also in infrastructure sector such as road construction.
Last year alone Malaysian companies were awarded projects worth QR4.8bn and the total value of projects awarded to Malaysian companies to date stands at approximately QR11bn.
With regards to Qatari investments in Malaysia, Ikram mentioned about the Asian Finance Bank, one of the three foreign Islamic financing institutions in Malaysia. The largest part of this bank is owned by Qatar Islamic bank (70 percent stake) and backed by a consortium of leading Middle East investors. It started operations last year.
Qatar-based Gulf Petroleum Ltd, is leading a consortium of Gulf banking and energy firms to build a $5bn oil refinery and petrochemicals complex in Malaysia's northern state of Perak. Ikram said licensing from Malaysia for this particular project has already been issued.
Qatar through its Qatar Investment Authority (QIA) is also undertaking the construction of a shopping mall 'The Pavilion' which is to be commissioned soon.
"Our relations are on the upswing but there is still room for improvement. Malaysia is now exploring fields for co-operation in the education sector, starting with the signing of a Memorandum of Understanding between Qatar University and Malaysia's oldest and most prestigious University of Malaya in the near future," he added.
He said the corridor development projects launched by the country, including the Iskandar Development Region, Northern Corridor Economic Region, East Coast Economic Region, Sabah Development Corridor and the Sarawak Corridor of Renewable Energy were another area that offered a lot of potential for the participation of Qatari investors.
Malaysia also remains one of the most attractive destinations for Qatari families. It is estimated that last year between 12,000 and 14,000 Qataris visited Malaysia either directly or through third countries.
According to the latest registrations there are about 1,500 Malaysian living and working in Qatar.
They consist mostly of white collar professionals working in various sectors. But their number may be even higher as they are not required to register with the Embassy once they take up jobs in the country.
