KUALA LUMPUR (April 28): The global energy crisis is reshaping how companies and investors evaluate investment locations, with energy resilience increasingly outweighing traditional cost considerations, said Economy Minister Akmal Nasrullah Mohd Nasir.
He cited a presentation by Khazanah Nasional Bhd to the National Economic Action Council (MTEN) highlighting that while labour and operating costs were previously key considerations, factors such as energy stability, access to raw materials, logistics continuity and a country’s ability to manage shocks are now becoming more prominent in making investment decisions.
“This means that countries that are able to ensure energy security, protect industrial operations and strengthen domestic supply chains will have a greater advantage in attracting investments,” he said during the global energy crisis briefing via Facebook on Tuesday.
Akmal Nasrullah highlighted that Malaysia has several key structural strengths, including strategic geographic location, diversified industrial base, stable energy infrastructure, as well as an established electrical and electronic (E&E) and semiconductor ecosystem.
These strengths are further supported by the government’s capability to coordinate immediate response across ministries in an organised and effective manner amid the current challenging business landscape.
However, he stressed that these strengths must be translated into more structured actions.
In times of crisis, he said the role of government-linked companies (GLCs) and government-linked investment companies (GLICs) goes beyond preserving investment returns, to include strengthening economic resilience through investments in energy, logistics, food, technology, infrastructure and high value-added industries.
There was no allotted session for media queries after the live briefing had ended.