Malaysia is a favoured expansion destination for ASEAN companies looking for growth opportunities in the 10-nation bloc, according to a survey by Standard Chartered (StanChart).
|A bird's-eye view of Kuala Lumpur July 8, 2020. (Photo: malaymail.com) |
Kuala Lumpur - Malaysia is a favoured expansion destination for ASEAN companies looking for growth opportunities in the 10-nation bloc, according to a survey by Standard Chartered (StanChart).
Forty-nine percent of survey respondents selected Malaysia as one of the countries offering the best expansion opportunities in ASEAN over the next 12 months, StanChart said, based on its "Borderless Business: Intra-ASEAN Corridor" report.
The report also cites automotive, health care and digital services as key growth sectors of Malaysia. The country has started making headway in developing capabilities to spur growth both in the electrical vehicles segment and data centre supply.
“Malaysia is also seen as a leading medical device manufacturing hub and a regional market leader in medical tourism,” it added.
According to the survey, access to the large and growing ASEAN consumer market and the global market enabled by a network of free trade agreements and availability of abundant and skilled workforce are the most important drivers of expansion across the region.
Overall, the survey found that the majority of ASEAN companies that focus on intra-regional opportunities expect strong business growth in the region over the next 12 months, with 99 percent of respondents expecting production growth and 96 percent forecasting revenue growth.