Wednesday, April 18, 2012

Opportunities await SMEs in Kazakhstan (Exim Bank)

KUALA LUMPUR: Apart from big companies, small and medium enterprises (SMEs) should also consider investing in Kazakhstan to expand their businesses, according to Kazakhstan-Malaysia Chamber of Commerce chairman Tunku Nooruddin Tunku Sri Shahabuddin.

Source From (The Star Online): http://biz.thestar.com.my/news/story.asp?file=/2012/4/18/business/11122356&sec=business
Published: on 18 April 2012

He said there were ample opportunities in the Central Asian country, adding that they could seek financing from Exim Bank to invest in the various sectors there.
Some of the sectors which they could look into are integrated farming, food, tourism and hospitality and healthcare besides the bigger businesses like oil and gas and construction.

“Malaysian companies intending to do business in Kazakhstan should be honest in their investments and do things in a correct manner, as this would allow them to enjoy incentives to grow their businesses.

“It is not that difficult to make inroads into that country as the people are hospitable and the relevant authorities are cooperative with Malaysian companies operating there,'' he told StarBiz after a breakfast meeting with Kazakhstan Industry and New Technologies Minister Asset Issekeshev.
Its president Nursultan Nazarbayev would be attending a business exhibition today, which among others would showcase some of leading Malaysian companies' products and services as well as facilitate business matchings between various companies from both countries.

Nooruddin believes that Malaysian companies currently were cautious in investing in Kazakhstan due to unfamiliarity in the working culture and language barrier but stressed that it should not be the sole reason not to invest there.

Kazakhstan recently announced plans to sell as much as US$1bil (RM3.07bil) of Islamic bonds, which will be Central Asia's first global sukuk offering.

Total trade last year between Malaysia and Kazakhstan stood at US$61mil compared with US$18.3mil in 2007, an average growth of 60% over the last five years. Exports last year amounted to US$60.1mil and imports at US$1mil.

Among the Central Asian countries, Kazakhstan was Malaysia's second-largest trading partner as well as second-largest export destination and source of imports.

Some the country's major exports to Kazakhstan were iron and steel products, electrical and electronic products, wood products and machinery and palm oil.

On the import front, Malaysia bought, among other things, chemical and chemical products, iron and steel products, and metals like zinc.

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