KUALA LUMPUR: The ratification of the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) is timely as it will significantly facilitate the post-Covid-19 recovery of Malaysia's economy.
The Malaysian Institute of Economic Research (MIER) said the Cost Benefit Analysis (CBA) conducted for the CPTPP by the International Trade and Industry Ministry (Miti) had clearly shown the benefits of ratification.
"MIER welcomes the highly anticipated ratification of CPTPP, which has been the subject of lengthy deliberations. Miti deserves great credit for its meticulous commitment and efforts to submit the Instrument of Ratification (IOR) for the CPTPP to the depository in New Zealand, making Malaysia the ninth country to ratify the agreement.
"MIER is confident that the CPTPP is not only a step in the right direction but will also help bring Malaysia closer to its aspiration of becoming a developed country," it said in a statement today.
MIER said CPTPP would not only improve Malaysia's competitiveness in the global market as the inclusion of other member economies such as Taiwan, Ecuador, Costa Rica and especially the UK and China was expected to provide broader and deeper market access for local exporters.
"As Malaysia does not have preferential access to Canada, Mexico and Peru, trade with these countries will improve significantly. Our exports from sectors such as electronics and electrical, palm oil, chemicals, optical and scientific equipment and plastics will also increase.
"In services exports, mutual recognition of professional qualifications, licenses or registrations among CPTPP countries is expected to increase.
"Malaysian professionals such as accountants, architects, doctors, nurses and engineers are expected to benefit from facilitation mechanisms under the agreement, including increased mobility through transparent rules on the cross-border mobility of professionals," it added.