KUALA LUMPUR: As Tan Seri Sulaiman Mahbob concludes his tenure as chairman of the Malaysia Investment Development Authority (MIDA) on Sept 2, 2024, his leadership has left an indelible mark on Malaysia's investment landscape.
Under his stewardship, MIDA navigated unprecedented global challenges and positioned Malaysia as a resilient and attractive destination for high-quality investments.
MIDA's success is a testament to the authority's commitment to attracting and retaining investments that drive economic prosperity and create opportunities for the nation.
Navigating through a global crisis
The post-COVID-19 era presented unprecedented challenges to the global economy, with widespread disruptions to investment flows and business operations.
Malaysia, like many other countries, was severely impacted, with stringent lockdowns and travel restrictions affecting the country's economic landscape.
However, MIDA adapted to these challenges, ensuring Malaysia remained a viable investment hub despite the crisis.
To sustain investment momentum, MIDA introduced the One-Stop Centre (OSC) in October 2020.
"The OSC was pivotal in facilitating the entry of business travellers into Malaysia, ensuring that critical investments could proceed even as borders were closed.
"This was further strengthened by establishing the Business Travellers Centre (BTC) at Kuala Lumpur International Airport in March 2021, offering a seamless process for business travellers, including on-site COVID-19 testing," he told Bernama.
Sulaiman explained that these initiatives were critical in maintaining investor confidence at a time when many economies were retracting.
The result was a remarkable achievement, resulting in Malaysia approving over RM900 billion in investments between 2021 and 2023, with a substantial portion currently in various stages of implementation.
"These figures underscore the resilience of Malaysia's investment ecosystem and the effectiveness of MIDA's crisis management strategies, and I am proud of what we have achieved," he added.
Accelerating digital transformation
Malaysia is on track to become one of the world's most digitally advanced societies. To keep pace in this era where digital efficiency equals economic competitiveness, MIDA must stay ahead of the curve.
Sulaiman recognised the need to transform MIDA's operations to adapt to the demands of a rapidly changing global market.
His tenure saw the introduction of several digital initiatives designed to streamline processes and enhance Malaysia's appeal to investors.
A key milestone in this transformation was the launch of the InvestMalaysia Portal.
"This digital platform significantly reduced the time and complexity associated with applying for manufacturing licences, tax incentives, and import duty exemptions.
"The portal represents MIDA's commitment to making Malaysia a more accessible and business-friendly environment for both domestic and international investors," said Sulaiman.
Building on this foundation, he noted that MIDA introduced digital certificates for critical approvals in August 2023.
"These include certificates for the manufacturing licence under the Industrial Co-ordination Act 1975, the permit under the Petroleum Development Act 1974 and Pioneer Status certificates.
"This shift towards digitalisation not only accelerated approval processes but also enhanced transparency and efficiency, further solidifying Malaysia's reputation as a top-tier investment destination," he opined.
Strategic consolidation and policy alignment
MIDA's strategic vision extended beyond immediate crisis management to include long-term structural reforms to ensure Malaysia's competitiveness in a post-pandemic world.
A key initiative in this direction was centralising investment promotion activities within MIDA.
By bringing entities like InvestKL Corporation under MIDA's umbrella, he ensured a more coordinated and effective approach to attracting and retaining investments.
This strategic consolidation was complemented by his active involvement in formulating national economic policies.
Sulaiman said MIDA played a crucial role in shaping the New Industrial Master Plan (NIMP) 2030, the National Energy Transition Roadmap (NETR), the National Semiconductor Strategy (NSS) and the Green Investment Strategy (GIS).
These policies are designed to align Malaysia's industrial and investment strategies with global trends and economic shifts, particularly in high-tech and sustainable sectors.
"We are also focused on building and strengthening the industrial ecosystem in Malaysia. This involves working closely with various stakeholders, including government bodies, industry leaders, and educational institutions, to enhance the overall investment experience.
"By fostering collaboration and improving investment facilitation and aftercare, we aim to streamline processes and support investors throughout their journey," he added.
Focusing on high-value, high-growth sectors
Throughout his term, Sulaiman strongly advocated focusing Malaysia's investment efforts on high-growth, high-value sectors.
He understood that for Malaysia to transition into a high-income nation, it needed to attract investments in industries that would drive innovation, create high-skilled jobs and contribute to sustainable economic growth.
MIDA successfully attracted substantial investments in key industries such as digital services, electrical and electronics (E&E), aerospace and medical devices.
"These sectors are not only crucial for Malaysia's economic future but also its positioning in the global economy.
"The E&E sector, for example, has been a significant driver of Malaysia's export performance, while investments in aerospace and medical devices have placed the country on the map as a hub for high-tech manufacturing and services," Sulaiman said.
The chairman said MIDA established the Invest Malaysia Facilitation Centre (IMFC) to further enhance the investment ecosystem in December 2023.
He explained that the IMFC aimed to reduce bureaucratic hurdles and expedite the implementation of investment projects.
"By providing a direct link between investors and government agencies, the IMFC ensures that investments are not only approved quickly but also implemented efficiently, thereby maximising their economic impact," he noted.
A vision for the future
As Sulaiman steps down, his legacy at MIDA is one of strategic foresight, adaptability and a relentless focus on positioning Malaysia for long-term economic success.
His contributions not only strengthened Malaysia's investment climate but also laid the groundwork for future growth in an increasingly complex and competitive global environment.
Looking ahead, Sulaiman emphasised the importance of agility and strategic alignment with the MADANI Economy Framework, which focuses on building a high-tech, high-skilled, and high-wage economy.
He advised his successor to continue leveraging digital technologies, fostering innovation, and focusing on high-value sectors to ensure Malaysia remains an attractive destination for global investors.
Sulaiman's tenure at MIDA has come to an end, but the foundations he has laid will undoubtedly continue to benefit Malaysia for years to come.
He leaves behind an institution that is resilient and well-prepared to navigate the challenges and opportunities of the future, ensuring that Malaysia remains at the forefront of global investment destinations.