KUALA LUMPUR: Any withdrawal of investment by BlackRock from Malaysia, if it were to happen, would bring about negative implications and effects in the effort to achieve the country's investment agenda.
International Trade and Industry Minister Tengku Datuk Seri Zafrul Tengku Abdul Aziz told the Dewan Rakyat that as of last month, BlackRock has equity investments in 100 listed companies in Malaysia across various industrial sectors, with the three largest entities being banking institutions.
"The current market value of BlackRock's investments in Malaysia, which amount to RM27.5 billion, with RM20.5 in Bursa Malaysia, RM7 billion in Malaysian government and corporate bonds," he said in reply to a question from Lim Guan Eng (PH-Bagan).
Lim asked to state the total investment by BlackRock or its affiliated companies in Malaysia, by states, and its economic impact on the country if all of the BlackRock investments over the past few decades were withdrawn.
BlackRock is currently the world's largest asset manager and as of March 31, assets under its management stood at RM49.35 trillion.
It holds shares in nearly all publicly listed companies worldwide, as well as sovereign wealth funds for countries such as Saudi Arabia, United Arab Emirates, Oman, Bahrain, and Indonesia.
"In Malaysia, BlackRock has made its presence since the 1990s," said Tengku Zafrul.
He said among BlackRock's investments in government bond markets are in Malaysia Global Sukuk Bhd; Export-Import Bank of Malaysia Bhd; Malaysia Wakala Sukuk Bhd; Petroliam Nasional Bhd and Malaysia Sovereign Sukuk Bhd.
"BlackRock also has investment interests in Tenaga Nasional Bhd amounting to RM8.6 million, Metal Aluminium (RM625 million) and CelcomDigi (RM526 million).
BlackRock is also a shareholder of several large multinational companies operating in Malaysia including Microsoft, Boeing, Intel, and Texas Instruments.
"These companies also contribute to the development of industries and states through investment projects carried out in Malaysia.
"This includes Intel contributing to the growth of the semiconductor sub-sector in Penang; Infineon in Melaka and Kedah; Texas Instruments in the electrical and electronics industry in Melaka and Kuala Lumpur; and Boeing's subsidiary, Aerospace Composites Malaysia Sdn Bhd (ACM) in the aerospace industry in Kedah."
As for employment and investment value, Tengku Zafrul said the companies have made significant investments in Malaysia, creating job opportunities, particularly in the targeted high-tech and high-value sectors of the country.
"Intel has invested RM32 billion and employs more than 10,000 workers; Texas Instruments has invested RM13 billion and employs more than 2,000 workers; Boeing, through its ACM has invested RM300 million and employs 900 workers, while ROHM Electronics (M) in Kelantan has invested RM3 billion and employs more than 2,000 workers."