Economic cooperation between Kazakhstan and Malaysia

Trade and economic cooperation

The Foreign direct investment (FDI) from Malaysia to the Republic of Kazakhstan for 9 months of 2018 amounted to 2.6 million dollars. The main investments were directed to the oil and gas sector, construction and infrastructure.

Trade turnover: In 2018, the bilateral trade amounted to 478 million USD. 73% of bilateral trade ($ 351.7 million) accounted for the export of Kazakhstani goods, 27% ($ 126.1 million) of imports from Malaysia.

The structure of Kazakhstan export: crude oil, products from ferrous metals, geodetic and measuring instruments, tools, pipe fittings.

The structure of Kazakhstan's imports: palm oil, lubricants, rubber products, clothing, furniture, electrical goods and electronics, appliances and spare parts.

Frameworks for promoting the bilateral trade and economic cooperation:

In accordance with the Trade Agreement between the Governments of Kazakhstan and Malaysia signed on May 27, 1996 the Joint Trade and Economic Committee (JTEC) was established. JTEC is co-chaired on the Kazakh side by the Minister of Digital Development, Defense and Aerospace Industry (MOAP) of the Republic of Kazakhstan A. Zhumagaliyev, and on the Malaysian side by Minister of International Trade and Industry Datuk Darell Leiking.

The Committee's first sitting took place in November 1998 in Kuala Lumpur, the second – in November 2012 in Astana. On May 4, 2017, the 3rd meeting of the JTEC was held in Kuala Lumpur.

The State visit of President of Kazakhstan Nursultan Nazarbayev to Malaysia on April 17-18, 2012 was highlighted, inter alia, by signing of the Agreement “On the establishment of the Joint Kazakhstan-Malaysia Business Council". Co-chairman of the BC from the Kazakh side is the Chairman of the Board of Directors of BEKKER and K LLP and Saryarka-ENERGY LLP, Vice President of the International Hockey Federation B. Seksenbaev, from the Malaysian side - Datuk Loo Took Gee, Independent Non-Executive Director of Media Prima (former Secretary- General of the Ministry of Energy, Green Technology & Water of Malaysia).

The Inaugural meeting of the Malaysian-Kazakhstan Business Council (MKBC) was held on October 30, 2018 in the largest city of Kazakhstan, Almaty. Following the meeting, the parties signed Memorandums of Understandings between the «MKBC» and the «Chamber of International Commerce of Kazakhstan», «Kazakh Invest» National Company» JSC, «International Financial Center Astana» with consulting company in the field of Islamic finance «Amanie Advisors», «Kazakh Tourism» National Company» JSC with «Malaysian Association of Tour and Travel Agents» (MATTA), «Nazarbayev University Research and Innovation System» with «AccoBiotech Sdn Bhd».

Cooperation in energy sphere:

Within the framework of the visit of Prime Minister Mr. N. Razak to Kazakhstan on May 22-24, 2014, agreements between the Akimat of Mangystau region and the companies «Markmore Energy Labuan Limited» and «Kenmakmur Holding Sdn. Bhd.» on the construction of factories for the production of methanol and liquefied natural gas were signed.

On September, 2016 the engineering company «Hadid» to Atyrau was held the opening of the representative office of this enterprise for expantion the company's activity in this region and performing engineering and consulting services to potential investors.

Malaysian oil and gas companies regularly participate in the annual Kazakhstan international «Oil & Gas» Exhibition and Conference (KIOGE, Almaty).

In honor of the celebration of the twentieth anniversary of Astana, one of the leading Malaysian companies in the field of «green technology» «ITRAMAS Technology Sdn Bhd» has graciously agreed to supply to the city 100 units of LED lights.

Cooperation in the field of agriculture:

Malaysian company «Agrostan Farms Sdn. Bhd.», realize the project on the creation of livestock complexes in Zhambyl region.

Cooperation in the banking and financial sphere:

On July 4-6, 2012 JSC “Development Bank of Kazakhstan" successfully placed the first issue of Islamic bonds «Sukuk» al-Murabaha» in the amount of 240 million Malaysian ringgit.

On January 12-14, 2015 a delegation of the largest Malaysian Islamic bank «MayBank Islamic» visited Kazakhstan. During the meetings with the leadership of the National Bank, the Ministry of National Economy, as well as a number of second-tier banks of Kazakhstan the issues of cooperation in the field of Islamic banking, prospects of placement of independent sukuk bonds were discussed.

On February 5, 2015, «MayBank Islamic» organized a presentation on the fundamentals of sukuk financing for employees of the National Bank of Kazakhstan and the Ministry of Finance of Kazakhstan in Astana.

On March 20-24, 2015 a Memorandum of Understanding between the Institute of Economics of the Ministry of Education and Science of the Republic of Kazakhstan and an international educational organization «Finance Accreditation Agency» (created under the National Bank of Malaysia, headquartered in Kuala Lumpur) on training in Islamic finance was signed in Astana.

On October 31, 2015 Senior Vice President of «MayBank Islamic» Mr. M. Arshad paid a working visit to Astana. During the visit, a meeting with the Prime Minister of the Republic of Kazakhstan Mr. K.Massimov was held.

September 25-28, 2016 - visit of Governor of «AIFC» K.Kelimbetov to study the regulatory and legal framework for regulating the activities of Islamic financial institutions, as well as expand cooperation with participants and regulators of the financial markets of the partner countries, global leaders in the field of Islamic Finance.

On November 21-22, 2017 - the delegation of the Republic of Kazakhstan headed by the Governor of AIFC K.Kelimbetov took part at the World Islamic Economic Forum (WIEF) in Kuching (Sarawak).

On May 17-19, 2018 - Chief Executive Officer of PEMANDU Idris Jala participated in the “XI Astana Economic Forum". During the forum, the Malaysian representative held meetings with the Prime Minister of the Republic of Kazakhstan B.Sagintayev, members of the government and the AIFC Manager K. Kelimbetov.

On July 3-5, 2018 - representatives of the Malaysian Digital Economy Development Corporation (MDEC) andthe companies Amanie Group, Nomura Islamic Asset Management, Maybank Islamic, Malaysian Global Innovation & Creativity Center (MaGIC) took part in the International Conference “Astana Finance Days".

Cooperation in the field of construction and infrastructure development:

Within the framework of visits to Astana in January and May 2014, the delegation of the Council of the Construction Industry Development Board of Malaysia (CIDB) signed a Memorandum of Understanding in the area of information exchange with JSC Investment Agency «KAZNEX INVEST».

On January 7-9, 2015 - delegation of JSC NC «KazAvtoZhol» visited Kuala Lumpur to study the experience of the development of high-speed highway systems and discuss the prospects for using appropriate technologies in the Republic of Kazakhstan.

On November 28 - December 1, 2016 the presentation of transport and logistics opportunities of Kazakhstan and the joint Kazakhstan-China terminal in Lianyungang port took place with the participation of representatives of the multimodal company JSC "KTZ Express" for local leading exporters and transport companies.

Cooperation in the field of technological development and information and communication technologies:

On April 6-10, 2015 - Kazakh delegation comprising representatives of state bodies, research centers and universities of Kazakhstan took part in a training seminar on «Commercialization of technological developments», organized by the Malaysian Technology Development Corporation.

On September 19-21, 2016 – the visit of Executive Director D. Wesley and Marketing Manager L.Chuy of "Aladdin". During the visit they held a meetings with the leadership of the Department for the Development of Foreign Trade Activity of the Ministry of Energy of the Republic of Kazakhstan, the Department of Technical Regulation of the Ministry of Foreign Affairs of the Republic of Kazakhstan and the National Research and Development Institute for information exchange and discussion of cooperation issues within the framework of Aladdin functioning in Kazakhstan.

On October 5-8, 2016, with the assistance of the Ministry of Energy, Green Technologies and Water Resources of Malaysia (KeTTHA), the exposition "Expo-2017" is presented at the International Green Technology Exhibition "IGEM" in Kuala Lumpur.

Cooperation in transportation sphere

Since October 2009, national air carrier of Kazakhstan “Air Astana" performs regular (three times a week) flights by Almaty – Kuala Lumpur – Almaty route.

On December 25-26, 2014 in Almaty, negotiations between the aviation authorities of Kazakhstan and Malaysia were held, on the basis of which an intergovernmental Memorandum of Understanding was signed allowing to increase the frequency of regular passenger flights between Almaty and Kuala Lumpur to 5 flights per week.

On December 14, 2016 the presentation of a new regional office of the airline "AirAstana" in Southeast Asia was held. The event was attended by leading agencies in the field of air transportation, as well as representatives of the media of Malaysia.

Created at : 30.03.2017, 15:45, Updated at : 31.03.2017, 15:45