VIENTIANE, Sept 26 — Malaysia possesses significant potential to augment its investment in Laos, particularly in the renewable energy, agriculture, tourism, and infrastructure sectors, stated Malaysian Ambassador to Laos Edi Irwan Mahmud.

He noted that this potential aligns with the 58-year bilateral relationship between Malaysia and Laos, which continues to strengthen, with Malaysia currently positioned as the fourth-largest investor in Laos, following China, Thailand and Vietnam.

"Although the total trade volume is relatively small, we rank as the fourth-largest foreign investor in Laos. In the January to June period this year alone, our trading volume amounted to approximately RM48.3 million.

"This is a noteworthy achievement for Malaysia, bolstered by nearly 200 Malaysian expatriates who are engaged in various business sectors here,” he told the media.

Edi Irwan highlighted that the largest investment by Malaysian companies in Laos is the Don Sahong Hydropower Project, undertaken by Mega First Corp Bhd in the Champasak region.

This project, with a capacity of 260 megawatts, is valued at US$430.32 million. (US$1 = RM4.13).

"The energy produced by this facility is sold to Electricité du Laos (EDL), a state-owned enterprise, which subsequently resells it to Cambodia,” he explained, adding that Mega First holds the project concession until 2045.

He expressed optimism about the potential for collaboration in the renewable energy sector, noting that Malaysia can offer its expertise and relevant technologies to Laos more extensively.

Moreover, he pointed out that the investment by Agrotech Pro Ltd in a 40-hectare Agro Vege Farm project in Champasak, developed in collaboration with the Lao government for vegetable crops, exemplifies Malaysia’s strengths in modern agricultural techniques, which hold significant value for Laos.

Additionally, Edi Irwan mentioned that Malaysia is now a preferred destination for tourists from Laos, with 16,781 visitors from Laos recorded last year.

"This is an encouraging figure, particularly given that Laos has a population of only about 7.5 million. In fact, during the first six months of this year, the number of tourists from Laos reached 7,059.

"We anticipate that this number will continue to grow, particularly with the introduction of direct flights by AirAsia (Kuala Lumpur-Vientiane) operating twice a week, which commenced last July,” he added.

Furthermore, he noted that as a developing country, Laos is actively pursuing infrastructure development, and Malaysia should assume the role of an Asean partner to support these efforts through investment, technology transfer, and capacity development. — Bernama