KUALA LUMPUR, June 27 — Malaysia will face significant negative impacts if BlackRock Inc withdraws its investments from the country, Minister of Investment, Trade and Industry Datuk Seri Tengku Zafrul Aziz has warned.
BlackRock Inc holds shares in several multinational companies (MNCs) listed in Malaysia, contributing to the country’s investment and job creation efforts, Tengku Zafrul said.
“BlackRock is a shareholder in several MNCs operating in Malaysia, including Microsoft, Boeing, Intel, and Texas Instruments. These companies contribute to the development of industries and states through various investment projects,” he said.
“This includes the semiconductor industry in Penang, Infineon Technologies in Melaka and Kedah, Texas Instruments in Melaka and Kuala Lumpur, and Boeing’s subsidiary Aerospace Composites Malaysia in Kedah.
“In terms of job creation, Microsoft, which invested RM32 billion, created over 10,000 jobs; Texas Instruments, with RM13 billion, hired 2,000 employees; Boeing, with RM300 million, hired 900; and ROHM (ROHM-Wako Electronics Malaysia) invested RM3 billion in Kelantan, hiring 2,000 workers.
“So, to answer your question, Yang Berhormat Bagan, if BlackRock Inc withdraws its investments from Malaysia, it will clearly have a negative impact on our investment agenda,” Tengku Zafrul told Parliament during Minister’s Question Time today.
Tengku Zafrul was responding to DAP’s Bagan MP Lim Guan Eng, who asked the government to state the total investment by BlackRock or its affiliate companies in the country, by state, and the economic impact if all BlackRock investments over the past few decades were withdrawn.
He further explained that while the Ministry of Investment, Trade and Industry (Miti) has no direct dealings with BlackRock Inc, it deals with companies like Microsoft and Intel, not the shareholders of these companies, including BlackRock Inc.
“From the ministry’s standpoint, we have no dealings with BlackRock Inc. Our dealings are with companies like Microsoft and Intel; we have no dealings with the shareholders of these companies,” he clarified.
When asked if Malaysia could face backlash from companies with BlackRock Inc as their investors, Tengku Zafrul reiterated there are no dealings with shareholders, including BlackRock Inc.
“We have no policy to stop companies that have BlackRock as their shareholders. We don’t have a policy for that now,” he added.
Yesterday, Prime Minister Datuk Seri Anwar Ibrahim reiterated that there are no talks about selling the national carrier.
Instead, he mentioned that with Global Infrastructure Partners (GIP) on board — a company recently acquired by BlackRock Inc — shares held by the Employee’s Provident Fund and Khazanah Nasional in Malaysia Airports Holdings Berhad (MAHB) have increased.
It was reported that the share deal between MAHB and GIP will result in GIP holding 30 per cent of the former.
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