PUTRAJAYA: The Qatar Investment Authority (QIA) has proposed to invest US$5 billion (RM16 billion) in Malaysia in strategic real estate, commodities and other sectors which will be able to generate very good returns.
QIA signed a memorandum of understanding (MoU) with 1Malaysia Development Bhd (1MDB) on Friday, May 14 which would provide the framework for to explore, evaluate and implement investment opportunities in Malaysia. The opportunities would include the energy sector and strategic real estate development in the Klang Valley.
A joint committee will be set up to assess the viability and other commercial aspects of the various investment opportunities to be considered. QIA proposes to invest US$5 billion.
The MOU was signed by QIA board member Dr Hussain Ali Al-Abdulla and 1MDB managing director and chief executive officer Shahrol Halmi at the Prime Minister's Office in Putrajaya. It was witnessed by the Prime Minister of Qatar, Sheikh Hamad Bin Jassim Bin Jabr Al-Thani and his Malaysian counterpart, Datuk Seri Najib Razak.
Sheikh Hamad, who is also QIA vice chairman and CEO said Malaysia is an attractive investment destination with plenty of opportunities to consider and explore.
"This MOU allows us to bring both our countries closer together to create mutual economic benefits for the future," he said
Najib, who is chairman of the board of advisors of 1MDB, said the partnership was based on a mutual long-term vision for sustainable economic development.
"It comes at an opportune time when we are looking out for new sources of growth with high multiplier effects on the economy," Najib said.
QIA board member Dr Hussain Ali Al-Abdulla said QIA was keen to explore investment opportunities in strategic real estate, commodities and other sectors which can generate very good returns. He said the plan to was further diversify its portfolio of international investments.
1MDB managing director and CEO Shahrol Halmi said the strategic real estate development would stimulate economic activities and spur growth in the Klang Valley.