GEORGE TOWN: InvestPenang and HSBC Bank Malaysia Bhd (HSBC) have inked a memorandum of understanding (MoU) to focus on bringing high-quality foreign direct investments into Penang and Malaysia, while tapping into each party’s comparative advantage as leverage.

       Welcoming the collaboration to foster an active business climate, InvestPenang director Datuk Seri Lee Kah Choon said the global supply chain reconfiguration and technological advancement have moved the needle in terms of business establishment.

       "HSBC’s international network bodes well in widening our reach. With the combined capabilities of both parties, I am confident that Penang will punch above its weight and be well-positioned in the global arena, amplifying multinational corporations (MNCs) desire to make the state their strategic investment destination," he said in a statement here today.

       The MoU was signed by InvestPenang chief executive officer Datuk Loo Lee Lian on behalf of the Penang government’s principal agency for promotion of investment, while HSBC Malaysia was represented by its chief executive officer, Stuart Milne.

       Lee said corporates were being prompted to shift away from prioritising cost-cutting manufacturing measures and towards practices that ensure reliability, consistency and sustainability.

       "On this note, the state government, via InvestPenang, stays committed to enhancing Penang’s comparative and competitive advantages to remain on the priority list for corporates’ footprint diversification," said Lee, who is also special investment adviser to the Chief Minister of Penang.

       With its strategic location in the ASEAN region and significant integration in the global supply chain, Lee said Penang is a preferred investment destination for MNCs.

       He said this strategic public-private partnership aims to elevate the state’s existing efforts in attracting high-quality investors, by riding on HSBC’s international network which provides access to more than 90 per cent of global gross domestic product (GDP), trade and capital flows and key markets in more than 60 countries, while capitalising on InvestPenang’s investment promotion initiatives.

       Meanwhile, Milne (pic, below) said attracting high-quality investments is critical to support Malaysia’s path to a high-income economy, creating quality jobs and shared prosperity.

       HSBC Malaysia's chief executive officer Stuart Milne (pic) said the future of banking is all about digital enablement and HSBC intends to be a leader in this space.

       "At HSBC, we believe that Penang is an ideal location for many multinationals to invest, taking advantage of a very well established ecosystem, a deep local supply chain and an ample supply of highly trained personnel," he said.

       He said the MoU with InvestPenang renews HSBC’s longstanding commitment to the region where it opened the first branch back in 1884.

       "Our international network connects Penang to the world and we look forward to deploying it in support of Penang’s objective of accelerating its growth and development.

       "In so doing, we are opening up a world of opportunity for our customers while at the same time supporting the Penang’s ambitious plans for the region," he added. - Bernama