MONEY MASTER

Malaysia is expected to maintain its fiscal consolidation drive in  Budget 2026 , even as the economy faces moderating growth, according to a preview by  CIMB Treasury and Markets Research . Growth Outlook CIMB projects GDP growth of  4.1% in 2026 , down from its earlier 4.5% forecast, citing weaker external demand, softer consumption, and subdued investment sentiment in a post-Trump trade environment. Despite the slowdown, the government is expected to  narrow the fiscal deficit  to  –3.6% of GDP  from –3.8% in 2025, consistent with its long-term fiscal targets. Revenue and Expenditure Trends Revenue : Expected to rise 4% YoY to  RM353.3 billion , supported by: Expanded sales and service tax (SST) E-invoicing rollout and tighter compliance Higher “sin taxes” Preparations for a gradual  carbon tax  from 2027, starting with the iron and steel sector Operating expenditure : Forecast to increase 3.9% to  RM348.1 billion , partly due to...

Key Takeaway:  Malaysian Resources Corp Bhd ( KL:MRCB ) will take full control of the RM21 billion Bukit Jalil Sentral project after acquiring the  Employees Provident Fund’s (EPF)  80% stake for  RM1.58 billion , with potential plans to explore data centre development on the site. Transaction Details MRCB’s wholly owned unit  Rukun Juang Sdn Bhd  is acquiring EPF subsidiary  Tanjung Wibawa Sdn Bhd’s (TWSB) 80% stake in  Bukit Jalil Sentral Property Sdn Bhd (BJSP) . The deal involves  1.13 billion Class A preference shares , giving MRCB full control of the project land. Purchase price:  RM1.58 billion cash Net asset value:  RM1.4 billion EPF’s investment cost:  RM1.14 billion Shareholders advances:  RM69.21 million, which Rukun Juang may also assume The acquisition is a  related-party transaction  as EPF holds about  36% of MRCB . AmInvestment Bank Bhd has been appointed as the principal adviser. Financial I...

Sarawak has attracted RM4.2 billion in approved investments during the first quarter of 2024 (1Q2024), a significant achievement following the launch of the New Industrial Master Plan (NIMP) 2030. Investment Highlights: National Growth Contribution:  Investment, Trade, and Industry Minister Tengku Datuk Seri Zafrul Abdul Aziz noted that Sarawak ranks fourth in terms of investment value flow. National Achievements:  Since the launch of NIMP 2030 nearly a year ago, Malaysia recorded approved investments worth RM329.5 billion in 2023, potentially creating almost 130,000 jobs. 1Q2024 Investment Data: Approved Investments:  RM83.7 billion, up 13% year-on-year (y-o-y). Foreign Investment:  Over 56% of the total approved investments. Job Creation:  Expected to create 29,000 new jobs for Malaysians, a 14.6% increase y-o-y. Industry Presence in Sarawak: Key Companies:  Electrical and electronics, and chemicals companies such as Taiyo Yuden Sdn Bhd, OCI Co Ltd, Melex...

First launch for 2016 well received The successful launch of 750 units of Karisma apartments at Eco Majestic with a 85% booking rate marks a good start. ECW remains confident of its ambitious sales target of MYR4b for FY10/16. Surprises could come from potential enbloc sales at its BBCC project. We maintain our earnings forecasts and MYR1.67 RNAV-TP (on an unchanged 40% discount to RNAV) pending the release of its 1QFY10/16 results on 24 Mar. Reiterate BUY. First affordable apartments at Semenyih We recently visited the official launch (buyers’ unit selection session) of ECW’s first high-rise affordable apartment project - Karisma - at Eco Majestic (EM), Semenyih. The Karisma comprises 750 units of freehold apartments (800 sq.ft.; ≈MYR325psf ASP) which are now 85% booked since the soft-launch in mid-Feb 2016. The Karisma apartments form the 7th phase of the EM project which has a total GDV of MYR11b. Phase 1-6, which offered 2,100+ units of landed properties, was lau...