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The Executives

The Executives

Currencycloud Poised for Expansion in APAC with In-Principle Approval from MAS

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Currencycloud, a leading provider of multi-currency financial services, is aiming to expand its presence in the Asia Pacific (APAC) region, following its recent in-principle approval for a major payment institution (MPI) license from the Monetary Authority of Singapore (MAS). As the number of investors in the region continues to grow, wealthtechs need to cater to the demand and accept the client’s funds in a seamless, transparent, easy and automated. Maximising revenue streams by building an optimised payments infrastructure, where funds are settled to executive brokers through local payment rails, and reconciliation processes are streamlined, is critical for the success of APAC’s wealthtechs. On this, Currencycloud is able to help these wealthtechs to collect funds from investors, convert these at competitive rates, and deploy them to execution brokers in the US and beyond, quickly and cheaply – all through best-in-class APIs. Obtaining the MPI license marks a pivotal milestone in the company’s strategic growth within one of the world’s most dynamic financial markets as it aligns with Currencycloud’s strategic approach geared towards simplifying global business operations in a multi-currency environment. “Following the recent in-principle approval (IPA) for an MPI license by the Monetary Authority of Singapore MAS, Currencycloud is now working towards fulfilling its IPA conditions,” stated Currencycloud Managing Director for APAC, Rohit Narang.  Once the MAS grants the full license, Currencycloud will be able to offer a comprehensive range of intra-regional and global payment services to businesses in Singapore. According to Narang, the company facilitates seamless payments for customers across 180 countries and territories. Hence, the MPI license will further enhance these capabilities, particularly in expediting intra-Asia and east-to-west payments.  “Once the MPI license is granted, Currencycloud will further enhance its capabilities, expediting intra-Asia and east-to-west payments processing, so businesses can enjoy faster payment times,” Narang explained. The Importance of Compliance and Partnerships Navigating the complex regulatory environments across the Asia-Pacific region is a significant challenge. To address this, Currencycloud has implemented a resilient compliance framework.  “We’ve taken a comprehensive approach that incorporates robust regulatory controls into our operational infrastructure. Recognising the increasing emphasis on security within regulatory frameworks, we have also invested in measures that effectively safeguard our customers’ data,” Narang explained in an interview with The Exchange Asia. Narang also stated that scaling services across a vast and diverse region like APAC involves navigating a multitude of regulatory environments. Having that in mind, Currencycloud has expert regulatory and compliance teams, not just for APAC but across the world, ensuring that we adhere to the compliance terms in each of these markets,” said Narang. Furthermore, Currencycloud is poised to introduce new payment services and features once the MPI license gets approved. “Currencycloud will continue to develop new products and services that will expedite the processing of intra-Asia and east-to-west payments, empowering businesses in APAC to succeed in today’s interconnected and digital economy,” he added.  Being in such a rapidly evolving fintech landscape, Currencycloud differentiates itself through innovation and strategic partnerships. This is why the company has also launched innovative features such as Weekend FX and real-time FX to improve the speed and transparency of international transactions. Currencycloud has also collaborated with Shanghai-based Fuiou Pay and expanded its network by working with TangoPay and Paysend in Europe, as well as E9pay in South Korea. Following the recent granting of an Australia Financial Services Licence, the company is set to expand its footprint in Australia. “The securing of the Australia Financial Services Licence in June 2022 marks a significant milestone in our growth strategy,” Narang highlighted.  It also expanded its team in Australia to bolster its efforts to drive business growth and deliver innovative fintech solutions. Narang explained that partnerships with local financial institutions and fintech companies are central to Currencycloud’s strategy for regional expansion. “Our partnership approach is built on mutual collaboration and growth. One notable example is our partnership with Singapore-based start-up neobank (known as) OPAL, to offer domestic and cross-border payments, payment accounts, and e-money,” he continued. Currencycloud’s Future Vision in Payments and Security Looking ahead, Currencycloud is focused on harnessing emerging technologies such as blockchain and digital currencies to transform cross-border payments. “We foresee blockchain playing a pivotal role in revolutionising payments, particularly through digitalising tokenised money and using smart contracts to eliminate intermediaries,” said Narang. Amid rising cyber threats, the company prioritises on enhancing its security offerings by taking proactive measures to mitigate security risks, adhering to best practices to minimise downtime and sustain daily operations. “Our high-security framework adheres to the ‘four nines’ industry standard of availability, ensuring Currencycloud clients and partners are protected and confident in the integrity of their transactions and data,” Narang added. Meanwhile, Narang envisions significant changes in the cross-border payments landscape, driven by macro trends such as the consumerisation of B2B payments and the evolution of digital payment options. “APAC presents a massive more than US$40 trillion (RM188.28 trillion) opportunity in commercial money movement,” Narang noted. Due to this, he sees the future of cross-border payments being shaped by trends like the consumerisation of B2B payments, digital wallets, and ongoing developments in the payments ecosystem. Therefore, by fostering innovation and strategic partnerships, Currencycloud aims to stay at the forefront of the industry, delivering robust financial solutions that meet the evolving needs of businesses across the APAC region.

The Executives

Former Tourism DG: Clamp Down on Illegal Tourism Practices In Langkawi

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KUALA LUMPUR: Authorities at both state and federal levels are urged to intensify efforts to eradicate illegal tourism operations throughout Langkawi, as there is a greater need for a major clean-up to restore the island’s reputation and ensure a sustainable future for its legitimate tourism industry. Former tourism ministry director-general Datuk Seri Mirza Mohammad Taiyab Beg said there has been a surge in unlicensed hotels, motels, tour operators, and car rental services operating across Langkawi. He said these illegal operators not only compromise the quality of the tourist experience but also result in significant revenue losses for the state due to unpaid taxes. “By eliminating these illegal operators, a concerted effort must also be made to make room for licensed and legitimate operators who comply with regulatory standards and contribute positively to the local economy. “In addition to cracking down on illegal operators, there is a strong push to enhance transport links to and from Langkawi. “Proposed measures include increasing the number of ferry services from Penang and other destinations to boost accessibility to Langkawi. “This enhancement in transport facilities will attract more domestic and international tourists, thereby increasing economic input into the region,” he told The Exchange Asia. Furthermore, he said, the tourism-related authorities must implement a new programme to promote visits to the islands surrounding Langkawi. “Lower ferry fees could make these nearby islands more accessible, enriching Langkawi’s tourist offerings and spreading economic benefits widely across the region. “The government must take proactive initiatives to foster a healthier, more regulated, and economically beneficial tourism environment, ensuring that Langkawi continues to thrive as a premier island destination in Malaysia,” Mirza said. Further, Mirza urged the government at the state and federal levels to address several critical areas impacting the industry, focusing on improving facilities, accessibility, transportation, and safety and security measures vital for sustaining and growing tourism across the country. “There is a growing consensus among industry stakeholders that enhancing these aspects of tourism infrastructure is essential for maintaining Malaysia’s appeal as a top travel destination. “Specific improvements in transportation networks and the security framework are necessary to ensure a safe, accessible, and enjoyable experience for international and domestic travellers,” he said. Additionally, Mirza said there is strong advocacy to rope tourism experts to the ministry and related tourism bodies and agencies to elevate the tourism industry, as the current sentiment among industry professionals is that the sector suffers due to the appointment of individuals lacking relevant tourism knowledge and expertise. Mirza, who is also the chairman of the Association of Ex-Staff Tourism Malaysia (AESTOM), said skilled and experienced professionals must be involved in strategic planning and decision-making processes to foster innovative ideas and practical solutions that will elevate the tourism industry. “Bringing in experts is expected to lead to more informed and effective policies that can enhance the overall competitiveness of Malaysia’s tourism sector. “Bring experts from AESTOM to advise and consult the tourism ministry, agencies, and tourism professional bodies on how to elevate the Malaysian tourism industry to be on par with global standards. “This strategic shift will uplift the industry and ensure that it contributes significantly to the national economy while preserving the cultural and natural heritage that attracts millions of visitors to Malaysia each year,” he said. Mirza held the post of director general of Tourism Malaysia (2006–2018). His tenure exposed him to various assignments, from planning, development, and project management to marketing, communication, and international promotions. He was also the regional director based in Germany and Japan and the general manager of Langkawi Island Resort and Tanjung Jara Beach Hotel. He was also the deputy commissioner general for the Malaysia Pavillion at World Expo 88 in Brisbane, Australia, vice president of the Association of National Tourist Office Representatives in Japan (ANTOR) Japan, and head of the marketing task force for ASEAN National Tourism Organizations and the Organisation of Islamic Cooperation (OIC) Tourism ministers meeting. Moving on, Mirza said Langkawi, like many global tourist destinations, is still recovering from the COVID-19 pandemic and striving to regain its position as a leading island getaway. He said the government and tourism industry leaders must take crucial steps to accelerate this recovery and attract more tourists to the island. “Key among these strategies is establishing a price control mechanism to ensure affordability and prevent price gouging, which can deter tourists from considering Langkawi as a destination. “This mechanism must be aimed to standardise prices across services and amenities on the island, including accommodation, dining, and local attractions, to enhance its appeal as a value-for-money destination. “Furthermore, a significant push must be made towards a more aggressive marketing and promotional strategy to spotlight Langkawi internationally. “Authorities must consider partnerships with foreign media outlets, bloggers, and social media influencers to generate buzz and highlight the island’s unique aspects. “By showcasing the island’s natural beauty, cultural richness, and unique tourist spots, these efforts are expected to draw a wider audience and boost visitor numbers,” Mirza said. He said these combined efforts are part of a broader strategy to recover the losses incurred during the pandemic and build a more resilient and appealing tourism sector for the future. “By implementing these targeted initiatives, Langkawi will re-establish itself as a top choice for domestic and international tourists, ensuring a steady growth in tourism inflows in the post-pandemic era,” Mirza said.  

The Executives

Strategic Mining Leasing Expansion To Fuel MBG’s Growth Trajectory

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KUALA LUMPUR: Meta Bright Group Bhd (MBG) expects to see positive earnings growth from its mining leasing business as the company plans to expand this segment further. Executive director Derek Phang Kiew Lim said the company plans to secure more leasing contracts and aims for this segment to represent about 25 per cent of MBG’s overall net profit within the next three years. “This strategic expansion is expected to bolster our earnings consistently and reduce revenue volatility, aligning with our long-term financial goals,” Phang told The Exchange Asia. Currently, MBG is managing three leasing contracts, one in Malaysia and two in Australia, and plans to continue expanding in this space, particularly the equipment leasing market in Australia, due to its established presence and the promising market outlook. “We are open to various industries as long as there is a demand for heavy machinery. We assess each potential lease based on the clients’ financial viability and specific machinery requirements. “The prospects for further expansion are substantial, given the robust growth of the mining industries in both countries,” Phang said. Recently, MBG made its foray into the international leasing business, particularly with the equipment leasing agreement with Mt Cuthbert Resources Pty Ltd, a copper mining company in Australia. Mt Cuthbert Resources is wholly owned by Dragon Field International Ltd. MBG executive director and major shareholder Datuk Kelvin Lee Wai Mun holds an indirect aggregate interest of approximately 40.2 per cent in Mt Cuthbert Resources through Dragon Field International. Phang said Australia’s mining industry, which includes a wide range of minerals from iron ore to copper, has seen a significant increase in exploration income, expected to reach AUD$5.7 billion by 2025. Similarly, Malaysia’s mining output is also on an upward trajectory and is forecasted to grow further, reaching RM12.8 billion by 2025. He said this growth is driven by increasing local and international demand for minerals, critical raw materials for the manufacturing and construction industries. “Our focus will remain on industries that require heavy and light machinery, typical in the mining, construction, and manufacturing sectors. “The equipment leasing market itself is witnessing strong growth, with the industry in Australia expected to expand to US$1.9 billion and in Malaysia to RM3.1 billion by 2025. “This growth presents a strategic opportunity for MBG to leverage its capabilities in these burgeoning markets. “The potential for expansion is aligned with increasing global demands and the strategic need for companies in these sectors to manage capital expenditure effectively by opting for operational leasing solutions,” Phang elaborated. He said the monthly recurring revenue of AUD$259,000 from its leasing agreement with Mt Cuthbert Resources translates to approximately RM795,844 per month to MBG’s overall revenue stream. With a net profit margin of at least 26 per cent, Phang said this figure might not seem significant compared to the company’s net profit of RM3 million in the second half of FY24. “Still, it’s essential to recognise the stability and low risk associated with this income. The recurring nature of this revenue is precious, providing a steady cash flow that enhances our financial strength,” he said. When asked about other aspects of MBG’s growth and stability that will be interesting to watch in 2024, Phang said one key focus would be the company’s building materials division, which would leverage the acquisition of Expogaya Sdn Bhd to capitalise on infrastructure and building development opportunities in East Malaysia, particularly Sabah and Sarawak. To recap, in February 2024, MBG acquired a 70 percent stake in Expogaya, a leader in ready-mix concrete manufacturing. This strategic move is expected to drive recurring income as the acquisition comes with an aggregate profit guarantee of RM30 million over five years. “The acquisition of Expogaya opens new revenue streams in the building materials market, especially given the promising infrastructure and construction developments in East Malaysia. “This as the country is witnessing significant investments in critical infrastructure projects such as the Pan Borneo Highway, which aims to enhance connectivity and spur economic growth across Sabah and Sarawak,” Phang said. He said with the construction industry in Malaysia projected to thrive, reaching a market size of US$38.55 billion in 2024 and expected to expand at a compound annual growth rate (CAGR) of 8.55 per cent to reach US$58.10 billion by 2029, MBG’s position through Expogaya is strategically set to capitalise on the increased demand for building materials. Additionally, Phang said MBG is set to enhance its solar energy sector, mainly targeting the commercial and industrial (C&I) and government buildings segments. He said this niche market holds significant potential for growth, and the company plans to engage in more joint ventures and collaborations to expand its footprint in this area. “We are also in the midst of evaluating the recently announced large-scale solar (LSS5) packages. “Our leasing and financing division is also expected to grow, with plans to finalise a third significant leasing agreement that mirrors the successful structure of our previous contracts. “This involves MBG financing equipment purchases, which are then leased back to operational owners,” Phang said. Moreover, given MBG’s recurring solid cash flow, the company is well-positioned to pursue further mergers and acquisitions throughout the years. “This strategic capability allows us to continuously strengthen our market position and enhance shareholder value through targeted strategic expansions,” he said.

The Executives

Curves Malaysia To Attract Investor Partners for Expansion Endeavor

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KUALA LUMPUR: Curves Malaysia, an all-women fitness club, aims to attract Investor Partners this year to become part of an international fitness franchise.. Chief executive officer Alison Chin said the company is pooling in investors and finalising the details to raise a minimum investment of RM100,000 from individual investors for new club openings in Malaysia. “We aim to gather contributions from various investor partners until the fund reaches a minimum of RM550,000 to begin opening new clubs in various locations. “Our strategy includes opening up to three clubs in the first year, and Investors can expect solid annual returns after the club’s membership stabilises after opening,” she told The Exchange Asia. Chin said that once operational, Curves’ business model incurs minimal ongoing costs compared to other industries, like restaurants, which require continuous investments in supplies. The business model also works on a membership subscription basis, which results in consistent cash flow for the company. “We have successfully run our existing concept, which has thrived despite Covid, and also launched a new signature concept in February this year. We plan to fund this venture within the next two to three months. “Our primary focus is on marketing, particularly targeting our core demographic of women aged late 20s to mid-50s who value health and wellness. We aim to open two more clubs by the end of the year,” Chin said. She said the company needs to meet considerable demand within the Klang Valley due to proximity. Location-wise, Chin said joining and consistency become unlikely unless individuals live or work within a 15-minute radius. Therefore, the company is mindful of the location for any future setup. “We are also considering expanding to other states, such as Penang, Johor, or Malacca, where we currently do not have a presence. We have received numerous inquiries from these states,” Chin said. She said that since early this year, the company has been brainstorming ways to innovate and enhance services for its existing members. “With that in mind, we aim to collaborate with suitable partners, whether franchise or joint venture partners,” Chin said, adding that Malaysia holds immense potential. “However, for this year, our focus remains on leveraging our expertise in Klang Valley and our familiarity with our business operations. We aim to concentrate our efforts here initially before expanding further,” Chin said.

The Executives

Europe, China Tourists to Drive Malaysian Heritage Hospitality Occupancy Growth

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KUALA LUMPUR: Heritage hospitality in Malaysia, particularly those connected to the hospitality industry, continue to gain recognition among tourists for their unique ability to offer an authentic glimpse into the country’s cultural history. These architectural treasures connect young and old visitors to Malaysia’s rich and diverse traditions. Domestic and international tourists are increasingly searching for the charm of those background buildings that awaken nostalgia and curiosity and showcase Malaysia’s past. From Malay kampung houses to colonial-era mansions, these are indispensable to Malaysia’s tourism attraction, drawing visitors eager to explore the country’s cultural soul. Temple Tree Resort Langkawi resort manager Irene Vairo said that in the next two to three years, European and Chinese tourists will drive the international market occupancy growth for heritage hotels and resorts. “We continuously see foreign tourists visiting Malaysia for a different and unique experience. “These international tourists find Malaysian heritage and culture interesting, and they want to experience that heritage feeling,” she told The Exchange Asia. Temple Tree Resort Langkawi is one of the notable heritage resorts in Malaysia and has gained popularity among travellers seeking cultural and heritage experiences. Situated within a century-old coconut tree plantation, the resort offers 21 rooms and suites in eight heritage buildings. Temple Tree Resort Langkawi offers accommodation in eight houses, namely Straits, Johor, Colonial, Estate, and Plantation, with heritage houses from Penang, Ipoh, and Negeri Sembilan. The resort’s designers carefully relocated these heritage buildings from different parts of Malaysia. Each building is aged between 80 and 120 and showcases various architectural styles. Despite their age, the buildings provide modern amenities such as plush bedding, air conditioning, wifi, and digital entertainment, offering guests the choice to choose from a range of rooms and suites, each with its own unique character. Irene said the resort’s commitment to preserving history sets Temple Tree Resort Langkawi apart from other heritage hospitality establishments in Malaysia. “Our international travellers are predominantly from the United Kingdom, Australia, Holland, France, and China “Weddings are another fast-growing segment, particularly mixed marriages, where couples come from different countries and select an island wedding in Langkawi,” Irene said. A report from IMARC Group highlights that the growth of the heritage hospitality market is driven by the rise of heritage tour operators specialising in creating tailored travel experiences, which is also seen in Malaysia. These operators design trips that appeal to those interested in thoroughly examining cultural and historical landmarks. The report noted that by providing meticulously planned itineraries and distinctive perspectives, they draw in a specific group of clients, including history buffs, cultural scholars, and inquisitive tourists. Further, the report also said that the growing impact of social media and travel influencers is also boosting the heritage hospitality market. With their large followings and engaged audiences, travel influencers highlight their visits to heritage sites, crafting engaging stories that resonate with their followers. The report noted that as social media and influencer marketing continue to develop, their influence on heritage tourism is anticipated to increase, affecting travel choices and moulding how people experience and value cultural heritage. When asked about challenges in maintaining and operating a heritage hospitality establishment, Irene said maintenance costs are the biggest challenge in running the business. “Like any other property, whether old or new, maintenance and repair are an ongoing process, and when operating a heritage resort, even more maintenance and repair are needed to preserve each house’s historical authenticity. “We have daily, weekly, monthly maintenance operations, including landscape works, that must be preserved and maintained to keep the establishment well and appealing, and this has become costlier than before due to the increase in raw material prices and labour costs,” Irene pointed out. Irene said having a good and reliable renovation team that understands heritage and is passionate about this area is important. “This speciality skill is a niche and is not widely available. We do not see this as a challenge but rather a commitment to preserve these historic houses, promote sustainability, and promote Malaysian culture and history for many years,” she said. Irene said Malaysia has a great advantage compared to some of the regional players where English is spoken widely, and conversing with guests from all over the world is easy. “Our pricing factor is also a lot more affordable when compared to Bali for instance. “Accessibility has improved with an international airport here on the island, and a plus point is that guests can get to the island by land, air or sea. “This accessibility will benefit domestic and foreign tourists looking at a unique cultural experience from heritage hospitality providers like Temple Tree Resort Langkawi,” Irene said.

The Executives

Handibee: Changing The Game In Home Warranty, Handyman Services

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KUALA LUMPUR: Homegrown startup company Handibee Sdn Bhd aims to shift the perception of home warranty by serving as a single contact point for all handyman services, simplifying the management of home maintenance. While many homeowners in Malaysia are relatively new to the concept of a home warranty, the company’s value proposition is multifaceted. Through its Handibee Home Warranty service, the company offers comprehensive financial protection against significant home malfunctions. Furthermore, its services are calculated hourly, distinguishing itself from regular quote-based pricing models. This calculation method eliminates the need to negotiate costs, making the repair process transparent. Selected plans offered by Handibee have added complementary services, and all repairs come with a 30-day guarantee. Homeowners have peace of mind knowing that their homes are maintained efficiently and reliably. Despite its beginnings as a start-up, Handibee is bold in crafting its business strategy centred on leveraging and adopting technological innovations to offer seamless and preventive home maintenance solutions. Chief executive officer Mohamed Shakir said Handibee is committed to exploring and integrating technologies such as artificial intelligence (AI) and the Internet of Things (IoT) into its systems and services. “By integrating AI into our system, we can develop preventive maintenance schedules that proactively address and prevent potential breakdowns before they occur. “This approach enables us to navigate potential disruptions, which positions us to lead the home service industry through innovation. “Our investment in IoT technology ensures homes are maintained efficiently. The focus on preventive maintenance helps us establish long-term relationships with homeowners, as we offer them peace of mind and unparalleled reliability in the market. “Our focus on technology and innovation ensures we remain at the forefront of the home warranty industry and continuously improve our services to meet the evolving needs of our customers,” Mohamed Shakir told The Exchange Asia in an interview. The company can enhance its diagnostic capabilities and service delivery by integrating AI and investing in IoT technology. Response time is quick, pricing is transparent, and plans can be customised. “To retain customers, we focus on delivering superior service quality. We leverage technology to offer personalised and efficient maintenance solutions and engage with customers through feedback and continuous improvement processes,” he said. Mohamed Shakir said the subscription-based home service market is witnessing significant transformation, driven by technological advancements and changing consumer behaviours. He said Southeast Asia, in particular, has a growing demand for convenient, reliable, and transparent subscription-based home services. “In post-pandemic times, we observe trends in property ownership and investment such as increased rental rates, changing home-buying behaviours, and a shift towards digital services. “These trends present an opportunity for Handibee to redefine home maintenance by offering subscription-based warranties that provide financial protection, convenience, and peace of mind,” Mohamed Shakir said. Despite the potential growth of subscription-based home services, the industry has its fair share of challenges. Mohamed Shakir revealed that Handibee’s biggest challenge is changing homeowners’ traditional mindsets toward embracing subscription-based home warranties. To address these challenges, Handibee has a three-angled strategic plan to increase awareness and adoption of home warranties. First, the company is engaging in educational campaigns to highlight the benefits and value of its services. Second, the company will form partnerships with property developers and residential associations, and third, it will boost its marketing efforts by utilising social media marketing to reach a broader audience. When navigating the challenges of subscription-based home services, Mohamed Shakir acknowledges that government regulations and policies are potential catalysts for promoting sustainable practices and consumer protection within the home service industry. “Handibee advocates for regulations that recognise the value of home warranties in enhancing the quality of life for residents. “By working alongside government agencies, we establish a framework that supports the growth of the home warranty sector, ensuring it serves the best interest of consumers and contributes to sustainable residential maintenance practices,” says Mohamed Shakir. He added that Handibee is actively exploring new service offerings to broaden its impact. One such initiative is the development of a builders’ warranty for house developers. This warranty extends the defect liability period, providing homebuyers with added protection and peace of mind. Additionally, Handibee is considering entering the market of renovation home warranties, protecting homeowners from risks associated with renovation projects. These new ventures align with its mission to provide comprehensive and reliable home maintenance solutions. “Our immediate expansion plans involve solidifying our presence in the Malaysian market and extending our services to include integrated products that combine home insurance with warranties. “Following this, we aim to expand our footprint to Singapore and Brunei before exploring opportunities in Indonesia and Thailand with tailored home warranty solutions. “This phased approach allows us to adapt our offerings to meet the specific needs of each market, ensuring our services resonate with homeowners across Southeast Asia,” Mohamed Shakir said.

The Executives

Solar Panel Manufacturers Upbeat On Rosy Demand For Green Energy

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KUALA LUMPUR: Malaysia is set to register a rosy 9 per cent compound annual growth (CAGR) rate in the local solar energy market within the next five years. International market survey company Mordor Intelligence for the 2024-2029 forecast period noted that the Covid-19 pandemic had slightly affected the solar photovoltaics (PV) installations in the country due to lockdown restrictions, supply chain disruptions, disruption on the solar PV production, and project implementation delays. However, the market has now reached pre-pandemic levels, according to its findings. Factors propelling this robust growth include the increasing investments in the renewable energy sector and the country’s efforts to shift from fossil fuel-based power generation, which are expected to drive the market during this forecast period. However, high initial investment costs associated with solar projects are expected to hinder market growth during the study period. Nevertheless, Malaysia aims to install 9 gigawatts (GW) of solar energy capacity by 2050. According to the report, the country’s ambitious solar energy targets and business models, such as solar leasing, are expected to create many opportunities in the near future. Malaysia is increasing its usage of renewable energy in tandem with the acceleration of climate change. With the government’s efforts to encourage solar installations, the residential solar industry has shown a positive trend, and more homeowners are using solar systems. This shows that the country is on the right track to achieve the renewable energy installed capacity target of 70 per cent by 2050. This also means local players in the solar energy market are raring to use their strength to accrue the benefits of this gravy train. One such home-grown player, Verdant Solar Sdn Bhd (VSSB), envisions a Malaysia that is entirely reliant on solar energy. Since its founding in 2013, VSSB has been active in the renewable energy industry and is committed to providing high-quality solar energy services to Malaysian homes. Chief executive officer Zeth Lim told The Exchange Asia that the the future of solar panel usage in the country is promising. According to the National Energy Transition Roadmap (NETR), Malaysia aims to achieve 70 per cent renewable energy by 2050. “I believe we are on track. Solar PV remains the most encouraging segment of the National Renewable Energy landscape, showing significant growth from 4.2 GW in 2023 to a projected 56 GW in 2050. Malaysia’s CAGR for installed capacity stands at an impressive 48 per cent, expanding from 0.1GW to 2.6GW. “Moving forward, we anticipate a shift towards systems combining solar panels with battery storage. As the prices of both panels and battery storage continue to decrease, we expect to see an increasing trend in the installation of battery energy storage systems (BESS) over the next 3-5 years,” he said. Asked about the sentiments of commercial and industrial premises gravitating towards using solar energy, he said the high take-up rate for solar energy among these promises is primarily due to the favourable payback period. “Businesses are keen on investing because they anticipate recouping their initial costs within a relatively short timeframe. “Additionally, the availability of incentives for green investments further drives interest, potentially reducing the payback period to less than three years. “Another contributing factor is the attractiveness of solar system investors’ power purchase agreements (PPAs). These agreements provide appealing terms for purchasing solar energy, making it a financially viable option for businesses,” he said. Lim also pointed out that banks’ willingness to offer low-interest loans specifically tailored for industrial buildings looking to install solar systems plays a significant role. Access to affordable financing makes the transition to solar energy more feasible and attractive for businesses in this sector. “The government is supporting the industry through various initiatives, such as net energy metering (NEM) Rakyat and Nova Extension, which incentivize the adoption of renewable energy among the public and businesses. Alongside this, a framework for third-party access (TPA) and cross-border renewable energy (RE) Trading Platform will be established to facilitate renewable energy trading across borders. “Additionally, the government is providing financial support and incentives for renewable energy projects through various financing mechanisms and encouraging corporate commitments to carbon trading and Renewable Energy Certificates (REC) through platforms like the Bursa Carbon Exchange (BCX),” Lim said. Asked what it would take to reach the projected 56 GW in 2050, he said approximately 57GW of solar PV capacity must be installed to reach this goal. “This translates to a potential market worth around RM 142 billion by 2050. In terms of milestones, the government anticipates installing 7GW (approximately RM17.5 billion) by 2030 and 27GW (approximately RM 67.5 billion) by 2040,” he said. To another question on the government’s efforts to beef up the industry, he said, “First, government support. The government is working on policies encouraging banks to offer low-interest loans for solar panel installation, making it more affordable for Malaysians. “Investments in solar infrastructure, such as grid improvements announced in the NETR, also indicate the government’s commitment to enhancing solar infrastructure, which can facilitate the adoption of solar panels. “Moreover, Malaysia’s abundant solar resources further bolster the feasibility of adopting solar energy solutions amongst the Malaysian community. By embracing solar energy, Malaysians can bolster energy security and advance sustainability goals by reducing dependence on fossil fuels. “Lastly, there are ongoing public education and corporate social responsibility (CSR) efforts to raise awareness and foster expertise in the solar industry. At VSSB, we consistently utilise our social media platforms to advocate for the adoption of solar energy, contributing to the broader goal of widespread residential adoption of solar panels,” Lim said. He said his company is currently serving anchor clients like  Petronas, Daikin, Bandar Utama, Dutch Lady, 99 Speedmart, and Mavisco – while it doubled its previous record set in 2022 as the largest residential solar provider in the country in a year. According to him, in 2023, VSSB installed residential solar energy systems in over 1,300 homes across Malaysia, earning recognition through the Malaysian Book of Records. This brings the company’s current total of served landed properties and

News, The Executives

The Olive Tree Group Eyes Domestic, Regional Expansion

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KUALA LUMPUR: The Olive Tree Group is targeting expansive growth within Malaysia, with a strategic focus extending to regions like Sabah and Sarawak. In addition to domestic expansion, the company is also focusing on regional markets, aiming to establish its presence in Singapore, Dubai, and Australia. “We opened our first Frangipaani outlet in Bali, Indonesia, earlier this year,” founder and managing director Leslie Gomez told The Exchange Asia. Frangipaani serves North Indian cuisine. Last month, The Olive Tree Group opened La Chicá in Jaya One, its second outlet for 2024. This marks the fourth milestone in less than three years since its inception in October 2021 at Changkat Bukit Bintang, Kuala Lumpur. “La Chicá and Rockefellers are the two brands under the group we are pushing for expansion. He emphasised that opening new outlets in Malaysia and the region requires several factors, namely the right location, places with much human traffic, and tourism spots. “We have been in the business for over 20 years and are adapting to changes and the business landscape to follow current trends. We also maintain that ‘old-skool’ concept for younger consumers. “We are also planning on introducing new concepts soon, but again, this will depend on the location, where there are lots of locals or tourists,” Leslie said. He expressed optimism about the expanding prospects and demand within the F&B industry and said the company will continue to scout locations that align with its brand ethos to expand its footprint. However, he sees the recent changes in SST as adding another layer of complexity to the financial landscape for F&B businesses. “As taxes increase, consumer spending changes. Their spending diversifies. They look for value-for-money choices. “The initial 6 per cent SST was good, as many Malaysians prefer dining out. Adding another two per cent we see as adding a bit of a burden on consumer spending power,” he told The Exchange Asia in an interview. He said relevant government agencies must know that adapting to these tax adjustments requires a keen understanding of the implications for F&B operators and customers, influencing pricing structures and profit margins. “When taxes change and raw material prices increase, we need to change our pricing. This impacts consumers, and they may choose to go elsewhere,” Leslie said. As an F&B operator of 28 outlets in Malaysia and some abroad, Leslie said raw material price is one of the main concerns. He said that as a contingency plan, The Olive Tree Group tied up with suppliers, capping the price of supplies for six months to one year to avoid pushing raw material price adjustments to consumers. “We want to maintain our current prices for our food and drinks. We have a buffer with our suppliers, and therefore, our prices are maintained, even if there are any fluctuations in raw material prices,” he said. Elaborating on manpower shortages, Leslie said that in Malaysia, consumers look for a personal human touch regarding service. He said domestic operations are different in Europe, where people are already accustomed to self-service. “We are in a country where customers need that human touch when it comes to service. To address manpower shortage issues, we recruit foreigners with hotel and catering experience to work in our outlets. “These workers are usually the frontline staff, like waiters. Locals hold executive and management positions in all our outlets,” Leslie said. The Olive Tree Group aims to become the go-to entertainment spot domestically and regionally. Apart from La Chica, the group hosts 12 successful restaurants and bars, namely, The Beach Bar, Sutraa, Soul Room, Rock Bottom, Temptations Kitchen & Bar, Why Not, WoW Genting, and others.

The Executives

QGB Set For Strong Performance In Core Segments, Eyes New Markets

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KUALA LUMPUR: Qew Group Berhad (QGB), an investment holding company with a strong presence in Kuala Lumpur, Putrajaya, and London, is well-positioned for significant growth in its three core business areas – consultancy and advisory services, telecommunications, and real estate development.  Built upon strong relationships with its shareholders and stakeholders, QGB’s success is leveraged on these partnerships, providing the company with valuable resources and support, allowing it to navigate complex markets and pursue ambitious goals.   Additionally, QGB’s commitment to expanding existing businesses into new and competitive markets opens doors to exciting opportunities for future development.  QGB’s expertise in various sectors, including mining, healthcare, and partnering services, combined with its strategic partnerships and focus on market expansion, positions the company for a prosperous future.   By leveraging these strengths, QGB is poised to make a significant impact in the years to come.  Led by its founder and executive chairman Datuk Dr Muhamad Iqbal Mohamad, QGB focuses on its primary goal – to tap into various lucrative opportunities and deliver consistent returns and long-term capital gains for its investors and shareholders.      More strategically, QGB continues setting its pace in the future with a comprehensive strategy with its plan, aptly named ‘Bright Future’, ‘Big Future’, and ‘Benevolent Future,’ outlining three key pillars that will guide its development in the years to come.  The Bright Future pillar focuses on driving growth in QGB’s telecommunications and real estate development businesses. These established sectors provide a strong foundation for the company’s future success.  The Big Future pillar ventures into new and exciting territories, encompassing QGB’s investments in mining and healthcare. These sectors hold immense potential for future growth and diversification.  Finally, the Benevolent Future pillar underscores QGB’s commitment to social responsibility and creating positive change. Through its partnering services, the company aims to contribute to the well-being of its stakeholders and the community.  By combining its established strengths with a forward-thinking approach, QGB’s three-pronged strategy positions the company for a prosperous future, ensuring that all stakeholders benefit from its continued success.  With the Big Future thrust, QGB placed strategic investments in mining and healthcare, revealing a future brimming with potential.   The bold move in these two sectors has positioned QGB to capitalise on lucrative market opportunities, promising significant growth and returns.  Banking on the mining business, QGB, in July 2022, sealed a 600-acre iron ore mining sites deal in Bukit Besi, Terengganu and in March 2023, another 100-acre deal in Seri Bandi, Terengganu. This strategic landholding grants the company access to a valuable resource, with iron ore being a vital component in various industries.    Partnering in a joint venture worth RM30 billion, QGB stands to gain a substantial 13 per cent share, translating to significant revenue potential. Providing a timely boost, QGB currently has a stockpile of approximately 150,000 MT of iron ore ready for processing and export, coinciding with high prices of US$135 per metric tonne (MT) for grade 62 ore.   Furthermore, technical scans reveal an estimated 1.5 million MT of additional iron ore reserves in Seri Bandi in Terengganu undergoing preparation for the mining process. This promising development positions the company to capitalise on the current favourable market conditions.  Dr Muhamad Iqbal sees the project as being capable of generating lucrative income.  “Such activity will also boost the domestic economy and increase employment opportunities for the locals,” he said.  For the telecommunications sector, QGB, commanding a 0.3 per cent share, is well-placed to tap into the lucrative market potential in the booming Malaysian telecommunications market, estimated at a massive RM36.8 billion.    Under Phase 1, QGB owns 59 telco towers strategically located in Klang Valley, Sabah, and Labuan for the telecommunications business segment, positioning the company in a solid position to capitalise on more new telco tenders. These towers operate under a 10-year renewable Network Facilities Provider (NFP) license, ensuring long-term stability.   An additional 22 monopole structures are slated for completion by the third quarter (Q3) of 2024, further expanding the network’s reach.  Beyond towers, QGB has invested RM15 million in developing KELNET, a fibre network operating centre in Kelantan. This strategic move strengthens network connectivity and positions QGB to capitalise on the growing demand for high-speed internet access.   QGB aims to be a reliable player in the telecommunications landscape through a growing network, diversified revenue streams, and strategic partnerships.  In the real estate development segment, QGB forged its presence with the 258-acre Digital Asian Halal Hub Industrial Park in Kedah.   This project caters to the growing halal industry, offering a unique blend of industrial facilities and Islamic principles, attracting potential investors and businesses.  QGB has invested in a 6-storey building dedicated to a Holistic Healthcare Centre in Johor, expanding its business horizon into healthcare. The company has taken a holistic approach with Phase 1 of the Medeseri Healthcare Johor Bahru project, offering diverse services and catering to the growing demand for integrative and alternative medicine solutions.   This strategic investment positions QGB to tap into the booming healthcare market, estimated at RM72 billion in Malaysia.  These strategic investments in mining and healthcare showcase QGB’s commitment to diversification and growth.   By delving into the lucrative mining and healthcare industries, QGB positions itself to capture significant market share and generate substantial returns for its investors.   The company’s well-rounded approach, encompassing established sectors like telecommunications and real estate, paints a promising picture for QGB’s future.  Under the Benevolent Future thrust, QGB continues to chart progress and growth for the partnering services.  QGB provides financial support to small and medium-sized enterprises (SMEs), approved by Bank Negara Malaysia (BNM) for factoring services.   QGB commands 0.2 per cent of the RM90 billion Development Expenditure allocation based on the Malaysian Government Budget 2024. This facilitation empowers SME businesses to thrive, contributing to economic growth and job creation.  “QGB’s strategic investments in the booming Malaysian healthcare market, valued at RM72 billion, is expected to position the company to capitalise on promising opportunities and generate substantial returns for its shareholders.   “This move, coupled with their expansion into the lucrative mining industry, showcases a

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