Key messages
China is a dominant player in global capital flows
- China’s “Going Out” strategy spurs deeper economic and financial integration
- Belt and Road Initiative (BRI) will elevate China’s investment to greater heights
- Chinese investments flow across a broad range of industries, including strategic sectors
Deepening of Malaysia’s ties with China: What are the implications?
- Spillover on GDP, investment, exports, SMEs and financial market
- Opportunities vs. challenges; Partners or competitors?
- How can local enterprises and SMEs benefit from BRI?
- Rising China engagement comes with concerns, negative perceptions and criticisms
Policy prescriptions to foster stronger mutual economic benefits
- Coordinate approaches to secure mutual economic benefits
- Targeted intervention policy – sourcing of local materials, transfer of technology, employment, synergetic ties-up
- SMEs – be prepared to seize business opportunities while facing competition
- Increasing the competitiveness of local SMEs
Key probing questions
- What kind of the government’s policies would be conducive to help SMEs to tap such opportunities?
- How to encourage and promote local enterprises and SMEs?
- Are our SMEs well prepared to compete and benefit from the opportunities created by the Belt and Road Initiative?
- What obstacles and barriers exist in China? How to improve market access?
