KUALA LUMPUR: The central banking institutions of both Malaysia and Turkiye are finalising talks on the potential currency exchange, said Foreign Matters Minister Datuk Seri Saifuddin Abdullah.
“On the foreign currency swap, we are trying to expedite the signing of the Malaysia-Turkiye Totally free Trade Agreement (MTFTA) and also for both central banks in order to expedite the conclusion of the discussion on the foreign currency swap within the parameters of the financial world, ” said Saifuddin.
A currency swap is an contract whereby two countries agree to exchange a given amount of currency at an agreed upon interest rate as well as a common maturity day for the exchange.
Turkey has currency swap deals with The far east, Qatar and South Korea worth regarding US$23bil and Turkiye inked an almost US$5bil swap deal with the particular United Arab Emirates in January.
Saifuddin also mentioned Malaysia and Turkiye had enjoyed positive economic growth considering that both countries agreed upon the MTFTA in Aug 2015 and talks are being finalised to expand the free trade agreement.
“The enlargement of the MTFTA will cover new areas like investment, services plus e-commerce, ” stated Saifuddin, who was speaking alongside his European counterpart Mevlut Cavusoglu during a press conference in Parliament upon Thursday (Aug 4) afternoon.
Saifuddin also said both Malaysia and Turkiye has agreed that will new potential ares of investments needs to be explored, particularly digital economy, as well as the military and defence industry.
Meanwhile, Saifuddin said he plus Prime Minister Datuk Seri Ismail Sabri Yaakob spoke about the Malaysian Airports Holdings Bhd (MAHB) further participation in the Istanbul International Airport, as well as meals security, due to the continuous Russia-Ukraine conflict
Saifuddin also stated there is talk of more cooperation between Malaysian and Turkiye Muslim scholars, particularly these specialising in interpersonal sciences.
“We are really looking forward to functioning much closer, between the two of us foreign ministers and other ministers, so relations between two brotherly nations can be enhanced in the coming years, ” added Saifuddin.
Saifuddin’s counterpart Mevlut Cavusoglu then additional at the press conference that Malaysia is really a key actor within the Asean region, saying Turkiye was looking towards Yang di-Pertuan Agong Al-Sultan Abdullah Ri’ayatuddin Al-Mustafa’s official visit in mid-August.
He said Malaysia is Turkiye’s greatest trading partner within Asean and added said that the business volume has grown by approximately 50% or US$2. 42bil within the first half of this year.
Cavusoglu mentioned there was a target of achieving the US$5bil growth between Malaysia and Turkiye by the end of the 12 months.
“It shows up that this target will be achievable this year plus obviously, we need to work for a more balanced industry and we will do good, ” said Cavusoglu
“We wish to expand and deepen our cooperation within the coming period in line with the comprehensive strategic relationship (CSP), ” this individual added.
During Ismail Sabri’s recognized visit to Turkiye final month, bilateral relations between the two nations was upgraded towards the CSP level.