GIC posts 20-year annualised real return of 3.9%, down from 4.6%

By:
On:
In: South-East Asia

The number for FY2023/24 represents the average annual profit of GIC’s investment between April 2004 to March 2024, while taking world inflation into account.

GIC noted in its statement that the robust performance from April 2003 to March 2004- when capital markets recovered from the strong modification of the dot-com crisis- dropped out of the rolling window for this year’s 20-year return. &nbsp,

The global market was tenacious in 2023 despite economic plan tightening the year before, and prices slowed, leading sturdy performance in danger assets, GIC said. The technical sector’s increased interest in conceptual artificial intelligence even increased profits.

But, geopolitical risks increased with the Russia-Ukraine battle continuing from 2022 and fight breaking out in the Middle East in October.

According to the review,” there are more likely to be renewed prices and lower growth” because of the spectre of product and supply chain disruptions.

CEO Lim Chow Kiat remarked in the statement that the level of uncertainty had “exaggerated significantly” over the past few years, challenging the assumptions made during the past four decades. He cited the rapid technological advancements, weather shift, and political flow in some nations.

Investors no longer need to ponder just where we are in the economic cycle or the interest rate trend’s direction, he wrote. &nbsp,

” This&nbsp, unprecedented uncertainty translates into a wider range of possible outcomes. Pitfalls&nbsp, and investments await in similar measure”.

He claimed that the climate change is a good illustration of how GIC’s long-term versatile money can influence behavior.

Investors have begun to realize that financing the transition does require short-term opportunity costs that they are unwilling to bear, according to Mr. Lim, citing a drop in venture and development expense in the sector and fewer exits.

However, a team from GIC’s private collateral department identified businesses that needed funding to expand “first-of-a-kind” projects that usually fall between conventional capital buckets and launched an investment program for natural assets.

” Individual funds like ours is well-suited&nbsp, to manage climate technology’s potential&nbsp, J-curve”, said Mr Lim.

Nuclear fusion is one instance of an investment with a longer sky, according to GIC chief investment agent Jeffrey Jaensubhakij.

The portfolio invested in a nuclear fusion business about three years ago, but he claimed the tech is still in its eight to tenth year of development.

ECONOMIC, GEOPOLITICAL CHALLENGES

In its statement, GIC claimed that elements like tight economic policy in the US, China’s real estate market, and heightened geopolitical tensions are making the world purchase setting appear difficult. But, it claimed that a faster rate of AI implementation would result in higher productivity growth.

The world economy has been adaptable, but that may slow down the disinflation approach, and some big central bankers have postponed their ideas or done less than expected, said the sovereign wealth fund, which manages Singapore’s resources and helps to Singapore’s monthly budget.

Core central banks may not only have to keep rates higher for longer but also have to potentially raise them, according to the report.” If inflation proves more persistent than expected and even increases, core central banks may not only have to keep rates higher for longer. This would increase the risk of a recession and put strain on households and businesses that are already dealing with high borrowing costs.

Mr. Lim responded to a question about the impact of the upcoming US elections by saying that GIC has a high level of confidence in the nation.

” Whoever is in charge, we think the country will continue to do well because they have so many positive fundamentals”, he said, pointing to innovation, talent and deep markets in the US.

” Clearly, the US will continue to be a very important market for us”.

Continue Reading

Budget 2024: Six takeaways from India PM Modi’s new spending plan

By:
On:
In: Asia
Getty Images A woman works in office, Bangalore, Karnataka, India.Getty Images

After the ruling Bharatiya Janata Party ( BJP) lost its overwhelming majority in parliament, India’s finance minister Nirmala Sitharaman presented the coalition government’s first budget.

The new spending plan has replaced a stop-gap interim budget that came into effect from 1 April.

The budget announcements obviously indicate a change in interests for Prime Minister Narendra Modi’s new law, with ramped up allocations for rural development, skilling, work and agriculture.

Here are the six important insights from India’s resources:

Poor information for buyers

The budget increased the amount of tax on long-term capital gains from 10 % to 12.5 % on all financial and non-financial assets. Long-term holdings of property are regarded as.

Short-term capital gains will now be taxed at 20 % instead of 15 %.

The derivatives trading securities transaction taxes has also been increased by the funds.

The Economic Survey released a moment before, raising concerns about rising debate and the rise of retail traders in American capital markets, was widely anticipated.

Getty Images Indian workers align to submit registration forms as they seek employment in Israel during a recruitment drive at the Industrial Training Institute (ITI) in Lucknow, capital of India's Uttar Pradesh state on January 25, 2024.Getty Images

A$ 24bn jobs plan

Ms. Sitharaman has announced three new initiatives to address India’s persistent employment problem, which will cost the government 2tn rupees ($ 24 billion, £18.5 billion ) over the next five years.

For their first week’s income, up to 15, 000 rupees, first-time job applicants in the formal market will receive more immediate cash transfers.

Furthermore, two more programs have been announced to improve manufacturing jobs, which will provide employment-linked incentives to both employees and employers.

Tax relief for start-ups, end groups and international corporates

The government’s burgeoning start-up habitat will have something to cheer about, with an angel taxes levied on capital raised by secret firms now abolished.

Minor tweaks were also announced to personal income taxes, with expected savings of up to 17, 500 rupees ($ 209, £162 ) in outgo for people who opt for the new tax regime.

Corporate tax on foreign companies has also been reduced from 40 % to 35 % to promote investments.

Getty Images This photo taken on October 20, 2017 shows the Andhra Pradesh state government headquarters in the under construction "city" of Amaravati.Getty Images

A funds for the friends

The BJP’s two front-runners in the state of Bihar, Janata Dal ( United ), and Telugu Desam Party, both of whom hold 28 seats in the lower house, were asked to pay for the budget.

The finance minister announced 150 billion rupees worth of financial aid for the expansion of Andhra Pradesh’s money, with the promise of additional funding in the upcoming years.

A slew of new aircraft, path and energy projects were sanctioned in Bihar.

Reduced funds gap

For this fiscal year, the budget’s fiscal deficit, which is the amount that spends more than revenue, is set to be, at 4.9 %, less than the 5.1 % target that was previously announced, has been revised.

Rating companies carefully monitor the figure and have a direct impact on interest rates.

The government’s deficit was significantly reduced without significantly reducing expenditure thanks to a significant dividend payout of more than$ 25 billion from the nation’s central bank.

Getty Images Workers are working on the construction of a bridge over the Brahmaputra River in Guwahati, India, on July 23, 2024.Getty Images

Capex intact

The investment on state-led money spend on equipment generation, nevertheless, remained unchanged from the$ 134bn announced in the time budget.

” It is clear the focus has now become more diverse to other areas like employment, small businesses and social welfare”, said Shubhada Rao, scholar and founder of QuantEco Research.

She continued,” The budget is obviously more equitable in nature, and while there’s not necessarily “more immediate cash in the hands of people,” announcements like salary increases to new employees and minor tax changes could increase disposable incomes.

The Indian finance ministry anticipates an economy growth of between 6.5 % and 7 % for the fiscal year ending March 2025, which is lower than the previous forecast of 8.2 % and below that of multilateral organizations like the International Monetary Fund and the Asian Development Bank.

Follow BBC India on YouTube, Instagram, Twitter and Facebook

Continue Reading

Iskandar Investment Berhad launches Tech Medini to enhance the JS-SEZ digital economy

By:
On:
In: Technology
  • Aims to help businesses choose innovations, drive green growth
  • Initiative aims to generate US$ 1.9 billion in funding and make 65, 000 work

Left to Right: Roslina Arbak, director of IIB, Ng Kuan Khai, consulate general of The Republic of Singapore in Johor Bahru, Idzham Mohd Hashim, president & CEO, IIB & Marhani Md Jelani, director of Ministry of Investmentment

Tech Medini was launched by Iskandar Investment Berhad ( IIB ), a significant step in bolstering Medini’s position as Johor’s top digital and innovation hub.

Tech Medini, a 160-acre development area, is set to become a technical gateway where habitat players can create emerging technologies with innovators from fields such as AI, automatic drones, robotics, cybersecurity, bioengineering, quantum computing, interactive reality, space technology, and more. This initiative aligns with IIB’s goal of driving US$ 1.9 billion ( RM9 billion ) in investments and creating 65, 000 jobs in the Medini area, contributing to Malaysia’s evolution into a high-income nation in the era of Industry 4.0.

Idzham Mohd Hashim, president/CEO of IIB, stated,” With a strategic focus on supporting the Johor-Singapore Special Economic Zone ( JS-SEZ ) framework, Tech Medini aims to position Medini as a premier destination for investors, offering a cost-efficient business environment for the region”. He continued,” Tech Medini aims to enable organizations in adopting new inventions and accelerating digitalization to generate sustainable growth in the region by leveraging emerging technology and fostering creative collaborations.” This serves as a catalyst for our Medini revitalization plan, which aims to attract qualified and high-tech professionals and create a sustainable and prosperous metropolis.

Building on the success of existing efforts like Global Business Services Iskandar@Medini, Drone and Robotics Zone, Iskandar, and Blockchain Village@Medini, Tech Medini serves as a centre designed to empower companies and promote their progress. The Medini Nexus and Medini Soft Landing Programme are two of the advancement programs and assistance services offered by Tech Medini.

The Medini Nexus provides businesses with an street to ideate, expand, and validate their suggestions. It offers access to co-working areas, coaching by experienced entrepreneurs, innovation programs, and analyze site environments, enabling startups to establish a solid foundation for success.

The Medini Soft Landing Programme helps global startups set up their business in Medini by offering support services that comfortable market access, including guided conversation on business membership, business spaces, accommodation options, talent requirements, and localisation services.

Additionally, IIB supports the Dana Impak initiative under Khazanah’s Future Malaysia Programme, which aims to nurture and boost the startup ecosystem with a commitment of US$ 1.2 billion ( RM6 billion ) in funds over five years. Dana Impak is a key foundation under Khazanah’s Advancing Malaysia approach, investing across six elements: Digital Society and Technology, Quality Health and Education for all, Decent Work and Social Mobility, Food and Energy Security, Building Climate Resilience, and Competing in Global Markets.

By expanding their investment portfolio and optimizing the region’s worth development, IIB invites potential VC partners to add the money ecosystem. Additionally, the company urges more collaborators to support the development of Johor’s most important innovation and modern hub, contributing to the development of the next wave of innovation. For more information on Tech Medini, attend www. techmedini.com.

Continue Reading

Marcos Jr sets tone for epic clash with the Dutertes – Asia Times

By:
On:
In: Asia

MANILA – Philippine President Ferdinand Marcos Jr kickstarted his third, and arguably most consequential, State of the Nation Address ( SONA ) this week with a clear sense of urgency.

The Filipino chief has suffered declining approval ratings as a result of continuing to receive bulk support in authentic surveys, despite the country posting the fastest growth rate in the area last month. This is because of perceived frailty in handling monetary issues.

According to Pulse Asia’s third fourth study, the Marcos Jr management had a net bad 71 % approval rating in handling prices, which has consistently topped the “most serious” list of voter concerns.

Only 5 % of respondents were in favor of his handling of the country’s struggling prices for the past two decades. Even though general prices are in one digits and well below disturbed emerging markets like Argentina and Turkey, the majority of Filipinos who reside near the poverty line are affected by even slight price increases in basic goods.

In particular, charges of staple items like grain have picked up in recent years. This has had a particularly negative impact on Marcos Jr., who had vowed to reduce the cost of basic food staples and start a new period of financial prosperity.

A gram of rice is almost three times the average market value as of the date of his promise to increase in 2022. &nbsp, If anything, the Marcos Jr administration has also performed poorly on other top voter concerns, including poverty alleviation ( net -34 % ), wage increases ( net -15 % ) and hunger alleviation ( net -9 % ), although he scored a barely positive ( net 2 percent ) on job creation amid rapid gross domestic product ( GDP ) growth rates in recent years.

Just as concerning, nevertheless, is Marcos Jr’s declining respect ranking, which reached a low of 52 % – well below historical trends, especially under former president for as Rodrigo Duterte and Benigno Aquino, who had enjoyed super-majority support at this stage in their stints. &nbsp,

In fact, the president ranked below both Senate President Francis Escudero ( 69 % ) and, crucially, Vice President Sara Duterte ( 71 % ), who boycotted this year’s SONA following her resignation from Marcos Jr’s cabinet.

Rodrigo Duterte, president of the Philippines, and Sara, his child, attend the 2018 Boao Forum for Asia Annual Conference in Hainan, China. Photo: Asia Times Files / AFP / Getty Images

If anything, Duterte has positioned herself as the de facto leader of the major opposition at next week’s midterm elections. Before his political battle with his former allies, the Dutertes, Marcos Jr wasted no time to unite the nation’s elite and form a fresh coalition.

In his annual address to the joint government, Marcos Jr. set his priorities for his second year in office, stating that” the painful lesson of this last year has made very clear that whatever existing information happily proclaiming our country as one of the best-performing in Asia, means nothing to a Filipino.”

We were forced to temporarily implement mandated price caps on rice because of compelling emergency circumstances like illegal price manipulation by hoarders and smuggling, he continued, highlighting the impact of external factors on the high prices of basic goods.

To reassure voters, he claimed that his government has seized 2.7 billion pesos ( US$ 46.2 million ) worth of smuggled agriculture and fishery products, which would be redistributed to the poorest communities.

Marcos Jr., the former acting agriculture secretary, added that his administration will construct 1,200 kilometers of farm-to-market roads by the end of the year to lower transportation costs and lower overall costs of good commodities.

He added that his government would irrigate about 45, 000 hectares of new agricultural land this year while restoring irrigation to almost 39, 000 hectares of land in an effort to increase agricultural productivity. &nbsp,

The president also brought up climate change and the negative effects of a prolonged, more severe El Nio drought this year, which had a negative impact on domestic agricultural production.

It’s unlikely to attract back support from ensnared voters at the lower socio-economic levels unless the Marcos Jr administration significantly increases the supply of subprimed rice. The nation is also paying the price for domestic production underinvestment, which results in an excessive dependence on imported food commodities.

Marcos Jr. also acknowledged structural barriers to economic security and the decline in foreign direct investment, which was down by almost a third in April on a year-on-year basis. Accordingly, he promised to review existing laws, which disastrously privatized critical sectors such as power and electricity production.

The EPIRA [ Electric Power Industry Reform Act ] is being reviewed and thoroughly examined to determine whether it is still appropriate for our current circumstances or whether it needs to be amended. In reference to the 2001 law that gave private suppliers the authority to effectively dictate power rates in the country, which are among the highest in the Asia-Pacific region, I am asking Congress to work together on this for the sake of the Filipino people,” Marcos Jr. stated.

In the upcoming months, Marcos vowed to raise the matter among the 28 priority measures that the Legislative-Executive Development Advisory Council ( LEDA ) will identify as priorities. Given the Filipino president’s personal ties to and reliance on the advice of the country’s oligarchs, however, many doubt that he will enact any dramatic reforms to critical infrastructure.

He might also advocate for competitive electricity and power rates in special economic zones to entice more manufacturing investments, which are essential for the Philippines ‘ long-term development and more inclusive growth.

Meanwhile, Marcos Jr also tried to distinguish himself from the draconian and authoritarian policies of his immediate predecessor, Rodrigo Duterte.

” Extermination was never one of them,” he said, referring to his own less-lethal anti-drug campaign”. The conviction rate for drugs is at a high of 79 %. We applaud the report that, together with this, our country’s barangay population has decreased by 32 %, Marcos continued. &nbsp,

According to the Filipino president, his government conducted 71, 000 anti-drug operations, which have led to the arrest of almost 100, 000 drug personalities as well as the seizure of close to$ 800 million ( 44 billion pesos ) worth of illegal drugs. Human rights groups, however, have claimed that extrajudicial killings remain a serious concern.

As many as 360 deaths were recorded in anti-illegal drug operations between June 30 and July 1 this year, according to the Philippine National Police ( PNP ), the Philippine Drug Enforcement Agency ( PDEA ), and the Armed Forces of the Philippines ( AFP). &nbsp,

Activists hold a protest in front of Camp Crame, the headquarters of the Philippine National Police (PNP), carrying mock dead bodies, condemning the government's War on Drugs and holding placards showing the picture of the late South Korean businessman Jee Ick-Joo, who was murdered allegedly by suspected policemen in Manila on January 27, 2017.The South Korean businessman was allegedly kidnapped by Philippine policemen under the guise of a raid on illegal drugs and murdered at the national police headquarters in Manila, authorities said on January 18. / AFP PHOTO / NOEL CELIS
Activists hold a protest in front of Camp Crame, the headquarters of the Philippine National Police ( PNP ), carrying mock dead bodies, condemning the Duterte government’s war on drugs in Manila on January 27, 2017. Morocs Jr. has argued that his method is less lethal. Photo: Asia Times Files / AFP / Noel Celis

The measure of success should not only be the absence of violence but how many have been held accountable, said Carlos Conde, a top human rights expert, to the media. &nbsp,

In another major departure from his predecessor, Marcos Jr announced an immediate ban on Chinese-run online casinos, or so-called Philippine Offshore Gaming Operators ( POGOs ), a key and controversial legacy of the Duterte presidency.

” Effective today, all POGOs are banned,’ ‘ Marcos Jr declared, emphasizing growing concerns over” financial scamming, money laundering, prostitution, human trafficking, kidnapping, brutal torture, even murder, grave abuse and disrespect to our system of laws must stop.”

” I hereby instruct Pagcor]Philippine Amusement and Gaming Corporation ] to wind down and cease the operations of POGOs by the end of the year,” he said.

Marcos Jr. reassured that” the DOLE ( Department of Labor and Employment ) shall use the time between now and then to find new jobs for our countrymen who will be displaced” in order to prevent any economic disruptions.

The business community has welcomed the decision with open arms, particularly the renowned Makati Business Club, Financial Executives Institute of the Philippines, and the Management Association of the Philippines, among others. Both have highlighted the negative effects of Chinese online casinos, which are notorious for tax evasion, organized crime, and a meager contribution of only 0.1 % of the GDP of the Philippines.

According to Philippine authorities, 55 % of 31 cases of kidnapping in 2022 were POGO-related, underscoring the grave threat posed by online casinos, which enjoyed a heyday under the Duterte presidency. In perhaps his most consequential and popular departure from Duterte’s policies, Marcos centered on the South China Sea disputes.

” The Philippines cannot yield. In his proudest accomplishment of his year, he declared,” The Philippines cannot waver.” ” We continuously try to find ways to de-escalate tensions in the contested areas without counterparts, without compromising our position and principles”, he added, emphasizing the need for both a firm stance and proactive diplomacy.

In many ways, his third SONA set the tone for his coalition’s impending clash with the Dutertes at next year’s midterm elections, which will serve as a de facto referendum on the two clashing political dynasties.

Follow Richard Javad Heydarian on X at @Richeydarian

Continue Reading

JIA Asset Management partners Vynn Capital to propel Southeast Asia’s startup growth

By:
On:
In: Technology
  • Does utilize Vynn Capital’s system &amp, insights to help promising startups
  • Partnership aims to push growth, foster development in SEA’s business ecology

JIA Asset Management partners Vynn Capital to propel Southeast Asia's startup growth

By participating as a limited companion in the Vynn Capital Progression Fund, Vynn Capital’s flexibility and provide chain-focused bank, JIA Asset Management Sdn Bhd has made it known that it has a strategic partnership with Vynn Capital. The company stated in a statement that this collaboration represents a major step forward in its dedication to fostering innovation and growth within Southeast Asia’s active startup ecosystem.

JIA Asset Management, a licensed shops portfolio management firm that offers portfolio and wealth management services, is a registered business. It focuses on offering its clients a completely customized money management expertise that is customized to their requirements. The business is dedicated to offering its clients more than just results, but also benefit and opportunities to be at the vanguard of the investment landscape.

By granting JIA Asset Management access to high-potential growth opportunities in the state’s appealing business environment, it was noted that the relationship with Vynn Capital furthers this dedication.

JIA Asset Management continued to stand out in the Malaysian private wealth management market by offering customised and consolidated external asset management solutions that are customized to clients ‘ needs and interests for the year 2023. For the year, JIA Asset Management generated high investment returns for its private mandate clients.

Vynn Capital’s experience in early-stage opportunities, especially in the supply network and freedom sectors, and their emphasis on bridging classic industries with emerging

economy align completely with JIA Asset Management’s perspective. Through this agreement, the company hopes to use Vynn Capital’s extensive network and experience to help identify and help startups that are on the verge of victory.

The partnership with Vynn Capital’s Progression Fund is a testament to our commitment to fostering long-term development and delivering value to our clients, according to CEO JIA Asset Management Emmanuel Burdet. He added that by partnering with Vynn Capital, the company is on the verge of discovering appealing investment opportunities that will bring long-term value to their customers.

JIA Asset Management intends to expand its customer base while maintaining top-notch support and portfolio management for High-Net-Worth People as well as Institutional Investors.

In order to meet the demand for private stocks, the business is also planning to start a general Malaysian fund. Along with Vynn Capital, it is committed to identifying and supporting companies focusing on important areas such as smart mobility, travel, transportation, and supply chain efficiency.

Also, this partnership strengthens the firm’s position as a leader in Southeast Asia, ensuring that they continue to offer their clients access to the most promising growth opportunities.

Continue Reading

Halting tilapia invasion “a priority”

By:
On:
In: South-East Asia

PUBLISHED: 23 Jul 2024 at 08: 18

Famous chefs introduce dishes prepared with blackchin tilapia in Bang Khunthian district, Bangkok, on July 19. The government is promoting consumption to control the population of the invasive fish. (Photo: Apichart Jinakul)
Famous chefs introduce meals prepared with blackchin fish in Bang Khunthian city, Bangkok, on July 19. Consumption is promoted by the government to reduce the number of the aggressive bass. ( Photo: Apichart Jinakul )

The Agriculture and Cooperatives Ministry has been given instructions by Prime Minister Srettha Thavisin to intensify its efforts to stop the country’s blackfish fish spread.

The government has also been ordered to decide how the invasive types, which is endemic to West Africa, were able to get over the government’s waters, the prime minister said on Monday.

Agriculture and Cooperatives Minister Thamanat Prompow traveled to Samut Sakhon after receiving the order to meet with representatives from 16 counties that have reported an conquest of their region’s black fish.

At the conference, he said halting the spread of the invasive types is a federal focus, calling blackchin fish a threat to local wildlife.

The Department of Fisheries has agreed to pay 15 ringgit per kilogram for blackchin fishes that local fishermen have caught in an effort to stop the fish’s spread.

However, some people chose to buy the seafood at the market and resell it to the office for a profit because it is so common, according to Capt Thamanat, and it sells for only 10 baht per pounds at local markets.

The government is considering several measures to reduce blackchin fish numbers, including setting up traps to catch predators like pale seabass, according to a source within the ministry. Additionally, the ministry is considering using blackchin tilapia as animal feed and encouraging it as food.

According to the cause, the government is considering changing the genomes of the fish to prevent them from breeding.

On Monday, representatives from the National Fisheries Association of Thailand ( NFA ) submitted a proposal to stop the fish from getting to Capt Thamanat.

Before urging the government to set aside money to help pay for the effort, the organization said it would help the administration’s efforts to stop the multiply of the fish.

The Department of Fisheries made a new restrictions on raising blackchin fishes next Friday. A violation of Section 144 of the Fisheries Act could face up to a time in jail and/or a fine of up to one million baht.

The aggressive species ‘ reputation as a highly flexible types justifies the ban. Blackchin tilapias older and reproduce rapidly, harming the local ecosystem and posing a threat to fishermen, who claim the fish are fast replacing more valuable species in nearby streams.

Continue Reading

Why is Princeton Digital Group’s flagship AI data centre in Johor a boost for Malaysia?

By:
On:
In: Technology
  • 150MW JH1 posts Malaysia as a local hotspot for AI-ready information centres
  • combines native talent with tech innovation to promote the nation’s modern growth

Why is Princeton Digital Group's flagship AI data centre in Johor a boost for Malaysia?

The recent unveiling of the first phase of Princeton Digital Group’s ( PDG) JH1 data center campus in Johor, the state with the southernmost state in Malaysia, marks a significant milestone in the country’s digital infrastructure landscape. With the aid of this growth, the nation becomes a strong competitor in the country’s rapidly expanding AI and cloud computing industries. However, the swift execution of this 52MW job, part of a larger 150MW complex, demonstrates PDG’s execution capabilities and Malaysia’s willingness to embrace and promote cutting-edge professional investments.

Located in Sedenak Tech Park (STeP ), PDG’s JH1 college is dubbed as one of Southeast Asia’s largest data center services. It serves as PDG’s flagship AI-ready center in Malaysia and caters to international hyperscalers and businesses with demanding mathematical requirements. This service is piece of PDG’s broader Asian collection, which spans 21 data centres across 15 cities in 6 countries, positioning the business as a critical infrastructure provider in the region’s fast growing modern economies. &nbsp,

In a media briefing held at the campus last week, Asher Ling&nbsp,, chief technology officer and managing director Of PDG Singapore ( pic ) told reporters that the Johor campus benefits from excellent connectivity, access to multipleWhy is Princeton Digital Group's flagship AI data centre in Johor a boost for Malaysia?fabric roads, and proximity to key local data systems. ” Johor offers a unique blend of communication, system, and ability, making it an ideal place for our latest data center campus”, he impressed.

Ping highlighted that while standard factors like electricity, land, and space remain important, two new considerations have emerged as important: access to alternative energy and scalability. Ling praised Malaysia’s forward-looking National Energy Transition ( NET ) plan, noting its alignment with regional sustainability goals.

The NETR sets ambitious goals for Malaysia, aiming to achieve net-zero emissions by 2050. The plan outlines a gradual increase in renewable energy shares, targeting 31 % by 2025, 40 % by 2035, and an impressive 70 % by 2050.

The service, completed within 12 months of starting building in 2023, is also part of PDG’s modern SG ® approach which aims to create a seamlessly integrated information centre habitat spanning Singapore, Batam, and Johor. This approach gives large enterprises and hyperscalers unprecedented flexibility when deploying their infrastructure.

Ling also emphasized the importance of scale, pointing out that to meet the growing demand for AI and digital services, modern data centers require significantly larger parcels of land. ” The JH1 facility is designed to meet the increasing demands for high-performance computing and data storage, driven by the rapid growth of AI and digital services”, Ling added, underlying PDG’s commitment to future-proofing their infrastructure.

For context, STeP is located in Johor’s Kulai district, just 70 kilometres north of Singapore. It provides low-latency connectivity to key markets for park-based data centers. This prime positioning, abundant land, and cheaper power have attracted major players like Nvidia, AirTrunk, GDS International, and YTL Power alongside PDG. Southern Johor is emerging as a regional data center hub, which places Malaysia at the forefront of the AI revolution and draws in international tech investments.

What sets JH1 apart?

The JH1 campus features cutting-edge cooling technologies that strike a balance between performance and sustainability because it was designed to handle the intense workloads of AI. Ling emphasised the facility’s cutting-edge capabilities, noting,” We’re pushing the boundaries of air-cooled solutions, with our server racks capable of handling up to 40 kilowatts of power consumption and heat dissipation per rack. This is far beyond the typical 5 to 10 kilowatts per rack that many data centers use.

Advanced air cooling systems are used by JH1’s high-density computing environment to effectively manage the significant power requirements of AI processing while minimizing the impact on the environment. In May, before launching the first 52MW phase of JH1, PDG secured a RM1.28 billion green loan from Maybank, Standard Chartered Bank, and UOB Malaysia. This loan, PDG’s first aligned with its green finance framework, marks a significant step towards reducing resource consumption and emissions in regional AI infrastructure. In designing and running data centers for AI and high-performance computing, PDG’s commitment to sustainability is demonstrated.

When asked how PDG had integrated sustainability into the company’s core design, Ling explained that they have installed solar panels on the roofs and will continue to do so for the upcoming phases, utilizing Malaysia’s abundant sunlight to generate renewable energy on-site. This demonstrates PDG’s commitment to lowering its operations ‘ carbon footprint and aligns with the nation’s National Energy Transition Roadmap.

Furthermore, the facility incorporates energy-efficient chillers and other state-of-the-art cooling technologies. Even though they come with a higher upfront cost, we have chosen the most effective chillers available. The long-term benefits of energy savings and reduced environmental impact make it worthwhile”, Ling noted.

Another feature of the JH1’s design is how it incorporates flexibility for upcoming upgrades. As demand for AI computing grows,” We’ve developed the flexibility to accommodate next-generation liquid cooling solutions,” Ling said. Strategically speaking, a forward-thinking approach ensures that JH1 can adapt to emerging technologies, making it a long-term asset for Malaysia’s digital economy.

The current economic impact

The economic effects of PDG’s investment go far beyond the facility itself. As Ling revealed, PDG has employed about 90 staff. ” And we’re going to grow between 300 and 400 in the very, very near future”, he said, adding that this job creation, particularly in high-skilled tech roles, is a significant boost to Malaysia’s workforce development in the digital sector.

Moreover, PDG’s commitment to nurturing local talent is evident in its hiring practices and training initiatives. Ling proudly shared,” When we first started, we had no Malaysian staff. Today, on our PDG Malaysia team, I am proud to share that 70 % of our team are Malaysians”.

Ling claims that the focus on local talent extends to all the essential areas for data center operations. Ling elaborated on the diverse skill sets required:” We need mechanical engineers, electrical engineers, IT engineers, network engineers, and project managers who know how to do a build. And then you have a distinct team that is adept at running things.”

PDG’s talent development approach is multifaceted, combining immediate hiring strategies with long-term talent pipeline development. Specifically, PDG has been innovative in identifying and attracting talent from adjacent industries. PDG has established partnerships with local educational institutions in order to recognize the need to develop the next generation of data center professionals.

With UTM in Johor, we’ve started a graduate engineering training program, which is similar to an apprenticeship model in that it involves working in a live data center with top mentors who can advise and instruct you, and perhaps help with the advancement of a career,” Ling said.

Overall, the launch of PDG’s JH1 campus represents more than just a new data centre in Malaysia. It signifies a pivotal moment in the country’s digital transformation journey. By combining cutting-edge AI capabilities, sustainable design, and a strong focus on local talent development, projects like JH1 are laying the groundwork for Malaysia to become a key player in the global digital economy.

Southern Johor, Malaysia’s emerging data center hub, could have a significant impact on shaping the region’s technological landscape as the demand for AI and cloud computing grows. In order to create a robust ecosystem that can support long-term growth and innovation in the tech sector, such projects will likely need to continue to collaborate with government-supported educational institutions, private sector investments, and other sources of funding.

Continue Reading

China cuts key rate amid worst deflation since ’99 – Asia Times

By:
On:
In: Asia

Pan&nbsp, Gongsheng is n’t famed for acrobatic skills. However, the People’s Bank of China governor set out on a routine on Monday ( July 22 ) that will inexplicably test his motor coordination, agility, and financial balance.

Many traders were surprised to learn that the PBOC made the decision to split a crucial short-term coverage rate for the first time in nearly a year. Lowering the seven-day reverse mortgage rate by 10 base items to 1.7 % was aimed at supporting Asia’s biggest market after first-quarter economic development disappointed. And there are good chances that it wo n’t be the last cut as China has experienced the worst deflation since 1999.

However, the software Pan must carry out is a risky one because the PBOC struggles to stop the yuan from sagging. Officials have begun to establish a floor for 10-year government bond yields at, or about, 2.25 %, as a result. PBOC watchers generally concur that Pan’s group views that amount as a red column for costs, especially given that it hit a record low earlier this month of 2.18 %.

Juggling these dual challenges wo n’t be easy. On the one hand, China’s 4.7 % year-on-year growth rate during the January-March time was a wake-up call for President Xi Jinping’s Communist Party. The specifics in that reading, such as weak retail sales, sluggish industrial activity, and stagnant investment, demonstrate how Xi’s efforts to stabilize a burgeoning property sector and revive consumer prices have n’t been working as planned.

Negative forces, however, are raising another concern bells. Especially after the eagerly awaited Third Plenum planning session last week ended, Beijing must now demonstrate its commitment to economic reform.

As such, the PBOC rate cut is a” step in the right direction”, says analyst Zhang Zhiwei, chairman of Pinpoint Asset Management. However, economic plan is not the most crucial tool for coverage. The impact of governmental policy on the economy is crucial.

However, Pan’s cut smacked of greater necessity than many PBOC observers seemed to believe. As Zhang adds, the central bank “did n’t wait until the Federal Reserve cut first. This reflects they possibly recognize the upwards pressure on China’s business, so they need to take action to address the problem” quickly.

The lessons from Japan, of course, is that beating depreciation requires strong and fast rate activities. But the PBOC is also worried about the next quarter of its 2024 balancing act: letting the yuan weaken drastically.

There are several causes why Xi’s group wants to avoid a weakened yuan. One of the effects of it is that it may make it more difficult for developers of distressed properties to pay off their onshore bill. Beijing should never require or want another definition at the Evergrande Group level.

Second, Xi worries that the yuan’s years of development may be wasted by a weaker exchange rate. Since 2016, when the renminbi was added to the International Monetary Fund’s” special&nbsp, drawing&nbsp, right” box joining the dollar, yen, euros and ounce, its use in business and banking has soared.

In 2023, the renminbi topped the renminbi as the money with the fourth-largest communicate in global bills, according to financial communications service&nbsp, SWIFT. &nbsp, It furthermore overtook the buck as China’s most used cross-border economic device, marking a second. Any reason why Xi is devaluing the yuan might stifle growing confidence in the coin.

Third, Xi barely wants to make China a bigger problem in the US elections. The only thing that Democrats and Republicans can agree on is the need to be more wary of China. Why, then, does a falling swap rate inspire Washington?

The strong dollar will be a big emphasis in the months leading up to November 5 thanks to Trump’s selection of Senator JD Vance as his running mate. Trump’s guaranteed levies of up to 60 % on all domestic products are the same as those that may increase in scope if Republicans believe Beijing is manipulating exchange rates.

All of these factors help explain why the PBOC’s motion on Monday “was very reasonable and suggests that additional coverage signal may be incremental,” according to Shane Oliver, an economist at the financial services company AMP.

However, the negative pressures that are weighing down Xi’s$ 17 trillion economy are genuine and have the potential to get worse.

According to Andrew Hencic, a senior analyst at TD Economics &nbsp,” China’s entire business is in a condition of excessive source as it continues to deal with the dead housing market and related debt overhang.”

Domestically, “economy-wide rates continue to sink”, Hencic noted. China’s sinking produce business — and manufacturing —capacity utilization is a good illustration of the accumulating slack in the sector, according to the report.

According to Hencic, history has shown that it takes a extremely long time to restore price growth by rebalancing supply and demand following a fiscal shock, which has had significant negative effects on households and businesses. This might indicate that China’s companies and developers will experience a protracted period of low prices power, which will have significant effects on consumers around the world.

Economist&nbsp, Alicia&nbsp, Garcia-Herrero at Natixis information that “increasingly significant problems have been piling up for China during the last few years, including the destruction of the real estate industry, the difficult financial situation of regional governments, fast declining returns on assets because of over-investment and the negative pressures in the economy”.

Garcia-Herrero adds that” the response to all these woes, &nbsp, as aired by China’s leadership&nbsp, during the past few months, will be the further strengthening of China’s manufacturing capacity under the mantra of&nbsp ,’new productive forces.'”

China’s manufacturing capacity accounts for nearly a third of the world’s, while its consumption accounts for less than half of it. One might anticipate that measures to encourage private consumption would be the main takeaways from the third plenum given this enormous imbalance, but this does not appear to be the direction China’s leadership is going in, Garcia-Herrero said.

For now, many economists worry that Xi’s efforts to boost consumption are n’t gaining traction. Policies like these can encourage households to save less and spend more.

” The year-on-year decrease in excess savings growth has not yet translated into increased consumption”, says Tommy Xie, head of Greater China research at OCBC Bank. This may be related to households shifting their deposits to wealth management products and paying off their loans early.

Analysts at Maybank add that “instead of quick-fix stimulus, policymakers would need to address the root causes of consumers ‘ risk-averse behavior and encourage them to spend their incomes.” This calls for structural solutions to address fundamental issues like the prolonged downturn in real estate, the shaky employment market, the shoddy social safety nets, and mounting debt burdens.

All of this makes economists attempting to assess the effects of global spillovers. While the overall impact is still largely modest, according to Morgan Stanley’s economists, “it gives central banks like the Federal Reserve and the European Central Bank more leeway to take monetary easing measures throughout the year.”

The PBOC, however, concentrates more on global currents than on domestic events. Many economists anticipate that Beijing will use a series of coordinated monetary and fiscal maneuvers to quicken economic demand and prices.

More policy easing is necessary for the duration of this year, particularly on the fiscal and housing fronts, according to Goldman Sachs economist Lisheng Wang.

Follow William Pesek on X at @WilliamPesek

Continue Reading

Singapore’s financial cybercrime problem is fixable – Asia Times

By:
On:
In: Asia

After the pandemic, Singapore has become a very updated market and is widely regarded as a hub for innovation in Southeast Asia. Research from Google, Temasek and Bain indicates that ASEAN’s digital economy will surpass S$ 396 billion ( US$ 300 billion ) in gross merchandise value by 2025, with financial services digitalization a primary growth factor.

Financial institutions are continuously adding new products, features, and engaging consumer experiences, making Singapore’s financial services sector one of the most creative and aggressive in the world. Cybercriminals are now looking to take advantage of the expanding online landscape, despite this rapid change.

Financial corporations handle sensitive personal and business information for thousands of customers, including bank information, signup certificates and high-value purchases. These businesses are therefore extremely resilient and frequently the target of attacks in Singapore, frequently through malware or phishing attacks, making the financial services sector one of the most targeted companies by scammers today.

Singapore’s financial services industry was the leading target of phishing attacks in 2022 according to the Cyber Security Agency ( CSA ) in Singapore, with more than 80 % of reported phishing sites found to be impersonating financial institutions.

In most endeavors, swindlers spoofed banking and financial services, most of which were physical risks, according to the 2024 DBIR by Verizon.

Businesses and pension funds suffer significant losses.

According to the Singapore Police Force ( SPF ) annual scams and cybercrime brief in February 2024, nearly 2, 000 Singaporean victims were victims of a string of Android malware scams, and at least S$ 34.1 million was lost in 2023. Scammers have apparently used Facebook, WhatsApp, Instagram and TikTok to jam their subjects.

One of the highest-profile new hacking schemes was with OCBC in December 2021, with S$ 13.7 million lost. Some victims reported losing their existence saving right away as a result of spoofed SMS messages appearing in the same conversation string as authentic bank messages that were then directed to fake lender websites.

Out of kindness, the lender reimbursed the afflicted customers in complete, even though it was probably not at fault. A person has no remedy to their financial service provider from a legitimate perspective because they are held accountable for the series of events that result in losses.

Phishing scams that pretend to be banks to steal users ‘ bank or pension account login details continue to make headlines in Singapore. However, this kind of fraud can and should be avoided, and Singaporeans should and can do more to protect them from unauthorised access to their online transactions.

Fake advertisements cause token theft.

The modus operandi of these schemes has involved enticing patients with “investment opportunities” posted on social media platforms. These promotions, when clicked, direct to messaging programs or false investment sites. Here, patients are prompted to file for an account, accidentally providing their personal and bank information, which are then used for fraudulent actions.

Every financial institution should switch away from the outdated multi-factor authentication ( MFA ) tools like authenticator apps and one-time passcodes ( OTPs ) sent via SMS, which are vulnerable to phishing, according to best practice. MFA can serve as a powerful first line of defense, but not all MFA forms are created equal.

Instead, organizations need to choose strong phishing-resistant Authorization tools like components security keys. Phishing-resistant MFA processes are immune to attempts to deal or circumvent the authentication process because they rely on encrypted verification between the devices or between the gadget and a domain.

They require something you know ( a PIN), something you have, ( the key ), and something you are ( requiring a physical touch ) to gain access to the account.

However, the classic identification devices and responsive techniques designed to protect customers are inappropriate, and the financial services industry needs to move to a strategic approach to security.

Weak reactive approach to security

Activated through the CPF website, income records in Singapore are then automatically locked, which disables all online transactions. Members can improve the daily withdrawal cap to allow re-enable website withdrawals, which require stronger identification and a 12-hour cooling period.

Customers may call their lender to uncover their accounts, which can be slow and difficult. Taiwanese banks also offer this locking function. Better ways to verify a bank or annuity account owner than to simply lock their accounts completely. These anti-malware safety measures are having an impact on how clients use their bank accounts.

Financial corporations that choose the wrong path from attacks face legal repercussions. The Monetary Authority of Singapore is empowered to impose criteria for tech risk control under the Financial Services and Markets Bill of Singapore.

It has increased the monetary penalties for local financial institutions that are subject to a security breach as a result of oversight to S$ 1 million per occurrence.

Strategic digital protection for consumers with phishing-resistant passkeys

This reactive approach to digital protection is the only way Singaporean financial institutions may take action following a violation. They may stop breaches in the first place if they take a strategic approach to computer safety.

A highly effective technique of enhancing economic institutions’ security is to create mandatory present phishing-resistant MFA for bank and pension accounts, which includes passkeys – a new name for FIDO2 passwordless-enabled credentials, a standard that replaces password-only logins with more stable passwordless experiences.

Modern MFA requires that customers provide a strong, modern authentication system, such as a-passkey, which provides an additional layer of security that stops unauthorized access and theft. However, there are key differences when it comes to the kinds of passkeys available.

A tale of two passkeys: syncable and device-bound

Passkeys use public key cryptography, a technique that uses a pair of related keys. The public key is kept by the app or website, and the user’s device is paired with the private key, which helps safeguard it from unauthorized access.

It is important to understand that there are two types of passkeys: syncable and device-bound. Syncable passkeys are stored in the cloud and can be shared between various devices, which is convenient but also a risk if the devices are stolen or compromised.

Once a malicious actor has control of someone’s phone through malware, they have access to their syncable passkeys. Device-bound passkeys, stored on devices like phones, computers, or hardware security keys, including YubiKeys, provide a much higher level of security.

For optimal security, Singaporean financial services companies should mandate device-bound passkey authentication for all customers, balancing convenience with strong security. So, even if a customer uses a social media channel to engage in a phishing scam or clicks a suspicious link, their passkey is still safe.

Geoff Schomburgk is Vice President for Asia-Pacific &amp, Japan at Yubico.

Continue Reading

India budget: Can Modi 3.0 transform India’s economy?

By:
On:
In: Asia
Getty Images Workers assemble smartphones on the production line inside the Intex Technologies brand plant in Noida. Getty Images

Following a small victory in the election, India’s coalition government will release its first national budget on Tuesday.

A weakened Mr Modi, depend for the first time on alliance companions, is broadly expected to herald in a update in his spending plans, while maintaining fiscal prudence.

According to analysts, the new government may need to concentrate more on the remote bulk, who have lost out on the country’s rapidly expanding GDP in favor of the rich.

According to Rathin Roy, a former associate of the prime minister’s Economic Advisory Council, Mr. Modi’s second term will distract him with the idea of leaving a lasting tradition and may “tempt” him to do something to promote economic prosperity for the masses.

It is the one area where his legacy may claim that he has consistently failed in the past. ”

In the 10 times that he’s been in power, Mr Modi has poured billions of dollars into state sponsored system, building sea roads and motorways. He has also instituted tax breaks for large corporations and introduced subsidies to encourage production that is export-focused.

India’s fragile micro economy has stabilized, and its property industry have soared.

But so have injustice and remote problems.

AFP People plant rice saplings at a water-logged rice field on the outskirts of Amritsar on June 19, 2023. (AFP

Despite having the lowest overall growth in 20 years, BMW vehicles have recorded their highest income ever in the second half of this year.

Pay have stagnated, family savings have dropped and well-paying work remain out of reach for most Indians.

India’s regional disparities are also dramatic. According to Mr. Roy, the majority of the nation resides in northern and eastern India, where per person revenues are lower than those of Nepal and where health, deaths, and life expectancy are worse than those of Burkinabe.

Nine out of ten economists now claim that Modi 3’s greatest concern is being hampered by chronic joblessness. 0. According to a post-election survey, eight in ten Indians support taxing the super-rich, and tenth of the economists think that growth has n’t been inclusive.

The destiny of remote majority in north India contrasts stark with that of those who live in cities while wandering through its economic heartland.

The state of Uttar Pradesh’s northeastern state of Muzaffarnagar is only a few hours from Delhi, the country’s money. Barring the state-of-the-art bridge that cuts through the wide open grounds, it feels like a place that ’s been mostly bypassed by the state ’s beautiful economic growth.

Sushil Pal’s community has tilled the prairies of Behra Asa community for years. It’s difficult toil that barely pays again, he told the BBC.

Despite supporting Mr. Modi’s group in the previous two elections, Mr. Pal did not choose to support it this time. The prime minister ’s promises to increase land earnings, he says, has remained only that- a claim.

“My revenue has gone over. The price of labor and inputs have increased, but not for my grain, according to Mr. Pal. Before the votes, they only moderately raised the cost of wood procurement.

I make all the money that I can to pay for my children ‘ education and education. One is an expert but has n’t had a career for two years, ” he said.

AFP Indian workers gather to seek employment in Israel during a recruitment drive at the Industrial Training Institute (ITI) in Lucknow, capital of India's Uttar Pradesh state on January 25, 2024AFP

An export-focused furniture factory, located just down the road from his industry, has seen its turnover decline by 80 % in the last five years as global commands dried up following a post-Covid revenue increase.

Rajneesh Tyagi, the landlord, said he would have liked to market directly to mitigate the pause abroad, but continuing remote stress means there’s no demand for his products.

The farm economy is in decline, and high farmer debt and unemployment are the biggest obstacles to growing local demand, he added. “They have no capacity to buy anything”.

The backbone of India’s economy is represented by Mr. Tyagi’s business, which is representative of a wide range of microîntreprinders. India Ratings, a credit ratings agency, estimates 6. 3 million enterprises have shut down between 2015 and 2023, costing 16 million informal jobs.

In contrast, profits reported by India’s 5,000 listed companies rose sharply by 187 % between 2018 and 2023, spruced up in part because of tax cuts, according to commentator Vivek Kaul.

As Mr. Modi begins a third term in office, Mr. Modi will face the biggest challenges, bridge such glaring gaps between the formal and informal sectors of the economy and bring prosperity to India’s villages.

According to economists at Goldman Sachs, his first post-election budget may experience a “tilt ” toward welfarism, though not necessarily a reversal of more money being spent on large infrastructure projects.

A larger-than-expected dividend transfer from the central bank ( 0. According to the Wall Street bank, a government surplus of 3 % of GDP will help to boost welfare spending and maintain capex while focusing on the rural economy and job creation.

Even those who manage the finances of some of India’s wealthiest people agree with this view.

Given the government’s budgetary priorities, according to Rajesh Saluja, CEO and managing director of ASK Private Wealth, and how to tackle poverty reduction can be done “without upsetting the fiscal math,” given the high revenues and tax collections.

Getty Images Supporters of the Indian National Congress are taking part in a protest march and shouting slogans against the price hike of essential commodities and other food items, in Kolkata, India, on July 11, 2024 Getty Images

But economists warn more cash handouts are a poor substitute for real reform-led development. Some 800 million Indians already receive free grain, and some states invest close to 10 % of their income in welfare programs.

The budget will need to outline a strategy for how the government intends to invest millions in the workforce and increase earning potential.

The unorganized sector’s reduced footprint has implications for employment generation. Therefore, a prudent combination of policy that allows the coexistence of both formal and informal sectors must be pursued in the interim, according to Sunil Kumar Sinha, principal economist at India Ratings.

To meet its enormous domestic demand, Mr. Roy suggests that India should encourage low-end, labor-intensive manufacturing in industries like textiles and agri-food processing.

Economists at India’s largest bank SBI have suggested extending production-linked incentives Mr Modi has offered to exports-oriented sectors to small enterprises.

“So far, when we think of manufacturing, we are thinking of posh people. We are thinking of supercomputers. We are considering bringing Apple to town and producing a few iPhones, Mr. Roy said.

“These are not things that 70 % of India’s population consumes. We should produce in India what 70 % of India’s population wants to consume. If I’m able to make 200-rupee ($ 2. 4, £1. 8 ) shirts in this country and not let that import demand leak to Bangladesh and Vietnam, it will boost manufacturing. ”

Continue Reading