Money & Finance

Finance Minister Tengku Datuk Seri Zafrul Tengku Abdul Azizi emphasizes the importance of innovative business models and unique strategies to address economic challenges, noting that Malaysia must develop new production techniques and quickly adapt to changing economic landscapes.

Malaysia is actively working to mitigate semiconductor order backlogs that emerged during the COVID-19 pandemic. Global supply chain issues, including lockdowns, factory incidents, and transportation challenges, have significantly impacted the semiconductor industry's production and delivery capabilities.

China has offered a $31 million humanitarian aid package to Afghanistan, announced by Foreign Minister Wang Yi during a regional meeting. The aid aims to address economic challenges, combat COVID-19, and alleviate malnutrition while supporting societal reconstruction.

The start of 2021 was promising for the stock market, with commodity prices reaching new highs. Though the Delta variant initially impacted markets, foreign investors have recently injected nearly RM1bil into equities, helping the FBM KLCI recover approximately half of its previous losses and signaling a potential market turnaround.

Malaysia's Finance Minister Tengku Datuk Seri Zafrul Abdul Aziz plans to propose increasing the statutory debt limit from 60% to 65% of GDP. Currently at 58%, the government aims to provide financial support to people and businesses, with the proposal to be presented to the cabinet next week.

The automotive sector is set for sustainable recovery following government economic relaxation measures. MIDF research suggests the re-opening of plants and resumption of distribution and retailing from 16 August will help the industry regain lost production and rebuild supply chains.

The National Highway Traffic Safety Administration (NHTSA) has opened a formal safety probe into Tesla's Autopilot system after identifying 11 crashes involving Tesla vehicles at first responder scenes since 2018. The investigation covers approximately 765,000 U.S. vehicles equipped with Autopilot since 2014.

Indonesia's economy showed significant improvement in Q2, growing 7.07% and breaking out of recession. The growth rate, the strongest in 17 years, surpassed analyst predictions. However, rising Covid-19 infections could potentially disrupt the ongoing economic recovery.

Facebook declares Taliban a terrorist organization, banning their content and accounts across platforms. The company warns of potential account removals on WhatsApp if Taliban-linked profiles are identified, highlighting ongoing content moderation challenges during Afghanistan's political transition.

Japan has approved a $338 million semiconductor research project with Taiwan's TSMC to develop advanced chip technology. The collaboration aims to enhance Japan's competitiveness in the semiconductor sector, particularly crucial for industries like automotive manufacturing facing global chip shortages.