Malaysia, Singapore Companies Encourage To Tap MSBDF Fund

JOHOR BAHARU (Johor, Malaysia), June 28 (Bernama) -- Malaysia and Singapore-based companies are encouraged to tap the Malaysia-Singapore Third Country Business Development Fund (MSBDF) as part as efforts to expand their business. Malaysia External Trade Development Corporation (MATRADE) Director for Southern Regional Office Raphy Md Radzi said the fund, which was set up in July 2004, was still under utilised. The fund, with an allocation of US$610,565 (RM2.5 million), was jointly administered by IE Singapore and Malaysian Investment Development Authority (MIDA) from July 2004 until May 24, 2012, before MIDA's role was taken over by MATRADE. "The purpose of the fund is to encourage businesses from Malaysia and Singapore to co-operate and jointly identify business and investment opportunities in third countries," he told Bernama. Raphy said companies which were involved in manufacturing, services, construction, trading, tourism and information technology, can apply for financing from the fund. He said the funds can be used for undertaking joint mission, market research and feasibility studies. Business associations and enterprises participating in joint missions can tap the fund to look for investment and business opportunities in third countries. "They can tap up to a maximum of RM200,000 which can cover travelling costs, accommodation, logistics, publicity, to name a few," he added. As for joint market research, Raphy said at least one business association from each country must undertake market research to analyse business environment, potential market strategies or business opportunities for specific markets or industry. For this, they can tap up to a maximum of US$24,422 (RM100,000) which can cover travelling cost and consultant fees. Meanwhile, for joint feasibility studies, a company needs to identify a specific project or company and engage a consultant to conduct investigation on the business potential. Besides, they can also conduct general search on investment opportunities in the third world countries, Raphy said. Those interested can contact the nearest MATRADE office for further information or MATRADE's Southern Regional Office at 07-2229400. --BERNAMA