ISLAMIC FUND FOR GREEN TECHNOLOGY SECTOR

By Salmy Hashim

WASHINGTON, April 27 (Bernama) -- Officials from the World Bank and the
International Finance Corporation (IFC) will be in Kuala Lumpur next month to
discuss the establishment of an Islamic financing facility for the green
technology sector, Second Finance Minister Ahmad Husni Hanadzlah
said here Monday.

The officials will be in Kuala Lumpur from May 10 for discussions with Bank
Negara (central Bank) and the Ministry of Energy, Green Technology and Water to
develop a suitable model in the creation of a syariah-compliant US$200 million
fund.

The first Islamic fund of its kind in Asia, the financing facility would
focus on the environmentally-friendly sector, he told Bernama in an interview
following a series of meetings with World Bank and IFC officials, senior US
officials and his counterparts from Iran and Egypt.

The minister wrapped up his working visit to Washington DC Monday after
leading the Malaysian delegation to the International Monetary Fund (IMF) and
World Bank Spring Meetings from April 23.

The IMF projected Malaysia's GDP growth at 5.7 per cent in 2010 with growth
in the new key targeted areas that include oil and gas, electrical and
electronics, agriculture, tourism and financial services.

Husni said, in his meetings with top US officials and the American private
sector, there was strong interest to establish closer US-Malaysia economic
relations following Prime Minister Najib Tun Razak's working visit to
the US recently.

"There is strong interest on the part of the US to develop closer
relations
with Asean in terms of trade and investment. In this context, Malaysia is viewed
as a strategic partner of the US," he said.

American companies seemed to be excited by Malaysia's New Economic Model and
viewed it as an impetus for new opportunities in various sectors including
services, and the research and knowledge-based industries, Husni said.

He had meetings with Deputy US Trade Representative Demetrios Marantis,
Treasury Under Secretary for International Affairs Lael Brainard, and Assistant
Secretary of State for East Asia and Pacific Affairs Kurt Campbell, among
others.

In his bilateral talks with his counterpart from Iran, Seyed Shamsuddin,
they discussed ways to enhance trade and investment between Malaysia and Iran.

Husni said Iran wanted Malaysia to increase its investment in that country
especially in Islamic banking and finance.

Meanwhile, the Egyptian Minister of Investment, Mahmoud Mohiedin was
interested in a stronger Malaysia-Egypt collaboration in Islamic financing.

-- BERNAMA