MIDA IN FINAL STAGE OF TALKS TO SECURE MULTI-BLN-RINGGIT PROJECTS

KUALA LUMPUR, June 23 (Bernama) -- The Malaysian Industrial Development
Authority (MIDA) is in the final stage of negotiation with foreign parties
on two multi-billion-ringgit projects, which will likely boost the country's
foreign direct investments (FDIs) in the coming months.

Its director-general, Datuk Jalilah Baba, said the projects were in
alternative energy- and metal-related industries.

She said the talks, which had been going on for a year, were with parties
from Europe and Southeast Asia.

Jalilah, who is leading the negotiation team, said one party was eyeing to
site the project in Peninsular Malaysia and the other in East Malaysia.

She, however, declined to elaborate on the amount.

"We are finalising our offers to them, hopefully, in the next two months.
Usually, we give them three months to reply back to us," she told reporters
after the joint conference for overseas representatives of the Ministry of
International Trade and Industry, MIDA and Malaysia External Trade Development
Corp here Tuesday.

Jalilah said if successful, their investments could be reflected in the FDIs
in August.

Total investments in the country from January to April this year amounted to
RM8.8 billion ((US$2.48 billion). Of the amount, RM3.9 billion ((US$1.1
billion)was FDI and the rest domestic.

It is still short of this year's target of RM26 billion (US$7.34 billion).

She said FDI up to April was not encouraging due to the failures of some
companies to secure loans from their respective countries.

"We are now trying to match them with the local financial institutions. Two
big projects have already secured the financial assistance," she said.

Jalilah, however, said that their final decision would depend on the
incentives and support facilities that Malaysia could offer.
-- BERNAMA