Investors not too worried about Sabah conflict
Companies and investors in Sabah said in a recent poll conducted by The Malaysian Reserve newspaper that they believe the conflict with the Philippine Sulu army “would not affect the long-term perception of Sabah and Malaysia as attractive investment destinations” unless the troubles escalate tremendously.
Fund managers and investors polled by The Malaysian Reserve said the incursion, which has already cost several lives, said that they have confidence that the Malaysian government would resolve the crisis quickly and prevent it from escalating.
The Sultan of Sulu himself has said earlier that there were no plans to disposses investors in Sabah in case he takes over the state.
Investors are likely to be more concerned about the impending 13th general election in June 2013 and whether existing pro-business policies would be retained after the elections.
The Malaysian government has said it has the situation in Sabah under control and is taking action to end the incursion.
Several companies that may be affected by a drawn-out standoff are those with presence in Sabah. They include AirAsia, Borneo Aqua Harvest, which has a research facility in Lahad Datu, Hap Seng Plantations Holdings with plantations in Lahad Datu and Eden Inc, which has power plants in Sabah.
Other companies such as Glenealy Plantations, IJM Plantations, Innoprise Plantations, IOI Corp, Felda Global Ventures Holdings and Karambunai Corp are also likely to be affected by the standoff, the paper wrote.
AirAsia has said that the conflict so far had no effect on the number of people traveling to Sabah. Reportedly, the airline has been chartered by the government to deploy hundreds of soldiers in the area.
Philippines stocks down
Meanwhile, the Philippines stock market, which has shown significant strength at the start of 2013, extended its losses as the territorial tensions between the Sulu and Sabah weighed down investor sentiment.
Most counters stocks were in the negative territory over the past days, led by mining and oil firms that declined.
[caption id="attachment_7410" align="alignleft" width="240"] The Sultan of Sulu's territorial claims (click to enlarge)[/caption] Companies and investors in Sabah said in a recent poll conducted by The Malaysian Reserve newspaper that they believe the conflict with the Philippine Sulu army "would not affect the long-term perception of Sabah and Malaysia as attractive investment destinations" unless the troubles escalate tremendously. Fund managers and investors polled by The Malaysian Reserve said the incursion, which has already cost several lives, said that they have confidence that the Malaysian government would resolve the crisis quickly and prevent it from escalating. The Sultan of Sulu himself...
Companies and investors in Sabah said in a recent poll conducted by The Malaysian Reserve newspaper that they believe the conflict with the Philippine Sulu army “would not affect the long-term perception of Sabah and Malaysia as attractive investment destinations” unless the troubles escalate tremendously.
Fund managers and investors polled by The Malaysian Reserve said the incursion, which has already cost several lives, said that they have confidence that the Malaysian government would resolve the crisis quickly and prevent it from escalating.
The Sultan of Sulu himself has said earlier that there were no plans to disposses investors in Sabah in case he takes over the state.
Investors are likely to be more concerned about the impending 13th general election in June 2013 and whether existing pro-business policies would be retained after the elections.
The Malaysian government has said it has the situation in Sabah under control and is taking action to end the incursion.
Several companies that may be affected by a drawn-out standoff are those with presence in Sabah. They include AirAsia, Borneo Aqua Harvest, which has a research facility in Lahad Datu, Hap Seng Plantations Holdings with plantations in Lahad Datu and Eden Inc, which has power plants in Sabah.
Other companies such as Glenealy Plantations, IJM Plantations, Innoprise Plantations, IOI Corp, Felda Global Ventures Holdings and Karambunai Corp are also likely to be affected by the standoff, the paper wrote.
AirAsia has said that the conflict so far had no effect on the number of people traveling to Sabah. Reportedly, the airline has been chartered by the government to deploy hundreds of soldiers in the area.
Philippines stocks down
Meanwhile, the Philippines stock market, which has shown significant strength at the start of 2013, extended its losses as the territorial tensions between the Sulu and Sabah weighed down investor sentiment.
Most counters stocks were in the negative territory over the past days, led by mining and oil firms that declined.
