Latest news with #RM2.2bil
Daily Express
2 days ago
- Business
- Daily Express
Bursa Malaysia dips as Trump's tariff hits investor sentiment
Published on: Tuesday, July 08, 2025 Published on: Tue, Jul 08, 2025 Text Size: iStock photo for illustrative purposes KOTA KINABALU: Bursa Malaysia closed lower after U.S. President Donald Trump unexpectedly announced a 25pc tariff on Malaysian exports, rattling markets. The FBM KLCI fell 7.4 points (0.48%) to 1,530.14, with 550 decliners outpacing 399 gainers. Trading volume reached 3.06 billion shares worth RM2.2bil. Export-oriented counters saw strong selling pressure, with Malaysian Pacific Industries dropping 86 sen to RM21.42. Meanwhile, Nestle rose RM1.66 to RM78.76. Foreign investors sold RM272mil worth of equities, while local institutions bought RM273mil. The ringgit weakened against major currencies, slipping to 4.2388 against the U.S. dollar. Markets now await Bank Negara's OPR decision, which may further influence trading direction. * Follow us on our official WhatsApp channel and Telegram for breaking news alerts and key updates! * Do you have access to the Daily Express e-paper and online exclusive news? Check out subscription plans available. Stay up-to-date by following Daily Express's Telegram channel. Daily Express Malaysia
The Star
30-06-2025
- Automotive
- The Star
Auto hub to fuel growth in Lembah Beringin
IT HAS been more than two decades since the Lembah Beringin township in Selangor welcomed new residents as much of the area remains underdeveloped. Once dubbed a ghost town dotted with stalled development projects, the area still lacks basic facilities such as schools, houses of worship, petrol stations and hospitals. However, a plan for an automobile plant in Hulu Selangor has injected hopes of socioeconomic growth in this part of northern Selangor. In February, Legenda Beringin Holding Sdn Bhd and Chery Corporate Malaysia Sdn Bhd signed an agreement to develop the Chery Smart Auto Industrial Park at Beringin High Tech Auto (Beringin HTA) Valley. Lembah Beringin is connected via the North-South Expressway. — Filepic The plant, expected to produce between 100,000 and 300,000 cars a year, is projected to create job opportunities for 2,400 locals. According to reports, the development involves a five-year investment worth RM2.2bil. Abd Rahman is optimistic the automobile plant will bring more people to settle in the township. Lembah Beringin Residents Association chairman Abd Rahman Abd Hamid, 59, is optimistic of the automobile plant bringing more people to reside in the township. 'Currently, there are only 120 households but since news circulated about the automobile plant, more people are looking at buying houses here,' said Abd Rahman, who has been living in the area for 20 years. Property agent KN Rao, 43, echoed similar optimism. 'A few years ago, a three- bedroom house in Lembah Beringin cost RM80,000. 'Now, the price has more than doubled to RM180,000,' he said, adding there was an uptick in renters too. A majority of properties in Lembah Beringin are landed, comprising terrace, semi- detached and bungalow houses. Work in progress Slated to start operations in September next year, construction works for the plant are currently ongoing in mukim Kerling. Checks at the site found earthworks being carried out with an office set up nearby to oversee operations. In a statement to StarMetro, Hulu Selangor Municipal Council (MPHS) said the development encompassed 98.3ha. 'MPHS has also received an application to convert 323.7ha of agricultural land to industrial zone to develop the Lembah Beringin High Tech Auto Valley. 'This has been approved and gazetted in the Hulu Selangor Local Plan 2035 (Amendment 1),' the local authority added. MPHS said a few public facilities such as schools, mosques and community halls had been planned too. 'Development of these facilities will depend on the number of residents, and plans of government agencies.' Lembah Beringin has many stalled development projects. Currently, Lembah Beringin residents are served by two primary schools while secondary school students have to commute to Kuala Kubu Baru. The lack of a house of worship see Muslim men performing Friday prayers at the Kolej Yayasan UEM mosque nearby. The township's once major attraction – Lembah Beringin Golf Club – which ceased operations following the Covid-19 pandemic, has yet to reopen. When contacted, Hulu Selangor MP Mohd Hasnizan Harun said he had raised the need for hospitals and secondary schools in the township during Parliament proceedings. 'However, this is tricky as the number of residents is too low to justify the high costs involved. 'With the automobile plant, there is hope of attracting more people to settle in Lembah Beringin, and subsequently, spur commercial growth. 'This locality has potential. Just look at neighbouring Bukit Beruntung, which has many Perodua vendors and is thriving,' he said. Hopes abound Directly linked to the North-South Expressway and serving as gateway between Selangor and Perak, Lembah Beringin is well poised to capitalise on traffic. Yet, the lack of commercial and industrial hubs, combined with its 68km distance from Kuala Lumpur, dampens much of its pull factor. The absence of attractions, such as shopping centres or cultural venues, further add to its less than illustrious reputation. Established in 1998, Kolej Yayasan UEM, a residential college renowned for its business and engineering courses, is perhaps a beacon of hope in this otherwise sleepy area. Abd Rahman is holding on to hope that the township can transform and thrive like its neighbour Tanjung Malim in Perak. 'Many reports have been published and they all said this is a ghost town. 'But it can be so much more. That narrative must, and will, change,' he added. Guarded optimism Despite the prospect of socioeconomic rejuvenation, many residents, mainly senior citizens, remain cautiously optimistic. There is also concern that allowing a massive industrial operation will bring an influx of foreign workers. Abdullah Sani worries about an influx of foreign workers for the automobile plant. During a meeting with MPHS regarding the building of the automobile plant, Abd Rahman said residents had asked for locals to be given priority to work at the facility. 'We were given assurance that the 2,400 workers would be locals and there would be 600 openings for foreign workers. 'We were also told that the automobile company will build workers' quarters to house foreigners,' he added. Having bought a property in Lembah Beringin three years ago at RM100,000, retired civil servant Abdullah Sani Asmoni, 63, said he loved the quiet surroundings and lush greenery. 'To avoid future problems, MPHS should clearly demarcate residential and industrial areas,' he added. He said he was also concerned over the influx of foreign workers due to the automobile plant. Father of five Mohd Amran Sulaiman, 63, who has been living in Lembah Beringin for two decades, shared similar concerns. 'I don't mind the area being underdeveloped. Right now, we can hear sounds of crickets every day – it is that calm here. 'There are also lots of idle land where I have planted fruit trees like mango, jackfruit and longan,' he said. Another homeowner, Mustafa Yahya, 66, bought his property in 1995 for RM79,000. However, he only moved in a few years ago. The father of five used to live in Wangsa Maju, Kuala Lumpur, but decided to move out of the city after retirement. Mustafa says Lembah Beringin is quiet and suitable for retirees. 'Lembah Beringin is quiet and suitable for retirees wanting to enjoy their twilight years in comfort,' he said. There is also concern that a more developed area will result in higher assessment tax, burdening elderly residents who are no longer earning an income. Lembah Beringin's low number of inhabitants makes it ideal for monkeys and wild boars to stray into neighbourhoods. At night, some places are in total darkness as many street lamps are believed to have been damaged by monkeys. Challenges ahead Setting up an automobile plant may breathe some hope for Lembah Beringin, but its troubles are far from over. The topmost concern is the sizeable number of uncompleted homes that mark the landscape. These projects are remnants of a time when developments stalled following the 1997 financial crisis. Back then, there was talk that the township could become the next Petaling Jaya, but hopes were dashed when development projects halted in 1998. Developer Lembah Beringin Sdn Bhd subsequently went into receivership and was eventually liquidated in 2006. At that point, some 1,300 units were completed, while another 1,000-odd were abandoned, leaving more than 600 buyers high and dry. There were also talks of an airport being built nearby, which fuelled property market speculation, but that project did not materialise either, added Mohd Hasnizan. Over the years, many attempts were made to revive Lembah Beringin but none of them were successful. MPHS said it was facing difficulties in identifying suitable redevelopment concepts for abandoned projects in the 'brownfield' area. In urban planning, brownfield refers to previously developed land that has been abandoned, underused or contaminated. The local council also said it needed to find the right balance between socioeconomic development and environmental preservation due to the area's proximity to forest reserves. Borhan: The state government is carrying out preliminary assessment on redeveloping brownfield areas in Lembah Beringin. Selangor housing and culture committee chairman Datuk Borhan Aman Shah said the state government was carrying out a preliminary assessment on the potential of redeveloping Lembah Beringin's brownfield areas. This includes a 122.9ha site in Jalan Kerling in mukim Sungai Gumut where there is an abandoned housing project. 'The redevelopment potential of this area is currently under study by relevant parties,' said Borhan. 'All proposals have yet to be finalised and are subject to review and approval by the Selangor Economic Action Council.' A spokesperson from Borhan's office said many abandoned projects in Lembah Beringin were privately-owned, hence tying up the state government's hand and complicating redevelopment efforts.
The Star
30-06-2025
- Business
- The Star
Digital banks grow deposits
PETALING JAYA: Three out of the five licensed digital banks which have begun operations are showing encouraging numbers, but they are unlikely to pose near to medium-term threats to conventional banks, says UOB Kay Hian (UOBKH) Research. The three digital banks which are operational are GXBank, Boost Bank and AEON Bank, while Ryt Bank and KAF Digital Bank remain in the pilot phase and are currently undergoing controlled testing with selected users to fine-tune their platforms ahead of a broader public rollout. There has been a rapid build-up in deposit taking with GX Bank leading in both assets and customer deposits. According to UOBKH Research, as of September 2024, GXBank reported RM2.4bil in total assets and RM2.2bil in deposits. AEON Bank recorded RM711mil in assets and RM339mil in deposits as at November last year, while Boost Bank, which had commenced operations in late first half of 2024, posted RM819mil in assets and RM573mil in deposits as of March 2025. GXBank's rapid deposit traction was driven by aggressive promotional campaigns and market leading saving account deposit rates of up to 3%. However, these initiatives have since been scaled back as the bank transitions into its second year. AEON Bank and Boost Bank similarly launched high-yield savings accounts, although Boost Bank has adopted a more disciplined strategy, maintaining a lower cost of funds at 1.7%, compared with 3% for its peers. 'Despite these encouraging numbers, the combined asset base of all three operational digital banks remains small, collectively accounting for less than 1% of the total banking sector's RM3.7 trillion in assets as of end-April 2025. 'Even at the regulatory cap of RM3bil per digital bank over their first three to five years, the cumulative RM15bil ceiling represents just 0.4% of the industry's current total assets,' said UOBKH Research in report. It noted that the three digital banks remain loss-making and they had guided it could take more than three years on average to break even. At the same time, established banks continue to advance their own digital agendas and retain broader product capabilities and distribution networks. 'Amid external uncertainties, we favour banks with attractive valuations, high provision buffers and capital management potential for added defensiveness. Our top picks are Hong Leong Bank Bhd , Public Bank Bhd and AMMB Holdings Bhd .' It said AMMB stands out for its capital management, supported by strong CET1 ratios, while Hong Leong Bank and Public Bank offer defensiveness in the current volatile environment, trading below mean price-to-book and backed by their solid provision buffers.
The Star
23-05-2025
- Business
- The Star
FBM KLCI snaps six-day losing streak to close higher
KUALA LUMPUR: The FBM KLCI snapped a six-session losing streak on Friday, closing higher despite broadly weaker regional markets. The 30-stock index increased by 8.26 points, or 0.55%, to close at 1,535.38. However, it recorded a cumulative decline of 2.32% for the full week. There were 468 gainers, 447 losers and 506 counters traded unchanged on the Bursa Malaysia. Turnover stood at 2.72 billion shares valued at RM2.2bil. Malaysian Pacific Industries rose 42 sen to RM18.42, PETRONAS Gas gained 32 sen to RM18, Sunway Construction added 26 sen to RM5.41 and Kuala Lumpur Kepong climbed 22 sen to RM19.84. Among the day's biggest decliners were Dutch Lady , down 80 sen to RM29.30, Heineken, 36 sen lower at RM27.94, YTL Power, down 21 sen to RM3.39, and LPI Capital, 20 sen lower at RM14.80. Main Market newcomer Eco-Shop Marketing, the most actively traded counter on Bursa Malaysia, closed up 6.19% or seven sen at RM1.20, with 209.16 million shares changing hands. Meanwhile, stock market data showed that foreign funds offloaded RM208 mil worth of equities on Thursday. Local institutions and retailers were net buyers at RM133 mil and RM75 mil, respectively. On the forex market, the ringgit rose 0.86% against the US dollar to 4.2367. It also gained 0.46% against the euro to 4.8043, climbed 0.22% against the pound sterling to 5.7145, and strengthened 0.48% against the Singapore dollar to 3.2927. Among the key regional markets: Japan's Nikkei 225 closed up 0.47% to 37,160.47; Hong Kong's Hang Seng Index rose 0.12% to 23,573.45; China's CSI 300 Index fell 0.81% to 3,882.27; Taiwan's Taiex declined 0.09% to 21,652.24; South Korea's Kospi closed down 0.06% to 2,592.09 and; Singapore's Straits Times Index fell 0.06% to 3,882.42 points.
The Star
16-05-2025
- Business
- The Star
Gamuda acquires 336 acres for extension of Gamuda Cove township
KUALA LUMPUR: Gamuda Bhd via its wholly-owned subsidiary Gamuda Land (T12) Sdn Bhd has proposed to acquire three parcels of land measuring about 336 acres for development as an extension of its Gamuda Cove township. In a statement, the group said it had entered into three separate sales and purchase agreements with Gagasan Ilmu Sdn Bhd for the acquisition of three parcels of leasehold land in Tanjong Duabelas in Kuala Langat, Selangor, for RM248.7mil. The lands, which are leasehold and intended for mixed development, are currently being used for agricultural activities with existing facilities. Gamuda intends to pay for the acquisition with cash funded from internally generated funds. It said the proposed acquisition is expected to be completed by the second quarter of 2026. The proposed development project has a gross development value of RM2.2bil and a duration of 11 years.
