Penang records nearly RM10 billion of approved investments in services sector

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PENANG has secured nearly RM10 billion of approved investments in the services sector over the past two years, says caretaker Chief Minister Chow Kon Yeow.

 

Chow said the figure also accounted for 11 per cent of the state’s total approved investments.

 

Chow said this during his speech before officiating the opening ceremony of the Commerz Trade Services (CTS) office at GBS@Mayang in Bayan Baru today.

 

“While manufacturing continues to dominate the state’s investment performance, we are seeing increasing momentum from the digital economy industries, in particular, the global business services (GBS).

 

“The exceptional performance of the state, consistently surpassing expectations, serves as evidence of our competitive advantages.

 

“And these advantages provide a platform for GBS industry players, like CTS, to engage and flourish, creating growth opportunities,” he said.

 

Chow added that the Penang government is always committed to making Penang become a high-income state.

 

“Hence, we are focusing on high value-added sectors, particularly advanced technology and innovation in the digital economy sector, including ICT & software development and creative content, among others.

 

“To promote an engaged community and data-driven governance, Penang plays a vital role in attracting highly skilled professionals and fostering a collaborative and knowledge-sharing environment.

 

“These efforts are believed to drive the state’s economic growth, and enhance our global competitiveness and technological advancements,” said Chow.

 

Speaking about the CTS, Chow said he was proud that Penang was chosen as the next location for the CTS office, showcasing the confidence placed in the Penang ecosystem.

He highlighted the robust industrial infrastructure, strong talent pool, and conducive business environment as factors contributing to this decision.

 

The CTS office, strategically located at GBS@Mayang, spans an area of 3,790sq ft and is dedicated to performing finance-shared services.

 

The services provided include trade finance, payments, Know Your Customer (KYC) service, foreign exchange business, derivatives handling, software development, test automation, compliance services and other finance services.

 

Chow also expressed his appreciation to the Penang Development Corporation (PDC) and InvestPenang for their synergistic efforts in engaging investors and facilitating project implementations.

 

He assured investors of the state’s unwavering support through InvestPenang and other relevant state agencies.

 

Meanwhile, CTS chief executive officer Arne Graeber said with a presence that spans over 10 years in Malaysia, CTS was first established in Kuala Lumpur in 2012.

 

“Being a subsidiary of Commerzbank AG, and one of the largest credit institutions in Germany, CTS has grown significantly over the last few years and is now a global solution provider of trade financial digital solutions, servicing multiple branches across Asia, Europe and America.

 

“With our new office in Penang, this strategic expansion marks an exciting milestone in the company’s rapid growth trajectory and reinforces its commitment to Malaysia as a key hub for its operations.

 

“By establishing our presence in Penang also, CTS aims to tap into the region’s dynamic business environment and leverage the abundance of talent and resources available,” he said.

 

According to Graeber, the company aimed to hire 90 individuals in the first year and 120 in the subsequent year.

 

This hiring initiative will not only provide local talent an opportunity to learn about industry best practices but also contribute to Penang’s reputation as a talent hub in the northern region.

 

Also present during the CTS opening ceremony were InvestPenang chief executive officer Datuk Loo Lee Lian, CTS chief operating officer Vijayasuria Arulchothy, CTS chief strategy officer Uwe Sternitzke and CTS chief technology officer Prem Kumar Menon.

Story by Riadz Akmal
Pix by Darwina Mohd Daud
Video by Law Suun Ting