ISLAMABAD: Malaysia is proving to be a lucrative market for absorption of the Pakistani workforce, thus greatly helping Islamabad in its efforts to alleviate poverty, WealthPK reported on Thursday.
It is a fact that Pakistan’s exports and overseas manpower are key to economic stability, and Malaysia is flexible enough to welcome Pakistani products and workforce.
A rising number of Pakistanis is serving in one way or the other in Malaysia.
With the changing business environment in Asia, the regional countries are now exploring new horizons for trade and business development.
Pakistan and Malaysia, which are also members of the Organisation of Islamic Cooperation, have struck agreements to not only enhance the bilateral trade but also increase the number of Pakistanis going to the latter country.
Early Harvest Programme (EHP), 2006, and Malaysia-Pakistan Closer Economic Partnership Agreement (MPCEPA), 2007, reflect on the two countries’ shared understanding and interest in boosting bilateral linkages.
The free trade agreement is Malaysia’s first bilateral accord with any South Asian country.
According to the State Bank of Pakistan, the last quarter of the fiscal year 2020-21 saw remittances increase to $8.035 million from the $7.957 million in the second quarter of the same year.
Pakistan also earned $232 million during the fiscal year 2020 from multiple exports to Malaysia. The country generally sends textile goods, grains, lentils, fruits, vegetables, meat, and different raw materials to Malaysia.
To provide the ownership structure in Pakistan for remittance facilitation, the central bank and the ministries of overseas Pakistanis and finance have jointly launched Pakistan Remittance Initiative (PRI) to make the process of remittances smoother and more transparent.
The introduction of Pakistan’s first blockchain-based cross-border remittance service with the coordination of Telenor Microfinance Bank and Valyou of Malaysia is a step in this direction.
Recently, Datu Sri Nazir Meraslam, chairman of Malaysia-Pakistan Business Council (MPBC), visited the Rawalpindi Chamber of Commerce and Industry and met with the chamber’s president Nadeem Rauf.
The two sides discussed ways to enhance the trade ties in multiple sectors such as construction, e-commerce, information technology, education, tourism, and pilgrimage.
They also discussed opening an office of the Malaysian External Trade Development Corporation (MATRADE) in Pakistan.
Mr Nazir Meraslam said that opening an office was necessary to promote bilateral trade between Pakistan and Malaysia. He said that the demand for skilled manpower from Pakistan was also an important part of the discussions.
The Rawalpindi chamber president assured Mr Nazir Meraslam of cooperation.
Pakistan’s “Vision East Asia” policy aims to increase trade opportunities with the Association of Southeast Nations (ASEAN).
Being the members of ASEAN, Pakistan and Malaysia also stand to benefit from an enhanced economic relationship. The policy also aims to forge strategic economic planning with the ASEAN nations, especially Malaysia.
Pakistan should focus on extracting proper benefits from MPCEPA as the country’s products are high in demand in the Malaysian market.
A bit of attention toward value-addition can boost the demand.
Initiating direct regular cargo flights to Malaysia can ensure speedy transport of perishable items.
-INP
