Malaysia eyes post-pandemic recovery as RCEP comes into force

KUALA LUMPUR - With the coming into force of the Regional Comprehensive Economic Partnership (RCEP) in Malaysia on Friday, Malaysia eyes benefits the agreement will bring in its post-pandemic recovery efforts, according to a Malaysian official.

In his remarks at the forum "China-ASEAN in RCEP Implementation: Are Businesses Ready for RCEP?" Malaysian International Trade and Industry Deputy Minister Lim Ban Hong said the agreement will allow the country to accelerate its efforts to overcome the economic disruption caused by COVID-19.

"The implementation of the RCEP agreement is a timely boost to the long-term economic growth and prosperity of the region. For Malaysia, the RCEP opens greater opportunities toward economic recovery as we emerge from the pandemic together," he said.

"The agreement also brings about immense opportunities for businesses to expand within the Asia-Pacific region. On this note, I look forward to seeing our businesses tap on the benefits from the RCEP, to be part of the new regional economic landscape," he added.

Lim said Malaysia has already invested in recovery efforts such as in e-commerce, digitalization and other ecosystem elements to prepare its local stakeholders to take advantage of the agreement through its National Trade Blueprint (NTB) 2021-2025 which will prioritize the increased export value and the number of exporting companies, increase high-value export goods, diversify export products and improve the export ecosystem.

Lim also said RCEP provides a strategic platform for Malaysia to leverage on its close bilateral relationship with China, which has been the former's biggest trade partner since 2009.

"Beyond the plurilateral agreement, China and Malaysia have established solid and progressive economic cooperation frameworks in the form of the Belt and Road Initiative (BRI) and the Five-Year Program for Economic and Trade Cooperation," he said.

"I reaffirm that Malaysia and China will continue to deepen cooperation and synergy between our countries, foster new growth drivers including in the digital and green economy," he said.

For her part, Zhang Peidong, minister counselor of the Chinese Embassy in Malaysia, said the RCEP has provided a much needed boost in confidence in all signatories in anticipation of the improved level of regional economic integration in East Asia, and played a positive role in promoting the integration of regional industrial chains, supply chains and value chains.

The RCEP came into effect for Malaysia on Friday, which will provide an important impetus for the Malaysian economy. On this basis, China-Malaysia economic and trade cooperation is expected to be further deepened and developed, she said.