00:00 Let me then go to Prime Minister Ibrahim.
00:02 Malaysia has done pretty well. Growth is back.
00:07 You're also benefiting from the changes in the global value chains
00:12 where we see more near-shoring, also called French shoring.
00:17 You become one of the nations with big semiconductor,
00:21 at least cheap as industry.
00:24 But you're also dealing with productivity issues at home.
00:30 And listening now to Madam Gergieva,
00:34 what is your take on the current geoeconomic and geopolitical situation?
00:41 It is complex also in your region. So what is your vision?
00:46 Thank you. Those difficult, complex global questions
00:52 should be addressed to the MD of IMF.
00:54 But anyway, I must begin by expressing a profound gratitude to the Kingdom
01:00 and the leadership of King Salman and Crown Prince Muhammad.
01:04 Because coming from a majority Muslim country in emerging economies,
01:09 the initiative taken by the Kingdom cannot be underestimated.
01:15 The importance is profound because the Kingdom is seen to be the leading voice
01:21 on Islam, on progress, on development. This did not happen in the past.
01:28 So when they start focusing on the issues of development, of globalization,
01:33 of digital transformation, of energy transition, that by itself has appealed
01:40 to the concerns and the support of many of these countries.
01:45 Many of our Muslims look up to the initiative.
01:48 That's why I think I must give credit. And Minister, please convey that we see
01:54 this in this light. So you must continue to play this role to engage,
02:00 particularly those in the developing economies, emerging economies.
02:04 Notwithstanding the complex situation, the turbulent times affecting the region,
02:10 particularly the anger, frustration over the Palestinian issue with the Gaza crisis,
02:17 that shows complete abdication of responsibility, particularly countries in the West.
02:23 But notwithstanding that, the Kingdom wants not to be completely distracted.
02:29 The issue is important, it's fundamental to us, but at the same time,
02:33 we have to survive. The economy has to be strong.
02:37 The fundamentals have to be built. So Malaysia is again fortunate.
02:42 In a region that is probably, possibly most peaceful in the world
02:48 and the fastest growing economy. And we then, particularly Malaysia,
02:55 now start focusing on issues. Firstly, I think, Kristina, you made
03:00 the very important reference to the issue of governance, fiscal responsibility,
03:06 because without that, countries cannot move. You must start with certain priorities
03:12 because countries can grow, has enormous potential.
03:16 We had that experience in the 1990s. In fact, the World Bank and the IMF considers
03:22 this as an Asian miracle. I quite dispute that, but notwithstanding,
03:27 it was spectacular. We have seen spectacular progress.
03:31 But we also have to learn from the flaws of endemic corruption,
03:36 of gross inequality between the rich and the poor,
03:40 the propensity to adopt unbridled capitalism to the extent that you ignore
03:47 the plight of the masses deprived from basic opportunities.
03:53 So we have to steer that policy, issue of governance, of fiscal responsibility,
03:58 at the same time, do not lose sight of the key priorities,
04:04 which is relevant in this session, the issue of globalization, of interdependence.
04:10 We adopt a very fierce foreign policy position to engage and depend on the support,
04:19 collaboration, investments from the West, United States, Europe,
04:24 at the same time, maintain excellent bilateral relations with China, Korea, Japan,
04:31 and more importantly, with China because of the potential.
04:38 And of course, we have to grapple with these sensitivities,
04:41 which is not our problem, it's the problem of the rest.
04:45 And I've said it probably quite pronounced in Australia when asked,
04:49 I said, "Please do not impose your problem upon us because we are in an emerging economy
04:53 with enormous problems of our own." We have to now grapple with the issue
04:57 of digital transformation, and so you mentioned about these semiconductors.
05:02 We are fortunate because we have been now at the focus.
05:06 The focus in the past has been always in the back end,
05:08 but with the new investments coming in from America, from Germany, from China,
05:14 the focus has shifted to the front end, which means new challenges.
05:19 We train, we have to train differently.
05:21 We have to refocus on the issue of technological, technical training,
05:25 and TIVETS, which was somewhat ignored in the past.
05:31 We have to excel in some of the research area, which is challenging and new.
05:37 And I should conclude by saying that for these sort of forums,
05:41 it is critically important to us, and I choose to come precisely because of that,
05:46 to show that the initiative to combat the Kingdom and the issues being addressed
05:51 and focused, of course, with the support of the World Economic Forum,
05:57 would be of enormous benefit to us and ASEAN as a region.
06:04 Thank you.
06:05 (Applause.)
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