Malaysia Digital Economy Corporation (MDEC) has signed a new memorandum of understanding (MoU) with the apex body of the ICT sector in Sri Lanka to facilitate Malaysian companies to expand into the South Asian market as well as trade and investments in the digital sector between Malaysia and Sri Lanka.
Sri Lanka is an emerging market that many Malaysian companies see potential in as well as a country that is primed for them base themselves before further expanding into the South Asian region. The MDEC Vice President, global growth accelerator (GGA) stated that as the world moves into this new norm, people have to be quick to adapt.
He noted that one way to achieve this is by making use of technological advancements that easily opens the way for global market access. With the signing of this MoU, commitment from both parties will ensure that they do their best to encourage more trade opportunities within the technology sectors between Malaysia and Sri Lanka, he said in a statement.
Since 2017, a total of RM46.23 million has been exported to the South Asian nation and there is potential for more growth in the country. Sri Lankan companies themselves have ventured into the Malaysia market with currently two companies granted MSC status operating here.
This new MoU will see MDEC and the ICT Federation working in collaboration on developing joint programmes to further expand the existing relationship between the two countries and help encourage further expansion of tech companies in both countries into each other markets.
This is collaboration is apt as both countries are ideal gateways to the rest of their regions, Malaysia for Southeast Asia and Sri Lanka for South Asia.
The Chairman of the Federation stated that Malaysia and Sri Lanka are two emerging countries with countless opportunities in the technology and information, communication and technology (ICT) sector. He stated this MoU will help companies from both countries to explore and maximise business potential in the Asia region.
With the world working towards flattening the curve and managing the negative impact of Covid-19, many parts of the digital ecosystem have seen an uptick in usage. This includes a huge surge in mobile app and content consumption, more virtual meetings and webinars taking place, a better understanding of cyber-security and consistent user-base growths in the e-commerce space.
By using these digital platforms and services, this has certainly made it easier for businesses to consider expanding their outreach beyond local markets.
The arrangement, beyond offering to provide cross-border opportunities to businesses, will also provide the necessary support for those that want to explore the business ecosystems of both countries. This includes connecting key marketplace players and industry stakeholders in their respective digital and tech ecosystems.
One of the first acts of this partnership had been the virtual conference that was hosted virtually to commemorate the MoU and showcase the opportunities that both countries have to offer. This also includes the various businesses that are already making positive global impacts in their respective sectors.
The Malaysia High Commissioner to Sri Lanka stated that the collaboration between the two parties showed that even in this challenging period, there is still room to further enhance cooperation. It also reflected the close ties that exist between Malaysia and Sri Lanka. This arrangement will enhance the long-standing and close bilateral collaborations as it further extends our relationship in the digital sector, he added. The MoU is just one of many steps for MDEC in its ongoing efforts to develop and grow the digital economy.
