Malaysia, Maldives To Initiate PTA Negotiations, Pave Way For Greater Trade

From Mohd Fharkhan Abdul Ghapar

MALÉ (MALDIVES), Sept 15 (Bernama) -- Malaysia and Maldives have agreed to initiate negotiations for a Preferential Trade Agreement (PTA), a move expected to create new opportunities for businesses and further expand economic cooperation between the two countries.

Maldives President Dr Mohamed Muizzu said the agreement was among the concrete pathways explored by both countries to expand trade and investment cooperation.

“On trade and investment, we explored concrete pathways to further expand economic cooperation.

“Importantly, we agreed to initiate negotiations for a Preferential Trade Agreement, which has the potential to create new opportunities for businesses in both countries,” he said at a joint press conference with Prime Minister Datuk Seri Anwar Ibrahim at the President’s Office here today.

Muizzu also invited the Malaysian government and businesses to explore investment opportunities in the Maldives, particularly in strategic sectors including renewable energy, digital infrastructure, construction and Islamic finance.

Later, speaking to Malaysian media, Anwar said a PTA would provide greater clarity and certainty for businesses by establishing clear rules governing trade and investment between the two countries.

“Usually, as we know, when we have a free trade agreement, previously a PTA, it indicates that cooperation can be facilitated because the rules are clear.

“Potential investors or traders know specifically what is required. That is why the agreement is important, as well as the guarantees that are binding on the government,” he said.

Anwar emphasised the significant potential to strengthen bilateral economic ties, highlighting that Malaysia is the second-largest ASEAN trading partner for the Maldives.

He said Malaysia’s exports to the Maldives exceeded US$184.1 million, while imports stood at US$1.3 million.

Anwar also highlighted the Maldives’ role as a key international tourism destination and suggested that Malaysia should capitalise on the strong ties between the two nations to boost economic and tourism collaboration.

Also present were Investment, Trade and Industry Minister Datuk Johari Abdul Ghani, Human Resources Minister Datuk Seri R. Ramanan and Malaysian High Commissioner to Sri Lanka and Maldives Badli Hisham Adam.

Anwar’s two-day official visit to the Maldives ends today.

-- BERNAMA