Malaysian businesses remain confident and are optimistic about the benefits and opportunities for international trade. This is despite difficulties such as the resurgence of Covid-19, the decline in consumer demand and protectionism.
Additionally, these difficulties and the events of 2020, has not dampened the inclination of most Malaysian businesses to invest to grow. These were some of the findings of HSBC’s global survey ‘Navigator: Now, next and how’.
This latest report gauges business sentiment and expectations on trade activity and business growth, surveyed more than 10,000 companies across 39 markets in the world, including Malaysia.
78% of Malaysian businesses intend to increase investment in their business in the new year, over the two thirds seen globally. Companies will focus their investment on three fundamental areas in 2021 – cash flow and capital management, marketing and sales channels.
Three fifths of Malaysian businesses will make it their immediate priority in 2021 to focus on usage of digital technology (56% vs. 48% globally).
Intra-regional trade has grown: In Malaysia, overall trade within APAC remains the most important (top 3 trading partners) with more than four fifths (86% compared to 76% in 2019) currently trading with APAC markets.
China continues to retain the top spot of current trading partner for Malaysian businesses, followed by Singapore and Indonesia.
Malaysian businesses are prioritising expansion into APAC (74% up 8% from 2019) and into China (22% up 9% from 2019).
More than half (57%) of Malaysian businesses are expecting that reshaping their supply chain will reduce costs.
To know more HSBC Navigator – Rebuilding beyond 2020, please visit our global HSBC Navigator website.