Khazanah’s green investment platform to be mobilised under UEM Group

• Khazanah plans for the platform to drive Malaysia’s decarbonisation agenda while also upskilling Malaysians in green sectors over the long term.

KUALA LUMPUR (June 27): Malaysia’s sovereign wealth fund Khazanah Nasional Bhd’s new green investment platform, which aims to attract domestic and overseas investments into the country, will be mobilised under its wholly owned subsidiary UEM Group Bhd.

The platform will serve to unlock value in Khazanah’s existing portfolio and achieve commercial returns by developing its seed assets through new investments and collaborating with high potential local and international companies, the fund said in a statement on Tuesday (June 27).

Khazanah plans for the platform — which will look to invest and build businesses in green sectors such as renewable energy and storage, green building technology and energy efficiency, and e-mobility ecosystem — to drive Malaysia’s decarbonisation agenda while also upskilling Malaysians in green sectors over the long term.

Its managing director Datuk Amirul Feisal Wan Zahir said the vision is to develop a globally competitive green investment platform in the region, with a direct and active ownership approach.

“This will be carried out in phases with its initial near-term objective of creating green domestic champions in the country, followed by the medium-term aim of establishing a platform that is competitive regionally,” he said.

Khazanah, via UEM Group, will soon launch a comprehensive strategy on strategic investments as well as partnerships and collaborations with both local and foreign entities, including planned approaches to attract green investments to create a vibrant and dynamic green economy ecosystem.

“The platform will be a significant part of our nation-building and value creation initiatives, aimed at driving Malaysia’s decarbonisation agenda and economic prowess, while building the capabilities of the nation’s green industries and upskilling of Malaysians to support and augment these industries, as we head towards the new economy,” Amirul Feisal said.

On Sunday (June 25), Prime Minister Datuk Seri Anwar Ibrahim said Khazanah and the government had discussed the importance of implementing a sustainable energy transition plan to ensure economic sustainability.

Anwar, who is also the minister of finance, said the parties have discussed investments by Khazanah to strengthen the domestic economic ecosystem, not only for start-up companies but also for those that were already successful and required capital for future growth.

“We look forward to contributing towards the government’s ambition in establishing Malaysia as Asean’s centre of electricity interconnection and integration to facilitate the sharing of renewable energy resources, crowd-in more investments and promote sustainable development in the region by synergising efforts across our companies,” Amirul Feisal said.