MANAMA: Bahrain and Malaysia are keen to set up an International Money Market (IMM) as part of the implementation of an outstanding bilateral agreement between the two sides signed in 1990, a senior Malaysian official said.
Malaysian Minister for Foreign Affairs Raes Yatim, who arrived in Manama yesterday ahead of Prime Minister Abdullah Ahmed Badawi’s visit, said both countries shared common grounds on exploring more avenues of cooperation in all sectors.
Given the importance of an IMM to enhance business between the GCC (Gulf Cooperation Council) and Asia, the minister said the initiative should be carried out without further delay. “Bilateral trade has seen a major surge with trade rising to $191 million at the end of October 2008, showing a sharp increase in total trade volume of $164 million in 2007,” he told a press conference held at the Malaysia Embassy in the Seef area.
“The trade figures are encouraging but there is a long way to go by identifying the most potential areas of cooperation, including setting up a joint IMM. The IMM can be established under the bilateral agreement between Bahrain and Malaysia signed in 1990. Bahrain being the financial center in the Middle East can play a lead role by offering assistance and cooperation in Islamic banking and finance,” he said.
“The other agreements signed by both sides include an air services agreement, an avoidance of double taxation and last but not least a cultural exchange agreement,” he added.
Badawi, who is on the first leg of his GCC-wide tour, will open the Malaysia-Bahrain Business Forum on Monday, and hold meetings with King Hamad Bin Isa Al-Khalifa and Prime Minister Shaikh Khalifa bin Salman Al-Khalifa.
Highlighting existing cooperation, the minister said that in 2008 Petronas imported 6.5 million barrels of crude from Bahrain.
“Malaysia has five corridors for foreign investors which offers a wide variety of investments in Malaysia by utilizing the best of services, infrastructure and friendly laws.
