Markets started 2010 with a fear of a double dip recession and fears of a repeat of the 1930s Great Depression. As we draw to a close, 2010 has turned out better than expected. Although the sovereign debt crisis in the Euro zone is not over, and demand weakness from Europe continues, we see emerging economies in Asia recovering and driving growth faster than the advanced economies. Malaysia stands proudly as one of the few Asian economies that have above-trend growth in Asia, led by China and India.

Going forward, the growth prospects for developing Asian countries in 2011, are still good. Malaysia’s growth outlook should remain favourable although the growth momentum will take on a more sustainable pace. It is estimated that Malaysia’s real Gross Domestic Product (GDP) growth will be 5.5% for 2011. As the Government’s New Economic Model (NEM) takes shape and the Government’s Economic Transformation Programme (ETP) gains traction, the private sector can expect to take a lead role to drive economic activities and create bigger economic spin-offs as high impact projects come on-stream in the new year.

While these are the new drivers of our economy, we must also continue to nurture and grow our South-South connections as they have proven to be burgeoning markets for our goods and services. Doing business in the developing South-South countries has proven to be a viable and profitable venture that can not only contribute positively to the Gross National Income (GNI) target under the ETP, but also create many economic spin-offs and multiplier effects for Malaysia. The South-South endeavours have resulted in creating Malaysian regional champions in the areas of finance, oil & gas, telecommunications, health, education and the manufacturing industries.

MASSA is pleased to have played a significant role in encouraging its members to foray into these new markets. These efforts would not have yielded the desired results, if not for the steadfast support of our Government and the host Government of these countries. Over time, effective networks and relationships were cultivated and nurtured to bring forth win-win business ventures.

I wish to express MASSA’s gratitude to all members and the Executive Committee members for their valuable participation and contribution to the Association.

I wish you and your families, “Season’s Greetings” and a “Happy & Successful 2011”!

TAN SRI AZMAN HASHIM
President