Turkish President Recep Tayyip Erdoğan addressed the Türkiye-Malaysia Business Forum today, emphasizing the deep-rooted historical ties between the two nations and outlining ambitious plans to strengthen economic cooperation.

Speaking alongside Malaysian Prime Minister Anwar Ibrahim, Erdoğan highlighted Türkiye's economic resilience, the growth of bilateral trade, and the potential for expanded collaboration in sectors such as defense, renewable energy, and Islamic finance.

A Historic Partnership with Strategic Growth

Marking the 60th anniversary of diplomatic relations in 2024, Erdoğan noted that the friendship between Türkiye and Malaysia dates back 500 years. "On this solid foundation inherited from our ancestors, we have now built excellent relations in every area and elevated our cooperation to the strategic partnership level," he said. The leaders announced the establishment of the High-Level Strategic Cooperation Council, with Erdoğan emphasizing the critical role of the business community as the "engine" of this partnership.

Türkiye's Economic Resilience Amid Challenges

Despite regional conflicts and the devastating 2023 earthquake, which Erdoğan described as "the disaster of the century," Türkiye has maintained robust economic growth. "We are one of the few countries that have achieved an average annual growth rate of around 5% in the last 20 years," he stated. Over the past two decades, Türkiye has invested nearly $300 billion in infrastructure, increased exports more than 20-fold, and doubled its share in global exports. The country has also attracted $270 billion in foreign direct investment, with the number of foreign-capital companies rising from 6,000 to over 80,000.

"We have already started to reap the fruits of the economic program we have been strongly supporting for 1.5 years," Erdoğan said, reaffirming Türkiye's commitment to becoming a "global powerhouse" and building the "Century of Türkiye."

Malaysia: A Key Trade Partner in ASEAN

Erdoğan praised Malaysia's economic achievements, noting its trade surplus for over 25 years and its attractiveness to global investors. "Malaysia is our leading trade partner among ASEAN members," he said, crediting the 2015 free trade agreement, which was expanded to include services, investments, and e-trade. Bilateral trade volume has grown from $1.7 billion in 2015 to over $5 billion in 2024, with the leaders setting a new target of $10 billion.

"Mutual investments are another important aspect of our relations," Erdoğan added, highlighting Malaysia's ranking as the second-largest investor in Türkiye in 2023. Malaysian companies, particularly under Khazanah Nasional, are active in Türkiye's healthcare, transportation, and energy sectors, with additional investments in food and retail. Erdoğan identified vast potential for cooperation in construction, automotive, food, electronics, and the halal industry.

Defense Industry Cooperation and Maritime Projects

Erdoğan underscored Türkiye's advancements in its domestic defense industry, stating, "We do not hesitate to share these capabilities with friendly and brotherly countries, including through technology transfer and joint production." He highlighted ongoing collaborations with Malaysia, including projects by Turkish firms ASELSAN, HAVELSAN, and TUSAŞ. Notably, STM's contract to build three corvettes for the Malaysian Royal Navy was cited as a milestone for maritime industry cooperation. "Malaysia is a country to which we attach priority and special importance," Erdoğan said.

Tourism and Connectivity Boost Social Ties

Erdoğan stressed the importance of direct communication and reciprocal visits, noting that Türkiye hosted over 61 million foreign tourists in 2024, including nearly 100,000 Malaysians. "Turkish Airlines and Malaysia Airlines have enabled us to strengthen social relations," he said, calling for increased flight frequencies to further enhance ties. He also encouraged Malaysian business leaders to utilize business council mechanisms to deepen economic collaboration.

Opportunities for Malaysian Investors in Türkiye and Beyond

Erdoğan highlighted Türkiye's strategic location, dynamic economy, and investor-friendly policies, offering significant opportunities for Malaysian investors. "Entrepreneurs trusting and believing in our country never have and never will regret," he said, pointing to potential in renewable energy, participation finance, and the halal industry. He also noted emerging investment opportunities in Syria following the end of 13.5 years of conflict, inviting Malaysian businesses to leverage Türkiye as a production hub and gateway to European, Middle Eastern, and African markets.

Erdoğan emphasized the potential for both nations to lead in Islamic finance, particularly within OIC countries. "I hope entities from the Malaysian finance industry will take their place at the Istanbul Finance Center, inaugurated in 2023," he said, also advocating for the use of national currencies in bilateral trade.

Looking Ahead: Strengthening ASEAN Ties

Erdoğan described Malaysia as a "key country" in Türkiye's Asia-Pacific strategy, expressing confidence that relations with ASEAN will reach new heights during Malaysia's 2025 ASEAN presidency. "I hope the business forum will help our brotherly countries' business communities get closer and foster new partnerships," he concluded.

The Türkiye-Malaysia Business Forum underscored the shared commitment to deepening economic ties, with both leaders optimistic about achieving their ambitious trade and investment goals in the years ahead. (ILKHA)