The report highlights how Malaysia’s private equity (PE) industry could play a strategic role in rebuilding the country’s post-pandemic economy to be more sustainable and resilient.
The scope of the report focuses specifically on the development of the Malaysian PE industry. It refers to a broad spectrum of private investment funds such as hybrid, growth, buyouts, secondaries, turnaround, and private investment in public equity funds specifically.
The report found that although the global PE industry’s AUM growth is expected to continue its upward trajectory to reach over US$9.0 trillion by 2025, Malaysia’s PE industry remains sluggish. AUM for the local PE industry has been growing at a slow pace of 4.3% annually, from USD$ 3.7 billion in 2010 to USD$ 4.9billion in 2020, compared to other countries that recorded a growth of over 10%.
The report concludes with recommendations for developing Malaysia’s PE industry. This includes policies to encourage more private investments in areas that would improve resiliency and sustainability; emphasise community and economic development activities; as well as bridge the gaps between domestic and global private capital fundraising.
For the full report, please click here.