September 28, 1999 (New York, NY). Today Malaysian Prime Minister Dr. Mahathir bin Mohamad addressed the inaugural session of the Malaysia-US Business Council (MUSBC), a coalition of U.S. and Malaysian companies whose senior executives represent the opinion leaders of Malaysian and U.S. industry and commerce.

The Prime Minister, who is in New York City for the UN General Assembly, noted that the MUSBC will be good for US-Malaysia business ties. "Malaysia is preparing itself for the Information Age," he told the executives. Citing Malaysia's rapid development over the past three decades, he said that "It is not a small achievement for an agricultural country to become one of the biggest producers of [electronics]. Now we are aiming to be a major player in the Information Age industry. For this we will welcome with open arms foreign investments." (The full text of the Prime Minister's Remarks is available on the US-ASEAN Business Council Web site at http://www.us-asean.org./Malaysia/Mahathir928.htm)

Following the Prime Minister's address, the U.S. and Malaysian executives discussed cooperation and joint activities in information technology and financial market development. The two sides agreed to:

• promote awareness of information technology opportunities in both countries, particularly for start-ups and small and medium enterprises (SMEs);
  
• explore information technology exchange programs bringing together industry and government with high-potential entrepreneurs to share information and education;
  
• develop Web-based mechanisms to facilitate business development, particularly for SMEs in both countries.

On the financial side, the MUSBC agreed to a regular exchange of information on financial market developments, and will also develop a white paper on the need for a U.S.-Malaysia double taxation treaty. The absence of such a treaty means a higher tax burden for companies from each country that make investments in the other.

US-ASEAN Business Council President and MUSBC Co-Executive Director Ernest Z. Bower said, "The message of the MUSBC is that our two countries have much in common, and our interests are most often in alignment. We in the business sector, in both Malaysia and the United States, are at the forefront of extensive cooperative efforts and outreach. This is the very nature of producing, marketing and distributing goods and services internationally. It is for that reason that business can help others unlock doors and bring societies together through greater understanding."

ASLI CEO and MUSBC Co-Executive Director Dato' Michael Yeoh added "The presence of Prime Minister Dr. Mahathir Mohamad at this inaugural meeting of the Malaysia-US Business Council sends a clear message that we welcome continued US investments into Malaysia. Prime Minister Dr. Mahathir's Keynote Address and Dialogue will enable our American participants to obtain first-hand information from him as well as policy amplification and clarification."

The MUSBC is an outgrowth of the annual US-Malaysia private sector dialogue organized by the US-ASEAN Business Council and the Asian Strategy & Leadership Institute. In April of this year, the US-ASEAN Business Council and ASLI signed a Memorandum of Understanding to act as Co-Secretariats for the MUSBC. The Co-Chairs of the MUSBC are Derek Williams, Senior Vice President of Oracle Corporation, and Dato' Alex Lee, Chairman of the Malaysian joint-venture AIG Software International Sdn. Bhd.

Two-way U.S.-Malaysia trade last year totaled US$27.9 billion, and despite a sharp fall-off resulting from Asia's financial crisis, Malaysia was the 18^th largest export market for the U.S. worldwide in 1998, and the 11^th largest source of imports. U.S. investment in Malaysia stood at US$6.2 billion at the end 1998, up from US$1.5 billion at the beginning of the decade.

Based in Kuala Lumpur, ASLI is an independent not-for-profit research-driven institution committed to developing international relations, business partnerships, leadership and strategic thinking. ASLI's mission is to help organizations enhance leadership and strategic capabilities through the interchange of ideas, information, and knowledge. Visit the ASLI Web site at http://www.asli.com.my.

Based in Washington, DC, the US-ASEAN Business Council is a private, non-profit membership organization which works to promote increased trade and investment between the U.S. and the member countries of ASEAN. Detailed information on the Council and its members is available on the US-ASEAN Business Council Web site at http://www.us-asean.org.

For more information, contact: Remy Nathan, US-ASEAN Business Council (202) 289-1911 ext 228 or by e-mail: remy@usasean.org.

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