Anwar's Turkmenistan Visit, Petronas' New Agreements A Boon To Malaysian Companies' Credibility

By Durratul Ain Ahmad Fuad

KUALA LUMPUR, June 22 (Bernama) -- Prime Minister Datuk Seri Anwar Ibrahim’s recent visit to Turkmenistan, which saw Petroliam Nasional Bhd (Petronas) cement new agreements after a 30-year presence in the country, should be viewed as more than a diplomatic mission, economists said.

They said the visit not only serves Malaysia’s strategic interests but also acts as a boon to investor confidence and highlights the capabilities of Malaysian companies in international markets.

Bank Muamalat Malaysia Bhd chief economist Dr Mohd Afzanizam Abdul Rashid said this is timely in light of the heightened geopolitical risks and uncertainties, as well as the proliferation of protectionist trade policies by the United States. 

“Petronas has a big name in the oil and gas industry, and it carries significant bearing on Malaysia's relations with Eastern Europe more broadly.

“It also shows that the present administration is taking a pragmatic and proactive approach to ensure that issues such as energy security and trade diversity are addressed holistically,” he told Bernama. 

On the potential spillover effects of the latest energy agreements on Malaysia’s economy, Mohd Afzanizam said they would open up more doors for trade and investment, especially in the energy sector. 

“Not to mention, they would encourage a greater presence in the services sector, especially in areas relating to financial services, along with rapid technological advances in payment systems, resulting in greater economic integration via e-commerce," he added. 

Concurring, Prof Emeritus Dr Barjoyai Bardai of the Malaysia University of Science and Technology (MUST) said the visit sends three positive signals to investors, namely that it demonstrates proactive economic diplomacy, reinforces confidence in Malaysian companies’ global competitiveness, and enhances Malaysia’s image as a country with stable international relationships. 

“Investors generally favour countries whose leaders actively secure strategic resources, markets and investments abroad. The Prime Minister’s direct involvement in facilitating major energy agreements indicates a government that is actively supporting national champions and international business expansion,” he said. 

On Saturday, Petronas, through its wholly owned subsidiary Petronas Carigali (Turkmenistan) Sdn Bhd, signed several new agreements to strengthen long-term strategic cooperation with the country.

Among the new agreements are collaborations with State Concern Turkmennebit and State Enterprise Hazarnebit to strengthen its presence in the Caspian Sea and expand its upstream portfolio in the country.

Barjoyai pointed out that Petronas has operated in Turkmenistan for 30 years and remains one of the country’s most trusted foreign investors — a fact that reflects international confidence in Malaysian expertise and governance standards.

“In today’s uncertain geopolitical environment, investors value countries that maintain constructive ties across regions. Malaysia’s growing engagement with Central Asia broadens its economic partnerships beyond traditional markets.

“From an investor’s perspective, the visit is not a game changer by itself, but it strengthens the perception that Malaysia is actively pursuing long-term economic opportunities and energy security,” he noted. 

Apart from that, Barjoyai said the latest strategic partnership demonstrates a high level of trust between both governments and institutions.  

“Strong diplomatic relations often act as a 'door opener' for businesses,” he said. 

He said potential opportunities include energy and petrochemical projects; construction and infrastructure development; aviation and logistics services following the Air Services Agreement; technical education and training; digital technology and smart infrastructure; and agriculture and food-related trade.  

“Historically, when a flagship company such as Petronas establishes credibility in a country, other Malaysian firms often find it easier to enter that market. In that sense, Petronas acts as an economic ambassador for Malaysia,” he added.

-- BERNAMA