Mar 24, 2005 JAKARTA - Malaysian Trade Minister Rafidah Azzis has calledfor the reactivation of the "Growth Triangle", an area development conceptplanned by the previous governments of Malaysia, Indonesia and Thailand, alocal daily reported on Wednesday.
The three countries have many basic principles in common and they couldsupplement each other to create a big economic force, said Rafidah, whowas here to attend a business seminar organized by Malaysia's ExternalTrade Development Corporation.
The minister said an effective Growth Triangle covering southern areas ofThailand, western areas of Malaysia and northern provinces of Indonesia inSumatra will make it easier for the Association of Southeast Asian Nations(ASEAN) to implement trade cooperation, such as free-trade agreements,with India, Australia, China and other countries.
This concept is similar to Singapore's proposed Growth Triangle involvingthe southern state of Malaysia, Singapore and Indonesia's Riau province.Rafidah said the three countries already have a cooperation in forming arubber buffer agency and Malaysia is thinking over the forming of similarbody on crude palm oil.
She dismissed suggestions that Malaysia is proposing to form a cartel withthe idea of creating a buffer for crude palm oil.
Indonesia, Malaysia agree to accelerate BPAAIndonesia and Malaysia agreed to accelerate the implementation of abilateral payment arrangement (BPAA) to facilitate financing of bilateraltrade using respective local currencies.
Malaysia already has taken steps toward accelerating the implementation ofthe agreement to boost bilateral trade, a local daily quoted MalaysianTrade Minister Rafidah Azzis as saying on Tuesday.
Rafidah, who was on a visit to Indonesia to attend a business seminar,pointed to the opening in Jakarta of Malaysia's External Trade DevelopmentCorporation, which organized the seminar also attended by Indonesian TradeMinister Mari Elka Pangestu and business leaders.
Rafidah said Indonesia is an important destination for Malaysia investors,but Indonesia has not fully utilized its potentials.
Mari said Malaysia is the sixth-largest foreign investor in Indonesia sofar this year, with investment valued at US$461.5 million.