Malaysia urged to unlock value of IP assets to boost business financing
KUALA LUMPUR: Malaysia needs to strengthen its intellectual property (IP) financing ecosystem to help local businesses turn innovation, technology and brands into commercial assets that can support business growth as the country moves towards a more innovation-driven economy.
Malaysia is urged to enhance its intellectual property (IP) financing ecosystem to help local businesses leverage innovation, technology, and brands to fuel growth. Deputy Investment, Trade and Industry Minister Sim Tze Tzin emphasized the need to recognize the growing importance of intangible assets, which are crucial for a company's competitiveness but often do not qualify as conventional collateral when seeking financing.
The Deputy Minister highlighted that companies invest years in developing technology, building brands, and creating intellectual property, yet these efforts are not always reflected in their ability to secure funding. Development finance institutions play a vital role in identifying gaps, testing new approaches, and supporting areas critical to the nation's economic development, as stated at the launch of the WIPO-Malaysian Industrial Development Finance Bhd (MIDF) Intellectual Property-backed Financing Pilot Project Final Report.
Malaysia's future competitiveness will increasingly depend on its ability to develop local ideas, build Malaysian-owned intellectual property, and translate innovation into successful businesses, with the country aiming to increase manufacturing value-added and create jobs under the Madani Economy and New Industrial Master Plan (NIMP) 2030.
Brief written by urgent.news from New Straits Times's own syndicated text. Machine-written — may contain errors; check the original before relying on it.
