Kuala lumpur: Switzerland is poised to enhance its bilateral relationship with Malaysia, focusing on important areas such as trade, sustainability, and security. This strategic move aligns with Switzerland’s Southeast Asia Strategy for 2023 to 2026, as highlighted by Swiss Ambassador to Malaysia, Chantal Moser, in a recent interview.
According to BERNAMA News Agency, Ambassador Moser emphasized Switzerland’s commitment to strengthening economic ties, promoting sustainable development, and supporting multilateral cooperation. The Swiss government aims to establish favorable conditions for its economy and businesses to thrive in various markets. To facilitate this, Switzerland has signed the Malaysia-European Free Trade Association (EFTA) Economic Partnership Agreement (MEEPA), which governs economic relations between the two nations.
The Ambassador outlined Switzerland’s priority areas, which include collaboration with ASEAN on broader themes such as climate change, disaster risk management, vocational education and training, and human rights dialogue. The Swiss government is also working on ratifying the MEEPA and plans to extend its Southeast Asia Strategy beyond 2026.
Despite not being a part of the European Union, Switzerland maintains a closely linked economy with the European single market. Moser stated that Switzerland will continue to advance its sustainability agenda with Malaysia, focusing on clean energy and sustainable production initiatives like the Jurisdictional Approach for Sustainable Palm Oil project in Sabah. This project, supported by the Swiss State Secretariat for Economic Affairs and implemented by the United Nations Development Programme, promotes sustainable palm oil production through multi-stakeholder engagement.
Discussing investment, Moser revealed that Switzerland and Malaysia are negotiating to modernize their bilateral investment protection agreement, which has been in place since 1978. The negotiations are progressing well, and both countries are optimistic about concluding the agreement soon. A modernized agreement is expected to enhance bilateral investment flows, providing legal security and improving the investment climate.
Moser expressed confidence that sectors such as pharmaceuticals, chemicals, machinery, and electronics would benefit from the agreement. She also highlighted the potential opportunities for small and medium enterprises to explore the Malaysian market, particularly in clean energy and digital industries.
Malaysia’s political stability, strategic location, and potential as a regional manufacturing hub make it an attractive destination for Swiss companies. The country’s excellent infrastructure, skilled workforce, and English proficiency further boost its appeal. Switzerland is currently the sixth-largest investor in Malaysia, while Malaysia ranks as the second most popular destination for Swiss investors in Southeast Asia, following Singapore.