“History shows that compared with other countries, we (Malaysia) are among the clearest and firmest (in voicing out against Israel); don’t demand more than that. We are a developing country; look at our level of capability.”

PUTRAJAYA (July 1): Any polemics related to the BlackRock issue linked to the Israeli regime could affect Malaysia's interests as a developing country, said Prime Minister Datuk Seri Anwar Ibrahim.

Speaking at the July monthly assembly of the Prime Minister's Department here on Monday, Anwar reminded everyone not to be "excessive" in discussing the controversial BlackRock issue.

Anwar, who is also Finance Minister, explained that the presence of the giant investment company in Malaysia all this while had not hindered Malaysia's stance in voicing out against the Israeli regime's atrocities against the people of Gaza.

“History shows that compared with other countries, we (Malaysia) are among the clearest and firmest (in voicing out against Israel); don’t demand more than that. We are a developing country; look at our level of capability. Don’t let a strong desire to show off undermine the country's interests. That is our principle in general.

“...and the cruelty Israel committed against Palestine is very clear; no one is disputing it. (But) if there is a company like Microsoft or Google showing sympathy towards Israel, we will oppose it. (However) do you think we should close all paths and cooperation with them?” he said.

It was reported that data reviews show BlackRock already has interests and shareholdings worth RM24.7 billion in companies listed on Bursa Malaysia and RM7.9 billion in Malaysian government and corporate bonds.

According to publicly available data, as of May 2024, the global investment firm already holds equity investments in 100 listed companies in Malaysia across all industrial sectors, including three banking institutions in the country.

Anwar explained that in 2018, the then Prime Minister (Tun Dr Mahathir Mohamad) had in London emphasised the need for the firm to enter Malaysia, while in 2021, the then Prime Minister (Tan Sri Muhyiddin Yassin) approved a proposal by the Employees Provident Fund (EPF) to entrust BlackRock with managing a special EPF fund amounting to RM600 million.

Regarding the collaboration between Khazanah Nasional Berhad (Khazanah) and EPF with Global Infrastructure Partners (GIP) concerning interests in Malaysia Airports Holdings Bhd (MAHB), Anwar said the collaboration between EPF and GIP has been ongoing since 2012.

"That is why Khazanah and EPF are negotiating with GIP. Our airports have their strengths and advantages, but compared to other major airports, there are many weaknesses, especially in terms of engineering, technical expertise and management.

"There are areas that need improvement because we are somewhat behind, in planning and various other aspects. Khazanah and EPF's decision was then communicated to me and I said to proceed," he said.

Previously, Anwar said that the sale of a stake in MAHB to GIP had gone through stringent conditions and one of the merits of its selection was the company's agreement to retain the appointment of Malaysians as the chairman and chief executive officer of MAHB and the collective ownership of the majority shares by the state.

Anwar said that besides GIP, other parties did not agree with the conditions set by Khazanah and EPF.

GIP is a leading infrastructure investor managing assets worth US$112 billion on behalf of its investors, which include approximately 500 investment institutions worldwide.

In January it was announced that GIP is being acquired by BlackRock, with the transaction expected to complete in the third quarter of 2024. BlackRock has not in any way been involved in the transaction relating to MAHB.

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