KUALA LUMPUR: It is crucial to reinstate the direct flights that previously connected Russia and Malaysia to boost tourism and business, in line with the growing demand across various sectors, according to Alexander Stuglev, chief executive officer of the Roscongress Foundation. 

He said that Russia and Malaysia share a long-standing, stable relationship, adding that trade between the two countries reached about US$3 billion in 2023, marking an 11 per cent increase compared to the previous year.

Stuglev also pointed to the double tax avoidance treaty signed in May 2024, which aims to prevent both countries from taxing the same income twice, creating a more favourable business environment. 

He noted that Malaysia's recent designation as a partner country in the BRICS bloc would further strengthen bilateral relations.

"Malaysia's official participation in BRICS would give a boost to investment and cooperation in the energy sector, particularly renewable energy. Additionally, it will include humanitarian projects in education, medicine, and tourism," he said," Stuglev added.

Speaking to Business Times at the World of Opportunities Russia-Asean International Business Forum, Stuglev emphasised the importance of restoring direct flights between the two countries to boost tourism and business traffic, in line with rising demand across various sectors.

Regarding Malaysia's upcoming ASEAN chairmanship, Stuglev expressed confidence that Malaysia would continue to promote equality and mutual support within ASEAN. 

"I am confident that Malaysia will uphold this spirit, promoting the mutual interests of all ASEAN member countries while also focusing on its own strategic, economic, trade, and humanitarian priorities," he noted.

He also praised Malaysian Prime Minister Datuk Seri Anwar Ibrahim for his professional experience, particularly his knowledge of Russian history, culture, and literature, which has made a significant impression on Russian counterparts.

Abu Bakar Yusof, deputy chief executive officer of the Malaysia External Trade Development Corporation (MATRADE), said that Malaysia and Russia are at a pivotal moment to renew trade ties and foster stronger collaboration between the private sectors of both countries. 

He highlighted Russia's importance as a trade partner for Malaysia, noting that it is a major trading nation, ranking 26th globally with over US$500 billion in total trade last year.

Abu Bakar pointed out that trade with Russia has shown double-digit growth despite global economic uncertainties, which contrasts with slower trade growth with other countries. 

He also noted that trade between the two countries continued to grow in the first 10 months of this year.

Abu Bakar noted that Malaysia could explore more trade and investment opportunities with Russia, particularly in the technology sector.

"So there's a lot of opportunities that we can explore with Russia. We want to see more trade between the two countries," he said during a plenary session at the recent World of Opportunities: Russia–ASEAN International Business Forum.

Abu Bakar said the main exports from Malaysia to Russia include machinery, processed food, and electrical and electronic goods. 

He suggested that both countries could further diversify their partnership, exploring sectors like technology, renewable energy, and green technology.

https://www.nst.com.my/business/corporate/2024/12/1142385/crucial-reinstate-direct-flights-between-russia-malaysia-stuglev