☕️ Haze might take away independence celebration

1. MARKET SUMMARY 📈

2. NUMBERS AT A GLANCE 🔢

USD1.46 tril (RM5.9 tril) – That’s the combined value of property, plants, and equipment (PP&E) held by four US tech giants – Amazon, Alphabet, Microsoft, and Meta. These formerly asset-light software businesses saw their infrastructure assets jump 140% collectively over the past three years due to AI investments, with the four now ranked among the world’s top seven non-financial corporations by PP&E assets, which also includes operating leases. At the top of the list is Amazon, with a total PP&E value of USD538.7 bil, followed by Saudi Aramco at about USD438.7 bil. Alphabet and Microsoft came in third and fourth, respectively, each with PP&E assets exceeding USD330 bil, overtaking Exxon Mobil and PetroChina in just a year. Last among the four tech giants on the list and seventh overall is Meta. The four tech companies are racing to expand data centre capacity as the AI race continues, with their combined capital expenditure plans for 2026 possibly reaching as much as USD760 bil, up 85% from the previous year. The amount is also comparable to Japan’s national budget.

USD40 tril (RM161.66 tril) – US national debt has now surpassed that number, having more than doubled in the past decade alone, as it was recorded at USD19.95 tril in Jan 2017 when President Donald Trump was sworn in for his first term. This has raised concerns that the country is facing a fiscal crisis as government spending outpaces revenue. A third of the increase reportedly happened in the two years that followed the outbreak of COVID-19, as the government, under both Trump and former President Joe Biden, borrowed heavily to respond to the pandemic. The USD40 tril figure averages out to about USD117,000 in debt per person in the US, and about USD297,000 per household. It is also approximately the combined value of the economies of China, Germany, Japan, the UK, and India.
Fun fact: More than three-quarters of the USD40 tril debt, about USD30.7 tril, is actually held domestically in the US, mostly by private investors and other entities, followed by intragovernmental agencies and the Federal Reserve. Of the foreign-held portion, Japan holds the most US debt with USD1.12 tril, followed by the UK with USD939.9 bil and China with USD633.4 bil. Rarely, the debtor can middle-finger its creditors.

Here’s what is likely to happen to the USD, according to history:

RM20 bil – Locally, Education Malaysia Global Services reported that the 167,000 international students (~RM119.8k per person) currently in Malaysia contribute that amount to Malaysia’s economy per year. This contribution comes from tuition fees, accommodation, food, and other living expenses. The positive social and economic impact from the international students is also felt in the communities surrounding the institutions they study at. Malaysia is increasingly becoming a preferred choice among international students, having been recognised among the top 14 higher education destinations in the world. Malaysia aims to attract 500,000 international students by 2035, as outlined in the 10-year Malaysia Higher Education Blueprint. Currently, the five largest sources of international students in Malaysia are China, Indonesia, Bangladesh, India, and Pakistan, with the majority of them being postgraduate students.

3. IN MALAYSIA 🇲🇾

Power under fire:
Ismail Sabri set to face MACC charge: Former PM Ismail Sabri is expected to appear at the KL Sessions Court on Aug 27, 2026, over an asset declaration under the MACC Act 2009. The 66-year-old Bera MP will appear before judge Suzana Hussin after an earlier court date was postponed due to health issues. Ismail Sabri had been admitted to the National Heart Institute after experiencing a heart problem while giving a statement to the MACC on Aug 6. The court appearance comes amid a wider investigation in which the MACC seized RM170 mil in cash in various foreign currencies and 16kg of pure gold bars worth an estimated RM7 mil from locations allegedly used as safe houses. The seizures were linked to investigations involving four of his former senior officers.

Two more detained in Tabung Haji RCI probe: In a separate development, the MACC has detained a former Tabung Haji (TH) Chairman and a former Treasury Secretary-General as part of its investigation into issues raised in the Royal Commission of Inquiry report on the pilgrimage fund. The two men, both in their 60s, were detained after arriving at MACC HQ and are expected to be brought to court for remand. Their arrests follow the earlier remand of a former TH Chief Executive, and several others linked to the investigation. The MACC has now opened 14 investigation papers, including eight additional investment-related issues uncovered after the RCI report was declassified.

Business:
Pinduoduo bargains squeeze local sellers: Malaysian shoppers are increasingly turning to Chinese e-commerce platform Pinduoduo (aka Temu) for low-cost goods, with everything from clothing and accessories to household items often selling well below local prices. The platform ships directly from Chinese manufacturers and attracts buyers with free delivery, a wide range of products and highly targeted recommendations. For shoppers who are not in a rush, the savings can be significant, although deliveries can take weeks compared with next-day options on platforms such as Shopee and Lazada.

Local businesses how to fight? Malaysian retailers and e-commerce sellers say they face costs such as rent, storage, taxes and local wages, while some cross-border sellers can offer products for just a few ringgit with overseas shipping included. Trade groups have warned that the price gap is putting increasing pressure on SMEs.

The government has already introduced a 10% Low Value Goods (LVG) tax on imported online purchases below RM500 and is working on an E-Commerce Bill to tighten oversight of foreign platforms. For now, local sellers are relying on faster delivery, ready stock and convenience, while shoppers continue to weigh lower prices against longer waiting times.

Malaysia tightens e-commerce rules: Malaysia is moving to tighten oversight of e-commerce platforms after complaints over product safety, halal status, scams and uneven rules between online platforms and local retailers. Government spokesman Fahmi Fadzil said the Communications Ministry and Finance Ministry will begin work on new measures, including requiring e-commerce platforms to register in Malaysia. The proposed rules would also require platforms to comply with local standards for electrical products, halal requirements and tax regulations. Fahmi said the aim is to protect consumers rather than shut down e-commerce platforms, with the government planning to engage operators before introducing the new framework. MCMC received 1,964 complaints involving e-commerce platforms between Jan 1, 2025, and Aug 25. Of these, 161 involved electronic products, while four were linked to halal status.

Shorts:

1. Disney Adventure adds Langkawi stop
   Disney Cruise Line will add Langkawi as a port of call on selected four-night Disney Adventure sailings from Dec 31. The cruise will still begin and end in Singapore, with Langkawi serving as a day stop. Passengers can explore the island independently or join Disney’s Port Adventures, with options covering beaches, nature and family-friendly attractions. For now, Langkawi is the only port of call announced for the Disney Adventure.

2. Haze may change National Day plans
   Malaysia may scale down or relocate its National Day celebration on Aug 31 as haze affects several parts of the country. Dataran Putrajaya remains the planned venue, but the government is also considering an indoor option. The National Day eve celebration at Dataran Merdeka on Aug 30 is also under review. This comes as unhealthy API readings have been recorded in 17 areas, including parts of Sarawak, Selangor, Johor, Kuala Lumpur and Putrajaya.

3. KJ: From Politics → Media → Consultancy (→ Politics?)
   Former health minister Khairy Jamaluddin has launched Flowstate Advisors, a Malaysian corporate advisory firm aimed at helping businesses navigate political uncertainty, investment decisions and major strategic moves. Khairy said the timing reflects growing geopolitical and economic uncertainty, as well as Malaysia’s next general election, which must be held by Feb 2028. Flowstate will focus on public-sector advisory, deal advisory, strategy and transformation, while Khairy said he still has at least a year to build the business before deciding what comes next.

4. AROUND THE WORLD 🌎

Middle East
Iran and Oman have a temporary route
Well, it seems like Oman went ahead and negotiated a new temporary route with Iran for shipping in the Strait of Hormuz, according to Kazem Gharibabadi, Iran’s Deputy Foreign Minister for Legal and International Affairs. FYI, Iran and Oman both share the opening of the Strait of Hormuz. He also said that the new route’s entry ‘would be through our territorial waters, and part of the exit route would also be through our territorial waters’. And the transit corridor would be seven miles (11.3 km) wide. Meanwhile, Iran’s Foreign Minister Abbas Araghchi also met with his Omani counterpart, Badr Albusaidi, to discuss the corridor and a project to clear mines on the strait. He hopes that this would be the foundation for developing a long-term arrangement, mechanisms for information sharing and navigational and security services.

But Trump has said that the mines in the strait have been cleared. Iran denied this and said that US mine-detection ships could become ‘very good targets’ if they enter the area. For now, Iran is not coming to the negotiation table unless the US release its frozen assets and provides sanction relief. Meanwhile, Trump is threatening sanctions on countries that do business with Iran. Does this mean that Oman could get those sanctions now?

Dragon Ball Z theme park in Paris with Saudi Arabia funding
Still remember that it needed three to four episodes in the good ol’ days for Goku to power his Spirit Bomb? Good times. Now, things seem to be moving much faster as Saudi Arabia and France reportedly signed an MoU to invest EUR6 bil (RM28 bil) to develop three theme parks near Paris. One of them would be Dragon Ball Z-themed, and a site has already been chosen in the Cergy-Pontoise area, about 30 km outside of Paris in the northwest. Qiddiya, an investment firm that is owned by Saudi Arabia’s sovereign wealth fund, will lead the project.

Here’s the back story. In 2024, French President Emmanuel Macron met with Crown Prince Mohammed Bin Salman in Riyadh. Mutual interest? Manga, and more specifically Dragon Ball Z. Two years later, here they are, backing a Dragon Ball Z theme park. Basically, two adult men making their childhood dreams come true. Macron is happy because the projects could create 20,000 jobs and establish a ‘new global destination’. And it is in line with his ‘Choose France’ efforts to attract foreign investment into the country.

South Korea
Jeju Island missing person police scandal
It wasn’t such a surprise that South Korean President Lee Jae Myung has called for greater police accountability after what happened in Jeju Island. Right now, the police might be the most powerful institution in South Korea after the ruling Democratic Party stripped prosecutors of their remaining investigative powers in Jul, citing a history of abuse. So, now, the police have a greatly expanded investigative role. But troubles in Jeju have cast the police in an unfavourable light.

Recently, four people were reported missing in Jeju and found dead after that. The problem is that the officer who was investigating them closed the case without confirming that the missing people were safe. That officer had a total of 298 missing person reports, and now 10 are being examined for possible improper closure. Almost every police higher-up came out to apologise, but the officer denied the charges and said that they contacted the missing people. The Jeju police said they have no comment on their handling of the cases, which, of course, sparked outrage on social media. Last year, the police received 10,814 missing adult reports, with more than 70,000 cases being filed annually since 2022.

Some are speculating that this could be a serial killer on the loose.

Bomb threats emailed to 80 South Korean courts
An individual claimed to be a disgruntled Japanese idol apparently sent bomb threat emails to 80 South Korean courts. The sender suffered malicious comments and criticism after being subject to a contract termination decision. South Korean police sent 37 officers, 11 members of a police special operations unit and three detection dogs to search the Incheon courthouse for three hours. Similar threats were sent to courts nationwide. The authorities are still tracing who the sender is, while regional police agencies are coordinating with courts to strengthen security.

Shorts:

1. Central Kalimantan, Indonesia, records API of 573
   It’s that time of the year again. The haze is back and as vicious as ever. Central Kalimantan recorded an air pollutant index (API) of 573 in some parts. Other areas also recorded very unhealthy air quality levels between 201 and 300. Schools are not closed yet, but authorities are already working on a circular in the next two days that will allow distance learning if air quality deteriorates. Fires have also affected 3.4 mil people across Riau, Jambi, South Sumatra, and West, Central, East and South Kalimantan. Latest satellite monitoring still shows fire risks being widespread - 805 high-confidence and 11,313 medium-confidence hotspots nationwide.
   Here’s a hotspot map for Indonesia.

2. 101-year-old Nigerian great-grandmother pulling a Breaking Bad
   If Heisenberg lives to 101 years old, he might be this Nigerian great-grandmother. Apparently, Esther Ogunmabo was selling skunk, a strain of cannabis, in 90-gram retail packs after her provision shop burned down. Guess who her supplier is? Her daughter living in Lagos. She will arrange for a supply of the substance every four days, which Ogunmabo will package into smaller packs. She was arrested and subsequently released on bail. Authorities might not know what to do with her, as she is already so old. Instead, she is to be given counselling because of her advanced age. However, it still means that she can be charged for criminal activity.

3. Parents can livestream their kids in Uber rides
   Uber has now rolled out a feature for teenage riders to enable parents to livestream through the driver's front phone camera. As the new school year comes, Uber is ramping up this feature as it’s ‘designed to give parents added peace of mind when their teen is on the go’. When the Uber trip begins, parents will receive a notification that live video is available. If he or she views it, both the driver and teen will receive the notification also. If parents, drivers, or teens are afraid of privacy concerns, the video cannot be accessed after the ride ends. This feature is now being tested in nine cities.

5. FOR YOUR EYES 📺

Merdeka Items

1. The beat, the moves! Hope the haze doesn’t cause their effort to go to waste. Goyang-goyang by the Tamila Boys (ori version here), released in 2003. The more high, remix version here.

2. The history of biskut Hup Seng (Cap Ping Pong). The company, founded around Merdeka year, generates close to RM400 mil revenue (~RM50 mil profit) a year and is listed on Bursa with a market cap of RM740 mil. Note: Do not get confused with another similar sounding name, Hap Seng, which is a giant conglomerate itself.

3. A short film by Creative Max - when Hungry Ghost Festival meets Merdeka. Celebrates our diversity, but funny sh*t is, even a ghost can get discriminated.

4. Merdeka ad by BHPetrol. Beautiful country we have. Protect muhibah at all cost. Selamat Hari Merdeka folks!