☕️ Malaysia Day Tragedy: Sabah floods claim 13, celebrations cancelled

1. MARKET SUMMARY 📈

2. NUMBERS AT A GLANCE 🔢

Natural disasters in China in the first half of 2025 affected over 23 mil people and cost the country RMB54.1 bil (RM32 bil) in direct economic losses. These disasters took the form of earthquakes, landslides, and flooding, with the latter accounting for 90% of the total economic damage. Still, this economic toll was notably lower compared to the same period last year, when extreme weather events cost China over RMB93 bil (RM54.9 bil) in economic losses. To address this, a national comprehensive natural disaster monitoring and early warning platform is being developed, which uses predictive assessments and simulation models to track disasters, especially typhoons and floods. A further report indicated that disasters in Aug this year cost China RMB19.6 bil (RM11.6 bil) in losses, affecting over 10 mil people.

Just this year alone, Israel has attacked at least six countries, with Qatar being the latest to take a hit with the missile strike on Doha, which Israel claimed to be targeting Hamas. A reminder here that Qatar is a mediator in the Hamas-Israel conflict, which means it would only make sense that representatives of Hamas would speak to Qatari mediators in Qatar. Other than Qatar, Israel’s aggression this year also reached Iran, Yemen, Syria, Lebanon, and, of course, Gaza, with four of those nations hit within a span of 24 hours. The wording used in the report, “at least”, is such a nice way of saying we can’t be sure if Israel won’t go and hit someone else this year.

Goh Cheng Liang, founder of Nippon Paint Southeast Asia (Nipsea), passed away in Aug, leaving six of his eight grandchildren stakes in Tokyo-listed Nippon Paint Holdings, Japan’s biggest paint maker. Those stakes make up 55% of Nippon Paint and make them holders in Nipsea International. However, one stake was larger than the rest at USD4.4 bil (RM18.5 bil) in value. Awarded to April Goh, the portion also includes the holdings for April’s two siblings, which leaves all of the grandchildren with stakes of about USD1.3 bil (RM5.5 bil). When Goh passed away, he had an estimated fortune of USD13.2 bil (RM55.5 bil), which made him the second-richest person in Singapore. He kept a low profile, a trait that was passed on to his heirs, who maintain similar discretion. Goh’s only vice was luxury boats.

3. IN MALAYSIA 🇲🇾

Crime Watch
Enforcement officer couple opened ‘gold shop funded by bribes’
The MACC has uncovered a gold jewellery shop set up by a couple who are both enforcement officers, allegedly funded by bribe money. The couple, in their forties, is believed to have facilitated the unlawful entry of foreign nationals without proper documentation for the past four years. MACC said on their official TikTok channel that the couple used RM600,000 as initial capital, registering the shop under the names of their child and the female suspect’s sister. They were detained under Op Dygo and have been remanded for five days until tomorrow, pursuant to a remand order granted by the Ayer Keroh’s Magistrates Court, Melaka.

Man in cartoon costume arrested for child molestation in Bachok
A 36-year-old man in a cartoon costume has been arrested for allegedly molesting a six-year-old girl at a playground in Pantai Irama, Bachok, on Sept 11. A passer-by filmed the incident, leading to the child being taken for a medical check-up, which confirmed no physical injuries. Police said the suspect tested positive for methamphetamine and has multiple prior offences. He has been remanded until Sept 18 under Section 14(a) of the Sexual Offences Against Children Act 2017, with authorities urging parents to stay alert and report suspicious behaviour.

AI in Malaysia: The bad, the good
AI-generated blackmail emails targeting Malaysian lawmakers
A string of threatening emails laced with AI-generated fake video screenshots has shaken Malaysian politics, with several lawmakers including Rafizi Ramli, Wong Chen, Adam Adli and others targeted in a blackmail attempt demanding USD100,000 (RM420,500). Communications Minister Fahmi Fadzil, who also received the email, said early checks showed the messages shared near-identical wording and appeared to come from the same Gmail account. He confirmed that MCMC is working with police to hunt down the culprits, stressing that such intimidation is a serious offence under the Communications and Multimedia Act 1998 and the Penal Code, carrying fines up to RM500,000 and possible jail terms. He vowed the Madani government would not tolerate the abuse of technology to spread fear or deceit, assuring every effort is being made to bring the perpetrators to justice.

PLUS Malaysia’s AI suicide prevention system
PLUS Malaysia’s AI-powered Suicide Attempt Alert System (SAS), introduced in 2023 at six key locations, including the Penang Bridge, has lifted prevention rates to 74% and achieved an 86% success rate at SAS spots. Using existing CCTV to flag abnormal behaviour, the system alerts PLUS’ Traffic Monitoring Centre for rapid response. Data shows 18 of 23 attempts were stopped in 2023, rising to 26 of 32 in 2024, with most interventions at SAS sites. As of May, six cases were recorded, with one rescue.

Malaysia Day Tragedy: Sabah floods claim 13, celebrations cancelled
Sabah cancelled its state-level Malaysia Day celebration as floods and mudslides, triggered by relentless rain across at least seven districts, continue to wreak havoc. At least 13 people have died from the disaster. Chief Minister Hajiji Noor said the government’s priority is rescue and recovery, with the State Disaster Management Committee on round-the-clock alert to ensure swift action. The celebration, slated for Sept 16 at Padang Merdeka, was called off after consultations with Yang di-Pertua Negeri Tun Musa Aman, with Hajiji stressing that all resources must go towards safeguarding lives and livelihoods. Residents were urged to remain vigilant and heed safety advisories. Sympathies to affected families were extended by organisers including Tourism, Culture and Environment Minister Christina Liew, who acknowledged the erratic weather and expressed regret over the cancellation.

From pump prices to global crises: PM outlines priorities 
PM Anwar Ibrahim said the government will honour its pledge to cut RON95 petrol to RM1.99 per litre by end of Sept, with foreigners paying RM2.50–RM2.60. The price cut is part of Jul’s relief package that also included RM100 one-off Sara aid and a freeze on toll hikes. He then also reaffirmed the anti-graft drive, directing MACC to act against all offenders regardless of status, despite receiving “warnings” from powerful figures. Lastly, he also defended his overseas trips as official work, noting he will attend on Sept 14 an emergency summit in Doha on Israel’s attack on Qatar. On aid, he said Malaysia would continue helping countries in crisis, reiterating, “No country will become poor by helping others.”

4. AROUND THE WORLD 🌎

Doha summit: Voices of condemnation, GCC to activate defence mechanism
The emergency meeting between 57 nations of the Arab and Islamic country leaders held in Doha on Monday yielded a strong, collective voice against the escalating aggressions of Israel, condemning its “cowardly” attack on Hamas leaders in the Qatari capital. While condemnations and pledges of solidarity were made clear, no promises of concrete action were made just yet, except for the pledge by the Gulf Cooperation Council (GCC)’s pledge to “activate a joint defence mechanism”. Members of the GCC: Bahrain, Kuwait, Oman, Qatar, Saudi Arabia and the United Arab Emirates agreed to form a defence pact to address the security concerns of the member states, which states that an attack on one member state is an attack on all. No immediate political or economic measures were announced against the Israeli aggression at the summit. Nevertheless, individual states like Turkiye, Egypt, Malaysia, Pakistan and Iran sent strong messages calling justice to be brought to Israel through various legal and economic mechanisms. Analysts say that the summit could be the beginning of a coming together and change of tone and mind in the collective, with actions having to follow.

UN calls Israel’s war on Gaza a genocide
The United Nations have finally said that the Israel’s war on Gaza is a genocide, with the chairwoman of the UN Independent International Commission of Inquiry on the Occupied Palestinian Territory declaring that it hold Israeli leaders - including PM Benjamin Netanyahu, former Defence Minister Yoav Gallant and President Isaac Herzog – responsible. According to the report, the commission found that, along with the statements made by the Israeli officials, there was “circumstantial evidence” that led to their findings of genocidal intent. As usual, Israel slammed the UN findings as “fake” and alleged in a post on X that the report’s authors were “serving as Hamas proxies”. Read the full report here.

Opening AI: 
OpenAI reach non-binding deal with Microsoft to allow restructure
Microsoft and OpenAI have signed a non-binding deal for new relationship terms that will allow OpenAI to proceed to restructure itself into a for-profit company. This marks a step forward in OpenAI’s prolonged talks with Microsoft as the former seeks to raise capital under a more common governance structure and eventually go public to fund artificial intelligence (AI) development. Microsoft invested USD1 bil (RM4.21 bil) in OpenAI in 2019 and another USD10 billion at the beginning of 2023, where OpenAI made it the company’s sole computer provider with exclusive access to its technology. For the new deal, the companies did not disclose how much of OpenAI Microsoft will own, nor whether Microsoft will retain exclusive access to OpenAI’s latest models and technology. With the restructuring, OpenAI has created a non-profit arm that will receive more than USD100 bil – about 20% of the USD500 bil valuation it is seeking in private markets. This will make it one of the most well-funded non-profits - a charitable entity poised to become one of the wealthiest on the planet. This structural realignment aims to guide the company’s AI development towards societal good while streamlining capital acquisition.

Biz:
Prelim probe says Nvidia violated anti-monopoly law in China
China’s State Administration for Market Regulation (SAMR) preliminary investigation into US chip giant Nvidia has revealed that the company has violated the country’s anti-monopoly law. The investigation is in relation to the acquisition of Mellanox and some agreements made during the acquisition. Nvidia acquired the Israeli technology company that creates network solutions for data centers and servers in 2020, in a deal that was approved by China at the time with certain conditions. The update from the SAMR has the potential to complicate current trade talks between Chinese and US officials. Nvidia has had a tumultuous relationship with the Chinese market in recent months, as the company has been caught up in geopolitical volatility.

Unicorn Kopi Kenangan backers mulling stake sales
Investors of Kopi Kenangan, including Singaporean sovereign wealth fund GIC Pte and Peak XV Partners, are said to be considering selling some of their holdings in the Indonesian coffee chain. Kopi Kenangan could be valued at USD1.2 bil (RM5.05 bil) to USD1.4 bil in a transaction, but the figure could change as considerations are still at an early stage. Founded in 2017, the grab-and-go coffee chain has more than 800 stores in 45 cities in Indonesia, as well as offices in Jakarta, Singapore and Malaysia, its website shows.

Shorts: 

1. Riot fever reaches East Timor 
   A peaceful protest turned ugly when more than 2,000 people rallied in Dili, the capital of East Timor (view map here), protesting the plan to procure cars for each of the 65 members in the parliament. Tear gas was reportedly fired as protestors threw rocks at the police. Following the protest, a joint statement from the National Congress for Timorese Reconstruction, the Democratic Party and the Enrich the National Unity of the Sons of Timor said the purchase "did not reflect public interests" and pledged they would ask parliament to cancel the purchase. The former Portuguese colony continues to grapple with high inequality, malnutrition, and unemployment, with an economy heavily reliant on oil.

2. Brazil ex-president Bolsonaro sentenced over coup plot 
   The Brazilian Supreme Court has ruled that former president Jair Bolsonaro as guilty of trying to illegally retain power after his 2022 electoral defeat to President Luiz Inacio Lula da Silva, with a sentencing of 27 years and three months in prison. Currently under house arrest, Bolsonaro faced up to 40 years in prison after being found guilty on five charges, including leading a “criminal organisation” to conspire to overthrow Lula. Bolsonaro’s lawmaker son Flavio Bolsonaro said his dad was “holding his head high in the face of this persecution”, while his lawyers said they will appeal the sentence.

3. Bali suffers worst flood in more than a decade 
   Torrential rain last Tuesday and Wednesday battered the island of Bali, triggering widespread flooding and landslides that claimed the lives of at least 17 people. Most deaths occurred when victims were swept away by flood water. More than 385mm of rain was recorded within a 24-hour period, leading to the evacuation of hundreds of people. The floods submerged roads and damaged bridges, severely disrupting transport across the island. Although flooding is common during Indonesia’s wet season, experts say the climate crisis has brought more intense rainy seasons while overdevelopment and widespread deforestation are believed to be worsening the impacts.

5. FOR YOUR EYES 📺

1. St. Peter’s Square in Vatican City turned into a concert stage on Saturday night, closing the third World Meeting on Human Fraternity. Celebrities, including Andrea Bocelli, John Legend and Pharell Williams performed during the event. The full event here.

2. A vlogger travelling on his bike from Thailand to the UK inadvertently appeared in the middle of Nepal’s protest and the burning of its parliament, recording his whole experience and turning him into a celebrity overnight.

3. Bangladesh last year experienced the same Nepal did, causing its former PM Sheik Hasina to flee the country. A FT documentary on the corruption that occurred there.