☕️ Melaka's turn for state election

1. MARKET SUMMARY 📈

2. NUMBERS AT A GLANCE 🔢

USD2.29 tril (RM9.34 tril) – That is how much the entire portfolio of the world’s largest sovereign wealth fund, Norway’s Government Pension Fund Global (GPFG), was worth at the end of the first half of 2026. It is managed by Norway’s central bank to preserve and grow the wealth generated from the country’s oil and gas resources for future generations, with the fund holding a small stake in more than 10,000 companies across most countries and industries. At the end of June, GPFG held 174 Malaysian-listed companies worth USD2.66 bil, a drop from the 200 counters it held stakes in worth a total of USD2.8 bil at the end of 2025. The trim in the first half of 2026 coincided with the ringgit’s appreciation and followed aggressive bond-buying in 2025.

67% – That’s how much investment returns account for the value of Norway’s Government Pension Fund Global (GPFG), compared with 24.3% from net inflows by the Norwegian government. Annual investment returns were reported to have begun exceeding net inflows in 2017, according to data from the fund’s manager, Norges Bank Investment Management. This is an example of what strict discipline can do when growing pools of public funds. Comparatively, Malaysia’s intergenerational resource wealth fund, the National Trust Fund Inc (KWAN), is estimated to be worth about RM24 bil at the end of 2025. With the new KWAN Bill 2026 passed, which compels Petronas and the federal government to make annual statutory contributions to the fund, the value of KWAN is expected to double to RM48 bil over 10 years. Assuming the fund doubles every 10 years, KWAN would only breach the RM1 tril mark by 2080, three decades after Malaysia becomes an aged nation by 2048, defined as having 14% of its population aged 65 and above.

RM91.21 mil – The Road Transport Department (JPJ) collected that much through bids conducted for the “H” series Special Registration Number, which it released in conjunction with the 2026 Malaysia Day celebration. This is the final, single-letter series to be issued. Of the total, RM89.27 mil came from the bids, with the remainder RM1.94 mil collected through service fees via the JPJeBid system. 34,664 bidders participated, with 8,223 registration numbers successfully bid on. The number H 1 recorded the highest bid at RM10.78 mil, followed by H 9 at RM4.97 mil and H 3 at RM4.21 mil. The revenue generated from this exercise is expected to be returned to the people through various Transport Ministry and JPJ programmes, including road safety initiatives.

3. IN MALAYSIA 🇲🇾

The money in education
30% Bumiputera equity rule dropped for private education
Private education operators have one less requirement to worry about after the Ministry of Education (MoE) scrapped the rule requiring certain institutions run by private limited companies to have at least 30% Bumiputera ownership. The requirement dates back to a 2006 policy and had raised concerns among tuition centre operators, as those that failed to comply could have risked losing their licences from 2027. The ministry said removing the requirement would bring ownership rules more in line with the education sector today and keep it open to anyone looking to contribute.

Education groups seek clarity over Bumiputera equity rule
However, the decision has since caused some confusion after the Investment, Trade and Industry Ministry (MITI) denied being involved, despite the MoE earlier saying the move followed discussions between the two ministries. Education groups now want the government to clarify who made the final decision and whether the removal has formally taken effect. They also want to know if it applies to new applications, licence renewals and applications already being processed, while calling for clear and consistent instructions for private education operators.

Melaka state elections
Melaka going to the polls!
Melaka is officially heading back to the polls, with its state assembly set to be dissolved on Sept 23 after Governor Tun Mohd Ali Rustam gave his consent. Chief Minister Ab Rauf Yusoh said the decision was made ahead of the assembly’s term ending in Dec, partly to avoid the risk of floods and other natural disasters towards the end of the year. Once the assembly is dissolved, the state election must be held within 60 days. In the meantime, the current administration will continue as a caretaker government to ensure public services continue as usual.

Melaka BN keeps options open on election pact
With the election now on the way, Barisan Nasional is turning its attention to possible partnerships. Ab Rauf said BN will hold negotiations with interested parties before deciding whether to form an electoral pact or contest on its own. No final decision has been made yet, with Ab Rauf saying an announcement will come once negotiations are completed. Earlier, it was reported that PH could join hands with Bersatu. 

PN says seven-seat Melaka offer not final
Discussions over a possible BN-PN tie-up in the Melaka election are already turning to seat allocations, but PAS says nothing has been finalised yet. Everyone wants to keep their options open. PAS President Abdul Hadi Awang’s Political Secretary Mohd Syahir Che Sulaiman said reports that PN could be offered just seven seats should not be treated as a final deal, as negotiations are still ongoing. He said figures being floated at this stage are part of the bargaining process and that both sides are expected to compromise once formal talks progress. Syahir described discussions between PAS and Umno as positive but said any final decision on the number of seats and whether to proceed with the cooperation would rest with the party’s top leadership.

Crime Watch
Minors caught creating and selling explicit animated content
A disturbing news. Police have uncovered a worrying trend involving minors creating and selling animated child sexual abuse material (CSAM) online. Eight children aged between 13 and 17 were among 53 people detained in a nationwide operation, with police saying some of the minors had gone beyond downloading the material and were producing their own animations to sell for around RM50 to RM60 each. The material was shared and sold within small online communities, including through Telegram, while payments could be made using e-wallets and PayPal. Police are still investigating how the children were first exposed to such content, including whether online platforms, social media or AI played a role. Their parents reportedly only found out about their activities after the arrests.

Kelantan police chiefs reprimanded over zero drug arrests
Two police station chiefs in Kelantan have been reprimanded after their stations went an entire week without making a single drug-related arrest. Kelantan Police Chief Yusoff Mamat said seven stations are currently being monitored as part of efforts to tackle drug abuse and trafficking, with their performance reviewed every week. If a station records zero arrests, a special team from the state police headquarters will be sent in and if that team manages to make an arrest, the station chief could be reprimanded. The tougher approach comes as Kelantan has the highest drug abuse rate in the country, recording 1,105 addicts and drug abusers per 100,000 people.

GIC cashes out of Sunway Healthcare
Singapore’s sovereign wealth fund GIC has cashed out of Sunway Healthcare, selling its entire remaining stake for nearly RM1.2 bil. Through its investment vehicle Greenwood Capital, GIC sold 575 mil shares at RM2.08 each, representing about 5% of the hospital operator. The sale comes after a strong run for Sunway Healthcare, whose shares had climbed around 58% since its Mar listing. The stock slipped about 5% to RM2.17 on Tuesday following news of the sale. Sunway Bhd remains Sunway Healthcare’s largest shareholder, controlling more than two-thirds of the company.

4. AROUND THE WORLD 🌎

Iran visits US
Tehran: UN assembly could be bridge for renewed diplomacy
A senior Iranian official ⁠has described the UN General Assembly as the “golden opportunity” to renew diplomacy with Washington, adding that Iran could reopen the Strait of Hormuz to Gulf shipping within days if the US lifts its blockade. Both Trump and Iranian President Masoud Pezeshkian will attend the assembly, but there are no direct meetings planned.

Meeting with the Gulf habibis: Meanwhile, Trump met the leaders of the six Gulf Arab states: Bahrain, Kuwait, Qatar, Oman, Saudi Arabia and the ⁠United Arab Emirates yesterday. On the table at the meeting is a Qatari proposal for a framework to bring Iran and the Arab Gulf states into a common security architecture. Generally, the Gulf countries are keen to restore shipping through the Strait of Hormuz but wary of ​giving their longstanding rival Iran too much power.

More economic pressure: US Treasury Secretary Scott Bessent says Iranian airlines could effectively be shut out of international travel, as Washington threatens foreign companies with secondary sanctions if they continue servicing the Iranian carriers. The warning is aimed not just at the airlines themselves, but at the airports, fuel suppliers, ticketing companies and other businesses they rely on to operate abroad. Iran’s aviation industry is now already heavily constrained by years of US sanctions, which have made it difficult for carriers to buy new aircraft and obtain spare parts and maintenance services.

Cambodia holds “scam conference” to showcase anti-scam efforts
Around 20 countries, including the US and China, will join a “scam conference” hosted by Cambodia amid international pressure on Phnom Penh to do more to tackle the multi-billion-dollar online scam industry. An official from Cambodia's anti-scam commission said authorities had so far closed 663 scam sites, including 86 large compounds, and frozen USD300 mil (RM1.22 bil) in scam-related accounts. Cambodian authorities said last month they had arrested nearly 30,000 suspects, including 15 high-ranking officials and law enforcement officers. However, analysts are sceptical about the efforts — the syndicate has adapted and dispersed to smaller locations, and there has been no effort to properly investigate the sites closed, and no interest in actually dismantling the networks.

When sexual predators wear the religious teacher mask
A BBC report has revealed that an Indonesian religious schoolteacher convicted of sexual abuse has been secretly released from prison early. Known as Bechi, the teacher is the son of an influential Islamic religious leader, whose trial sent shockwaves through the country. Bechi was arrested in 2022, but undercover footage has shown that he has been released after serving less than half his sentence. Only one of his several victims pursued a legal case that led to him being convicted. Another came out but then withdrew her allegations due to Bechi’s influential family connections and clout.

Those who testified and were placed under witness protection were never informed of Bechi’s release, although Indonesian law requires it. The commission on violence against women, aka Komnas Perempuan, said that sexual abuse cases that have come to light across Indonesia in recent years may be just the "tip of the iceberg". Students in many schools are unable to report abuse because of inadequate protection mechanisms, and the commission called on the government to strengthen oversight and impose stronger penalties so that religious leaders cannot exercise unchecked power.

Shorts:

1. Nepali children lose parents to flood but legally not orphan
   Hundreds of Nepali children have lost their parents in the devastating floods in Aug, living in shelters and in limbo as they are legally not yet orphans but only “without their parents”. Under Nepali law, a person must be missing for 12 years before they can be declared dead. Although the law offers an exemption from this rule during disasters, relatives need to apply to a district court for what is known as a judicial declaration of death. Sadly, many of them are still “waiting” for mummy and daddy to come home.
   Here’s one way to help: donate to UNICEF disaster relief efforts for the Nepali children.

2. British Columbia sues OpenAI over Tumbler Ridge mass school shooting
   The province of British Columbia, Canada, has filed a lawsuit against OpenAI and CEO Sam Altman, as they seek damages to fund recovery efforts in the province after a mass school shooting tragedy in Feb. The lawsuit also orders changes to the way the company handles ChatGPT conversations that could lead to violence. Apparently, the shooter Jesse Van ⁠Rootselaar had been flagged by the company’s safety team after her conversations (transgender female btw) about gun violence, but the company did not alert police. Altman published a letter saying he was “deeply sorry”, but never really followed through with his promise for reforms.

5. FOR YOUR EYES 📺

Human inventions

1. TIL: The simple bag to puke in is actually patented. More about the patent here.

2. The chemistry behind bulletproof material, kevlar.

3. Ever noticed that emergency doors open outwards and there’s a horizontal bar? This design came about after a tragic incident In 1883 England, when FOMO amongst 1,100 kids to get candy and toys led them to rush towards the exit (bolted and opened inward), and crushed to death more than 180 children. The panic bar, is also patented.