☕️ Cagamas introduces reverse mortgage - the house pays you

1. MARKET SUMMARY 📈

2. NUMBERS AT A GLANCE 🔢

100,346 units – That’s how many vehicles Proton Holdings Bhd delivered in the first six months of 2026, up 39.1% from the same period last year. This also marks its strongest first-half sales performance in 15 years. The automaker said this puts it halfway towards its target of selling 200,000 vehicles this year, with sales supported by the continued demand for its internal combustion engine models and the growth in its Proton e.MAS new energy vehicle lineup. The Proton Saga remained its best-selling model with 44,375 sold in the period, up 40%. Proton e.MAS deliveries surged 321% year-on-year to 17,920 units in the first half.

KES2,000 (RM63.01) – In some parts of the world, you can save this much by switching to electric vehicle. Rising fuel prices, driven by the conflict in the Middle East, have boosted the adoption of green vehicles across Africa, especially in countries such as Kenya that are heavily dependent on fuel imports. Motorbikes, or “boda-bodas” as they are called in Kenya, are a vital part of the economy in the country. By switching from a petrol bike to an electric one, some riders have reported saving roughly KES2,000 per day, a significant amount considering many workers earn barely USD100 (KES12,921 or RM406) a month.

RM51 mil – According to Malaysia Aviation Group (MAG), the parent of local carrier Malaysia Airlines, every USD1 (RM4.08) increase in price per barrel of oil adds that much to MAG’s annual fuel bill. The recent increase in fuel prices due to the US-Iran conflict has pressured airline margins, which average only about 1.4%. Malaysia Airlines was also forced to cancel more than 10,000 flights in the fourth quarter of 2024 due to supply chain disruptions, affecting over 1 mil passengers.

3. IN MALAYSIA 🇲🇾

Data centre boom 2.0 powers construction
Malaysia's construction sector is getting another boost as a fresh wave of data centre developments begins to take shape. According to Kenanga Investment Bank, new mega campuses planned across Negeri Sembilan, Selangor and Johor could add between 17 and 21 data centre buildings, with up to four projects expected to roll out before the end of 2026. The research house believes strong demand from global technology companies will continue to support the sector throughout the year, even as public infrastructure spending slows. National utility provider Tenaga Nasional has also signed power supply agreements for three more data centres in the first three months of 2026, bringing the total number of projects to 59, with 36 already completed.

While construction contracts awarded in the first half of 2026 fell to RM108 bil from RM125 bil a year earlier, commercial and industrial developments continued to dominate the market, making up more than two-thirds of all projects awarded. Infrastructure projects accounted for just 12% of the total value, reflecting a slower pace of public-sector rollouts. Even so, Kenanga expects the industry to secure around RM180 bil worth of jobs this year, supported by continued private-sector investment, particularly in data centres. With project pipelines stretching to 2030, the research house believes data centres will remain the biggest growth driver for Malaysia's construction sector, while companies such as Gamuda, Sunway Construction and IJM are well-positioned to benefit from the sustained momentum.

Transport:
AirBorneo keeps fares fixed: AirBorneo says passengers can expect the same ticket prices throughout the year, even during festive celebrations and peak travel periods. The state-owned airline has introduced a fixed-price model aimed at making air travel more predictable and affordable, regardless of when tickets are purchased. Its newly launched Kuching to Kuala Lumpur route is now available at an all-in one-way economy fare of RM375, which includes airport taxes, fuel surcharges, seat selection, on-board meals, 10kg cabin baggage and 23kg checked baggage.

Chairman Datuk Mohamad Abu Bakar Marzuki said the move is designed to prevent the sharp fare increases often seen during Hari Raya, Gawai and other busy seasons, with prices on some routes previously reaching RM1,000. AirBorneo also said other airlines have started offering similar fares following its announcement. At the same time, the airline is reviewing its rural air services across Sarawak, Sabah and Labuan by combining flights with lower passenger demand while maintaining high-demand routes. No destinations will be removed, although flight frequencies on selected routes may be reduced.

MRCB sues over LRT3 article: Malaysian Resources Corporation Berhad, better known as MRCB, and its vice chairperson Salim Fateh Din have issued a letter of demand (LOD) to veteran journalist and Malaysiakini columnist P Gunasegaram over an article discussing the LRT3 Shah Alam Line project (read the article here). Represented by legal firm Messrs Selva Mookiah, MRCB claims the article contains false, misleading and defamatory statements relating to political patronage, procurement practices and project cost issues. The company is seeking the removal of the article, a full public retraction, an apology and a written undertaking that similar statements will not be published again. Gunasegaram has been given seven days to comply with the demands. In a statement to Malaysiakini, the journalist defended his article, describing it as fair comment on a matter of public interest based on publicly available records. He also said he intends to defend the legal action.

New reverse mortgage for seniors
Cagamas has introduced a new reverse mortgage scheme aimed at helping older Malaysians unlock the value of their homes without having to sell them. Known as Skim Saraan Bercagar Bertempoh, or SSBT, the programme is open to homeowners aged between 60 and 70 and will first be rolled out in the Klang Valley. Under the scheme, eligible participants can convert part of their home equity into an upfront lump sum as well as fixed monthly payouts over a selected period. According to Cagamas, the initiative is designed to provide retirees with an additional source of income while allowing them to continue living in their own homes, offering greater financial flexibility during retirement.

The launch comes as Malaysia's ageing population continues to grow, with those aged 65 and above already making up more than 7% of the population. That figure is expected to double by 2045, while many retirees continue to face financial challenges. Cagamas noted that four in 10 senior citizens currently live in relative poverty, highlighting the need for more retirement income solutions. Once the payout period under SSBT ends, homeowners can either sell the property or have their heirs repay the outstanding amount. However, Cagamas has not explained who will bear the risk if the property's value falls below the loan amount. SSBT is the company's second reverse mortgage product, following the introduction of Skim Saraan Bercagar in 2021, which was designed for homeowners aged 55 and above and only requires repayment after the borrower or joint borrower passes away.

Tupai King tops Musang King
As Musang King prices soften in Pahang, a new premium durian variety is attracting attention. Tupai King is now selling for between RM90 and RM120 per kg, with the season's first harvest already fully booked. Orchard owner Chin Wai Kian from Kampung Rengai said the original Tupai King tree took 10 years to bear fruit and has produced around 50 durians so far, many of which were reserved by regular customers. He has also cloned more than 100 additional Tupai King trees, although only the original tree is currently producing fruit. Buyers have been coming from Lipis, Kuantan and Gua Musang in search of the rare variety.

4. AROUND THE WORLD 🌎

Middle East in turmoil - again.
Trump says the US-Iran MoU is ‘over’
It doesn’t really matter at this point who started the attacks. The memorandum of understanding (MoU) between the US and Iran is over, according to Trump, as the US and Iran have once again exchanged strikes. Iran attacked tankers on the Strait of Hormuz, and the US retaliated by striking targets in Iran. Then, Iran attacked US military sites in Bahrain and Kuwait. As the saying goes - same sh*t, different day.

Trump was asked at the Nato summit about this. His reply, ‘It's a very interesting question. To me, I think it's over. I don't want to deal with them. They're scum. They're sick people. They're led by sick people. As far as I'm concerned, it's just a waste of time dealing with them’.

Iran condemns the US strikes as a ‘blatant act of aggression’ and will have a ‘crushing response'. It has also reiterated that it will not allow US interference in the Strait of Hormuz. Iranian Parliament speaker, Mohammad Baqer Qalibaf, said in a post on X, ‘The era of bullying and extortion is over.’

Oil prices up, stock markets down
Right after Trump uttered the two words, ‘it’s over’, oil prices shot up by 5% to USD78 (RM318) per barrel, while stock markets dropped. The Strait of Hormuz handles about 20% of the world’s crude oil and natural gas supply.

With the MoU between the US and Iran now over, Iran will seek to block the strait again, reducing the supply of crucial oil & gas to the global markets. Crude oil prices have risen to as high as USD120 per barrel during the conflict. The big question now is whether prices will once again rise that high.

World Cup Fever
Argentina scores three late goals to beat Egypt
Egypt was brilliant for 78 minutes of the match. They led by 2 goals, then, courtesy of a header by Yasser Ibrahim in the 15th minute and a strike by Zico in the 68th minute. And guess what? Messi missed a penalty in the game. His second miss in the World Cup. Argentina fans were nervous now, heading into the last 12 minutes of the game. The Egyptian fans were roaring. Messi delivered a superb cross into the box and Romero headed it in. After that, a flash of brilliance. Messi struck a half-volley off the underside of the crossbar and into the net.

Argentina fans woke up in a fit of passion, as they saw their legend screaming and punching his hands in the air, mobbed by his own teammates. They were now level and continued to be so past the 90th minute. Then, two minutes into stoppage, Fernandez turned hero, as he headed in the winner. Three goals in the span of 14 minutes brought Argentina, the defending champions, back from the brink. What a match!

However, the match was also marred by controversy on officiating and accusations of favouritism on Argentina, including a late VAR call that rescinded Egypt’s second goal. Even Jose Mourinho said the Argentina win was ‘daylight robbery’. Watch highlights here.

Watched the whole match. Was rooting for Egypt. Agree with Mourinho - they got robbed.

Egypt coach says team were ‘cheated’
After the defeat to Argentina, Egypt coach Hossam Hassan has said that his team was ‘cheated’. His words, ‘I do not want to put it nicely and talk about hard luck. We have been cheated unfairly today; we have suffered injustice.’ He was pointing towards the referees being pressured by the Argentine national team.

Hassan thinks that Egypt should have gotten a penalty kick after Alexis Mac Allister pulled Hamdy Fathy. Egypt also had a Mostafa Zico goal disallowed by the referee after he used VAR to review the footage and concluded that there was a foul on Lisandro Martinez before the goal. The coach then said, ‘We haven’t seen respect or fair play. There has not been respect or fair play’. Hossam does think that his team was the better team, and they lost because of ‘external factors’, referring to the referees.

Here’s the post-match interview.

Temasek portfolio hits SGD518 bil, aims for 15% AI exposure
It is a great time to be a sovereign wealth fund (outside of Malaysia). Temasek’s portfolio grew by 10.4% to SGD518 bil (RM1.63 tril) in 2026, delivering a 20-year shareholder return of 6.8%. Its Singapore-based portfolio, which makes up 43% of its portfolio, continued to deliver an internal rate of return (IRR) of 8.1%, outpacing its international portfolio’s (38% of portfolio) IRR of 7.6% over the last 10 years.
Learn: What is IRR?

ME all good: Temasek did take a 2% hit due to the conflict in the Middle East (ME). However, its exposure to the Middle East region remains limited. 12% of its portfolio is in the Europe, Middle East and Africa (EMEA) region, with most of it in Europe. Most of its money actually goes to the Americas. Every year, Temasek deploys about 50% of its investment capital in the US, concentrating on ‘some of the biggest innovations that are taking place today around AI’. The Americas make up about 26% of its portfolio.

Moar AI: On the AI front, Temasek is targeting to grow its AI investments to 15% of its portfolio by 2031. It wants to double its portfolio exposure to such stocks. In the past, it has invested in Anthropic, SpaceX and OpenAI. AI investments currently make up 6% of its portfolio. The 15% target will exclude its Singapore AI investments. Its strategy is to invest in 5 aspects of AI: data centre, energy, semiconductor, cloud services, and foundation model.

Manhattan skyscraper is in danger of collapsing
New York City mayor Zohran Mamdani has another tough job at hand. A Manhattan high-rise building is in danger of collapsing. During construction, a column buckled, and bricks started falling down. An evacuation order quickly came for the buildings beside it.

The 1970s office building was the former headquarters of Pfizer and was undergoing a conversion into a luxury apartment that will house 1,600 units. City officials found that two columns had buckled on the 21st and 22nd floors of the 37-floor office. Gensler, an architectural firm, is currently heading the project and did not reply to any comments. Engineers are now trying to find ways to shore up the building before the worst happens.

5. FOR YOUR EYES 📺

Drones - for rescue, for travel

1. Drone tech has advanced so much that it can now be used in rescue operations.

2. What it also means, outside of emergencies, people can use it as their vehicle to travel and fly around, as this farmer did.

3. Making lifeguards more effective. Check out OceanAlpha here.

A bit more to the weekend. Here’s Linkin Park’s In The End in Indian musical instruments. Beautiful.