☕️ New tax incentives for Johor-Singapore Special Economic Zone

1. MARKET SUMMARY 📈

2. NUMBERS AT A GLANCE 🔢

50,000 years after its death, a juvenile mammoth was discovered in Siberia with remarkably well-preserved remains due to thawing permafrost. The mammoth, resembling a small elephant with a trunk, was found in the Batagaika crater, a massive depression over 80 meters deep, which is expanding due to climate change. Weighing over 110kg, the carcass was carefully brought to the surface on an improvised stretcher, according to Maxim Cherpasov, head of the Lazarev Mammoth Museum Laboratory in Yakutsk.

Tourism Malaysia is confident that the Visit Malaysia 2026 (VMY2026) campaign will attract over 35.6 mil tourists next year, providing a significant boost to the nation’s tourism sector. Prime Minister Anwar Ibrahim, who launched the campaign, said the campaign is projected to bring in RM147.1 bil in revenue.

10.1 mil TV viewers tuned in to the Golden Globes, marking a 7% increase from the previous year’s 9.4 mil viewers and a significant recovery from just 6 mil the year before. The Golden Globes, a prestigious Hollywood film and television awards show, had faced a crisis in recent years and nearly ceased to exist, but this year’s increase signals a positive turnaround. Watch Nikki Glaser roast Hollywood — not as crude as Ricky Gervais.

3. IN MALAYSIA 🇲🇾

Government tackles sexual harassment in Malaysia
Speaking to Utusan Malaysia, Women, Family, and Community Development Minister Nancy Shukri highlighted a pressing issue: the normalisation of jokes with sexual innuendos in our society. She warned that such behavior not only undermines the dignity of individuals but could escalate into sexual harassment. It’s worth noting that obscene jokes are already a criminal offense in Malaysia, carrying penalties of up to five years in prison and hefty fines.

The statistics paint a grim picture- 85% of sexual harassment cases involve women, and 88% take place at workplaces, particularly in the manufacturing, construction, and service sectors. With case numbers hovering around 400-500 annually since 2021, the Ministry has taken proactive steps such as introducing the Sexual Harassment Act, aimed at providing victims with a formal avenue to lodge complaints. Additionally, the Ministry has rolled out clear guidelines to define harassment, launched advocacy programs to raise awareness, and established a specialized Tribunal to resolve complaints quickly and affordably.

New tax incentives for Johor-Singapore Special Economic Zone
With the Johor-Singapore Special Economic Zone (JS-SEZ) officially launched by PM Anwar Ibrahim and his Singaporean counterpart Lawrence Wong, Malaysia is rolling out an attractive package of incentives to lure ventures and spur economic growth. The government’s focus is clear: creating higher-income jobs and attracting high-growth, high-value investments. Finance Minister II Amir Hamzah emphasised that the JS-SEZ tax incentives demonstrate Malaysia’s commitment to welcoming global businesses.

Here’s what’s on the table for potential investors:

1. 5% Tax Rate: Companies making qualifying new investments in manufacturing and services, including AI, quantum computing supply chains, medical devices, aerospace manufacturing, and global service hubs, can enjoy this rate for up to 15 years.

2. 15% Tax Rate: Eligible knowledge workers in the JS-SEZ will benefit from this rate for 10 years.

3. Reduced Entertainment Duties: These came into effect on January 1, aiming to further stimulate the local economy.

To streamline the processes for interested parties, the Invest Malaysia Facilitation Center in Johor is now operational. It’s designed to coordinate everything from application approvals to reinvestment support, ensuring a seamless experience for investors.

Shorts

1. Interesting (or lack thereof) responses to Najib’s royal house-arrest addendum

   Communications Minister cum government spokesperson Fahmi Fadzil told a regular press briefing that he was never made aware of the existence of the royal addendum that allowed Najib Razak to serve the rest of his prison sentence at home. Fahmi stated that the government was bound by the principle of subjudice thus leaving Najib’s case to the High Court.

   Former AG Terrirudin Salleh also had an interesting response when asked about the addendum by the media at Putrajaya — he stormed out of the building with his face away from the camera whilst saying “no, no, no..”. His successor, Dusuki Mokhtar, also reserved comments when probed by pressmen.

2. Malaysia's first hybrid 3D animated feature in cinemas now

   Since its first screening on December 26, Dongeng Sang Kancil is treading in uncharted waters as Malaysia’s first animated feature to blend hybrid 3D technology with 2D special effects. In just under two weeks, the film has raked in RM5.8 mil at the box office- a promising start toward its RM20 mil target by the end of its theatrical run. The movie isn’t just another cash grab. It’s produced by the same team behind the beloved Upin & Ipin, Les Copaque Production.

3. Man shot dead at Johor Bahru restaurant

   Videos circulating on social media about chaos at a restaurant in Taman Setia Indah was actually a shooting, with a man left dead after a motorcyclist opened fire. The victim, believed to have been a moneylender with information on secret societies, suffered multiple gunshot wounds. JB police has urged the public not to share the video to not cause unrest, and for people with information regarding the matter to step forward and assist in the investigation.

4. Pilates studio secured private equity investment
   Local yoga studio, Flow Studio, which has eight outlets locally and three in neighbouring Singapore, has secured seed funding — uncommon for a non-tech company. They secured an undisclosed amount from Bintang Capital Partners which is no small feat — Bintang usually only considers investing in companies whose revenue exceeds USD3 mil! Tiffany Yow started Flow Studio back in August 2018 when she realised it was a relatively unknown market.

4. AROUND THE WORLD 🌎

More Trump Shenanigans

1. On wanting Greenland, the Panama Canal and Canada

   President-elect Donald Trump has reiterated his desire to acquire Greenland and the Panama Canal, with no assurance that he will rule out using military or economic force to achieve that goal. All he can say is that the two are required for “economic security”. Trump also vowed to use “economic force” to annex Canada, saying “they should be a (US) state” due to the billions spent by the US to protect Canada. The responses — This has been met with uproar from the international community, with Denmark and Panama both rejecting any suggestion that they give up territory. France said that “there is obviously no question” that the EU would allow any nation to attack its sovereign borders, while Denmark stated that Greenland “won’t become a US state”, offering full recognition of Greenland’s autonomy. Germany stated that it will stand by the international principle that “borders must not be moved by force” as well. From Canada, outgoing PM Trudeau’s answer was simple: “There isn't a snowball's chance in hell that Canada would become part of the United States”.

2. The blow to climate change

   The EU’s head of climate change policy warned that global efforts to address climate change would be “dealt a severe blow” if Trump decides to pull the US out of the Paris Agreement again. Trump’s transition team is reported to have executive orders prepared to withdraw the US from the treaty already. Such a withdrawal would also require other countries to “double down on climate diplomacy in response”. The problem is that Trump’s words are influential, and he has shown he is rather anti-environmental in his stance, evidenced by European wind stocks dropping after he called turbines “garbage”.

3. Pause on sentencing?

   Coming back to Trump, a New York court has denied the president-elect’s bid to halt sentencing for his conviction on criminal charges of his paying hush money to a porn star. This comes after his request to delay the sentencing for more time to put together an appeal was denied. This has led to Trump going to the Supreme Court to prevent said New York court from sentencing him, to “prevent grave injustices and harm to the institution of the presidency and the operations of the federal government”.

4. A national economic emergency

   Trump is also considering the declaration of a national economic emergency as a means of legal justification for his series of universal tariffs on both allies and adversaries. The move will invoke the International Economic Emergency Powers Act, which would authorise a president to manage imports during a time of national emergency. A national emergency, right after South Korea’s Yoon was impeached for declaring martial law? An interesting move.

5. Middle Eastern good news?

   Meanwhile, Trump’s Middle East envoy Steve Witkoff announced he hopes to have good things to report regarding the hostages held by Hamas by the time Trump is sworn in on Jan 20. He believes a lot of progress is being made, but did not wish to disclose too much. This comes as the implied threat from Trump looms over the region, as he promised “it will not be good for anyone” if the conflict was not resolved by the time he took office. However, this also comes as Hamas is standing by its demand that Israel fully end its assault on Gaza under any deal to release hostages, and called Trump’s implied threat “rash”.

6. Tencent, CATL marked as "Chinese military firms"

   In slightly less Trump-related news, the US has marked tech giant Tencent and battery maker CATL as companies affiliated with the Chinese military, leading to shares of both firms dropping in response. While being added to the list of Chinese military-affiliated companies does not count as a sanction or any other direct legal implications, their reputations are affected and this could change due to the likelihood of Washington further targeting tech companies over national security concerns. Wonder what Trump’s buddy Elon Musk thinks of this, considering CATL, which is planning a USD5 bil IPO in Hong Kong, is a major supplier of batteries to Tesla’s Shanghai factory.

Mergers, Valuations, and IPOs

1. Stock image powerhouses Getty, Shutterstock declare merger

   The two firms will form a stock image titan worth USD3.7 bil through the merger, offering a broader array of media to their clients through their complementary portfolios. Still, the new entity, to be called Getty Images Holdings Inc, will have to fight its way through a market that sees an increasing number of AI-generated images, not to mention the potential antitrust scrutiny. It was revealed that Getty Images CEO, Craig Peters, will serve as CEO of the combined firms.

2. X rival Bluesky now valued at USD700 mil

   Despite launching less than a year ago, X competitor Bluesky is valued at around USD700 mil, according to the social media platform’s latest fundraiser in the works, led by Bain Capital Ventures. The platform reports 25.9 million users as of 2024, boosted by the exodus of users fleeing from X after President-elect Trump won the elections. The platform previously raised USD8 mil in a seed round in 2023, and a USD15 mil Series A round in 2024. 

3. Investors eye Asia's IPO pipeline, expect revival

   The expectations are based on the robust IPO pipeline from India and a recovery from the Hong Kong market. New share sales in India are also expected to surpass 2024’s record of USD20.7 bil, with the stock market bolstered by strong demand from mutual funds and underpinned by the country’s resilient economy. In Hong Kong, the recovery will come from a common theme of Chinese mainland-listed firms offering shares in the city. Check out the pipeline here.

Indonesian Updates

1. Bukalapak to stop sales of physical goods amid stiff competition

   The decision stems from the competitors in a saturated market, such as ByteDance’s TikTok Shop and Sea’s Shopee clamouring for users as well. Bukalapak will instead focus on the sale of virtual goods, such as mobile credits and electricity tokens. Bukalapak users will no longer be able to place orders for physical goods by Feb 9.

2. Jakarta inks MoU with Qatar to build one million affordable homes

   The Indonesian government, represented by Housing Minister Maruarar Sirait, signed the agreement with Qatari Sheikh Abdulaziz bin Abdulrahman Al Thani, chairman of Qilaa International Group. The minister announced that the lower middle class living in the cities will be prioritised for the new homes. In the project, Indonesia will provide the land, while Qatar will serve as the contractor while financing the project. Qatar seems really generous today, considering they will be financing a massive boost in public sector wages in Syria as well.

3. No sales of iPhone 16 despite investment, says Indonesia

   Apple is still not allowed to sell its iPhone 16 in Indonesia despite inking a deal to build a local production facility there. This follows Indonesia banning the sale of the iPhone 16 last year as it did not meet a requirement that smartphones sold there must comprise at least 35% locally-made parts. The government cited there being no direct relation between the production facility and the local content certification since the requirement is for parts in the phone itself. The factory is worth USD1 bil and is expected to start operations next year.

4. Government tells ranchers to import 400,000 cattle for free school meals

   Jakarta is encouraging domestic ranchers to import breeding cows to supply meat and milk to the recently launched free school meals programme. While it started with 570,000 meals provided to children and pregnant women, it will eventually be ramped up to feed over 80 million, with a price tag of about USD28 bil.  The government also set import quotas of 350,000 heads of cattle for fattening this year to supply the domestic market. The goal is to import 2 million breeding cows in the next five years. There was no mention of incentives to the ranchers.

5. FOR YOUR EYES 📺

1. What are some of the biggest infrastructure projects of 2025?

2. Another example of work smart, not hard.

3. We know 2025 has just started, but Visit Malaysia 2026 promo has already begun! The thumbnail needs upgrading, no caps.

Though the mascots look really cute! Many ways to monetise this — look at Labubu.