Govt shouldn’t force EPF to invest heavily in Malaysia, say Shahril, KJ

 

In 2021, the bulk of EPF’s revenues came from its foreign investments which constitute 37% of its portfolio.

PETALING JAYA: Umno’s Shahril Hamdan has urged the government not to ask EPF to invest more heavily in Malaysia as its overseas investments are more profitable.

“The majority (56%) of EPF’s revenues (in 2021) came from its foreign investments despite it constituting only 37% (of EPF’s investment portfolio),” said Shahril who served as former prime minister Ismail Sabri Yaakob’s economic adviser.

“It is obvious that this (foreign) investment is more profitable for EPF,” he said in an episode of the Keluar Sekejap podcast which he co-hosts with former Umno Youth chief Khairy Jamaluddin.

On Monday, Prime Minister Anwar Ibrahim urged EPF to increase its domestic investments to 70% from the present 64%.

Khairy said he agreed with Shahril’s view as EPF’s returns on foreign investments (10%) were nearly double than what it could earn from its domestic investments.

The former Rembau MP said other government investment arms like Khazanah Nasional Bhd should be used to boost domestic investments as EPF’s priority was to generate returns for its members.

Khairy said while Anwar might have good intentions in wanting EPF to invest more in Malaysia, his remarks showed the government lacked direction on the economy. - FMT