At the event, the country leaders highlighted that growing inequality continues to defy solutions for inclusive development and that centralised development tends to overlook or even marginalise large sections of society in many countries. They also pointed out that the unintended consequence of innovative technology often was the enrichment of a few; that the potential of the young population of the developing world has not been effectively utilised; and that enhancing media strategy to improve global perception of Islamic world investments and business potentials is important.
The recommendations include:
- Promoting and supporting an enabling environment to develop micro, small and medium enterprises (MSMEs), to address job creation and income generation as well as to unlock economic opportunities in rural communities;
- Harnessing the use of innovative training to provide youth with modern skills to enhance their economic exchange value;
- Expanding the use of Islamic finance to grow the halal ecosystem, modest fashion industry, infrastructure development and social finance;
- Harnessing the use of disruptive technologies for the wider benefit of a more inclusive society; and
- Developing strategies to enhance the potential of creative industries to spread economic growth.
The 12th WIEF, themed Decentralising Growth, Empowering Future Business, was a platform for the Indonesian government “to promote investment opportunities in the country and to market our products, whether they are products with halal certification or existing products deemed competitive in the international market,” said Sri Mulyani Indrawati, Indonesia’s Minister of Finance.
Indonesia’s President Joko Widodo and Malaysia’s Prime Minister Najib Razak witnessed the inking of a pact between the Financial Services Authority of Indonesia (OJK) and Bank Negara Malaysia where three Indonesian banks under the ASEAN Banking Integration Framework are allowed to set up subsidiary offices in Malaysia and be treated like a local bank.
A bilateral meeting between President Widodo and the Sri Lankan Prime Minister, Ranil Wickremesinghe, has spurred the interest of Indonesia to help set up a railway system in Sri Lanka and for Sri Lanka to import Indonesian-made train carriages.
The President of Tajikistan, Emomali Rahmon and President Widodo discussed economic cooperation in the textile sector including cotton processing industry. President Rahmon has invited Indonesian business leaders to invest in projects in Tajikistan.
Another meeting between President Rahmon and the Prime Minister of Sri Lanka was reported to be focused on the establishment of bilateral cooperation between their two countries in constructing small and medium hydropower plants and launching joint minerals processing ventures in Tajikistan.
Ten memoranda of understanding worth US$899.6 million were exchanged at the event, including:
Malaysia’s Majlis Agama Islam Negeri Johor (MAINJ) signed an agreement with UMLand J-Biotech Park to spearhead the development of Johor Halal Park, envisioned to become the first premium bio-halal industrial park in Malaysia with world-class facilities and a halal ecosystem.
Bursa Malaysia and Indonesia Stock Exchange entered into an agreement of cooperation to develop the Islamic capital markets in Malaysia and Indonesia with the aim to establish both Malaysia and Indonesia as a leading Islamic capital market hub in the world.
Jakarta Industrial Estate Pulogadung (JIEP) and port operator Pelabuhan Indonesia II signed an agreement to develop Indonesia’s first international Halal Hub that will process and manage all containers based on shari'ah principles.
Another cross-border collaboration was a tripartite agreement made between Kumpulan Perubatan Johor, Malaysia and two Japanese companies – Sojitz Corporation and Capital Media Company to set up an Oncology Center at Rumah Sakit Medika Bumi Serpong Damai (RSMBSD) in Tangerang, Indonesia at the cost of US$12 million.
Three Malaysian property developers, namely Sime Darby, SP Setia Indonesia and I&P Group, will work with Indonesia’s PT Hanson International to jointly develop an affordable residential project for US$862 million in the Maja area in West Jakarta, Indonesia.
In the field of education, Brainy Bunch inked an agreement with PT Brainy Bunch Indonesia, giving the Indonesian company the rights to set up Brainy Brunch Islamic Montessori preschools in Indonesia.
Additionally, the 12th WIEF has set the course to strengthen the role and increase global recognition of Indonesian MSMEs. In her closing statement, Indonesian Finance Minister Sri Mulyani Indrawati said that the 12th WIEF has successfully explored the crucial role of MSMEs in driving economic growth. “This effort reaffirms the fact that empowering MSMEs by facilitating their larger participation in the mainstream economy will spur innovation and improve efficiency that provides enterprises the competitive edge to navigate through the ever-evolving business landscape.”
In the closing session, the Chairman of the WIEF Foundation, Tun Musa Hitam, stated that the agreements between Indonesian and regional corporations proved that the 12th WIEF has been a strategic platform for important collaborations to strengthen and connect economies in the Muslim nations with their regional and global counterparts. “This reflects our confidence, courage and decisiveness in responding to our current economic challenges, in which collaborative model that enables joint value creation is important and necessary in order to create a level playing field between the Muslim and non-Muslim world to spread economic growth,” he said.
The WIEF Foundation, a not-for-profit organisation based in Kuala Lumpur, Malaysia organises the annual WIEF, a platform showcasing business opportunities in the Muslim world, and runs programmes of the various initiatives of the Foundation that strengthen people partnership and knowledge exchange between Muslim and non-Muslim communities across the globe. The forum, while focused on the development of MSMEs, also discussed topics relating to the expansion of the global halal ecosystem, enhancing the inclusiveness of Islamic finance, the support of startups and the development of the creative industry.