AmBank Group has provided MYR350 million (approx. US$84.74 million) in financing to Huawei Technologies (Malaysia) Sdn Bhd to support the development of Malaysia's digital infrastructure, including its second 5G network. The funding is intended to advance Malaysia's digital transformation and encourage further foreign investment by offering tailored financing solutions, according to Bernama.
The move comes amid ongoing restrictions by the US and several allied countries—including Japan, the UK, EU members, and Australia—on Huawei's involvement in 5G network construction and equipment supply. Despite these limitations, Huawei continues to maintain a significant presence in the Southeast Asian market.
A recent Reuters report highlighted a shift in Vietnam's approach to Chinese digital vendors, noting that the country, which had traditionally avoided companies like Huawei and ZTE Corp., recently awarded small infrastructure orders to both firms. This development is seen as a reflection of improving relations between China and Vietnam, although it has raised concerns in the US about the increasing adoption of Huawei technology in the region.
Huawei plays a central role in China's Digital Silk Road initiative, which aims to expand Chinese technology companies' overseas footprint, focusing on Southeast Asia and other countries involved in the Belt and Road Initiative. Malaysia previously drew US scrutiny for supporting Huawei's Ascend chip-related projects, but cooperation with the company has reportedly continued without interruption. Wong Siew Hai, president of the Malaysian Semiconductor Industry Association, told Bloomberg that engagement with Huawei remains ongoing despite geopolitical tensions.
Article edited by Jack Wu
