Capital Market Key In Powering Semiconductor Growth Phase

Capital market will play a pivotal role in financing the country’s next phase of semiconductor industry growth as it seeks to capture opportunities arising from the restructuring of global semiconductor supply chains, Deputy Finance Minister Liew Chin Tong said.

Speaking at the Bursa Malaysia-CLSA Semiconductor Sectoral Series recently, Liew said the country’s semiconductor ambitions will require strong collaboration between the government, industry players and capital market participants to support companies moving into higher value-added activities.

He said the next stage of industry development would require three critical forms of capital — deep capital, smart capital and strategic capital — to enable companies to invest in innovation, technology, talent development and advanced capabilities while strengthening their global competitiveness.

“The next semiconductor leap cannot be achieved by government, industry or investors alone. Success requires partnership, and investors, as well as capital markets, must provide the long-term capital necessary to transform promising companies into global champions,” he said.

Backed by ongoing government initiatives, Malaysia’s semiconductor industry is steadily transitioning beyond traditional assembly and testing operations into more advanced segments such as advanced chip packaging for artificial intelligence (AI), data centres and high-performance computing applications.

Liew noted that the Ministry of Science, Technology and Innovation (MOSTI) has set an ambitious target for Malaysia to capture 7% of the global advanced semiconductor packaging market by 2035, reflecting the country’s aspirations to move further up the global semiconductor value chain.

The shift comes amid continued reorganisation of global semiconductor supply chains, creating fresh opportunities for Malaysia to attract higher-value investments and expand its technological capabilities.Bursa Malaysia Chief Executive Officer Dato’ Fad’l Mohamed said the exchange remains committed to building a capital market ecosystem that supports innovative technology companies throughout their growth journey.

He noted that Bursa Malaysia is currently home to 52 technology companies with a combined market capitalisation of nearly RM100 billion as of June 2026.

Through initiatives such as MY Value Up, Bursa RISE+ and Invest Malaysia, the exchange continues to strengthen investor engagement, improve market visibility and facilitate companies’ access to long-term funding.

“As Malaysia’s semiconductor industry evolves, we remain committed to strengthening the capital market ecosystem to support the industry’s growth and Malaysia’s ambition to build globally competitive technology companies,” he said.

Organised jointly by Bursa Malaysia and CLSA Securities Malaysia Sdn Bhd, the event, themed “Malaysia’s Next Semiconductor Leap: Elevating the Semiconductor Value Chain,” brought together policymakers, investors and industry leaders to discuss Malaysia’s competitive position within the global semiconductor ecosystem.

The forum explored opportunities in higher-value segments of the semiconductor supply chain, including advanced packaging, while examining how capital markets can accelerate innovation, business expansion and international competitiveness.

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