“Malaysian investors have been very successful here in New Zealand,” Luxon told FMT in an exclusive interview, noting that there has been a long track record of Malaysian investors who “understand the market” and “are hugely respected”.
“So, we just want to turbocharge all of that and, ultimately, also encourage opportunities for New Zealand firms to contribute to building up the Malaysian economy as well.”
Luxon pointed to interest in partnering with Malaysia’s and Asean’s sovereign wealth funds for public infrastructure and private projects.
To support this push, he said, the New Zealand government is introducing several measures, including changes to its Overseas Investment Act, simplified planning laws, and strengthening its approval processes.
“We have something called the ‘Fast-track’ platform, a one-stop-shop to get all your resources.
“We also have the ‘Investment Boost’ initiative, which is essentially a 20% tax write- off for any investments in plant capital and equipment for a lot of our projects in the country,” he said.
Luxon described New Zealand as “a great safe haven in a world that’s increasingly uncertain”.
“We have a responsibility as a government to make it as easy as possible and as welcoming as possible for that capital to come into New Zealand,” he said.
While noting that other countries were tightening their immigration laws, Luxon said New Zealand was keeping its doors open to high-skilled labour from across the region and the globe.
“We want to attract investment to the country and, obviously, skilled people as well that can make a contribution.
“It’s always important to make sure your immigration settings are tied to your infrastructure development, and to your economic strategy as well,” he said.
Competitive partnerships
According to Luxon, New Zealand’s most competitive industries could offer greater opportunities for flourishing business-to-business ties and industrial partnerships.
“We have a huge and very successful food and beverage sector in New Zealand,” he said. “The countries across Asean, with more and more people entering the middle classes, want higher quality food and produce.”
While New Zealand is known for its agriculture, he said, the country is also building capacity in other sectors, including halal food, renewable energy, space, and technology.
“What people probably don’t (realise) is, they know us for agriculture, but they don’t realise we’re also the third biggest launcher of rockets into space.
“We have a fantastic rocket programme here, and an advanced aviation and space sector that’s growing very quickly. That’s been a key growth area for us,” he said.
He also pointed to strengths and a bustling start-up scene in renewable energy, agri- tech, biotechnology, general artificial intelligence, and quantum computing.
“A lot of people think of us as a country that has a lot of sheep and cattle, but, actually, we’re also a country that is doing a fantastic job in services, and particularly in technology,” he added.