Takemura in KL for trade talks

Takemura in KL for trade talks

KUALA LUMPUR (Reuter): Japanese Finance Minister Masayoshi
Takemura arrived in Malaysia yesterday for a four-day visit that
is expected to focus on trade issues as well as the rising value
of the yen.

The Japanese minister is scheduled to hold talks on Friday
with Prime Minister Mahathir Mohamad and Deputy Prime Minister
Anwar Ibrahim, who is also the finance minister.

The talks are expected to centre on bilateral trade, the East
Asian Economic Caucus, a regional trade forum proposed by
Malaysia in 1992, and the Asia Pacific Economic Cooperation
forum.

Malaysia's leaders are also expected to bring up the issue of
Japan's huge trade surplus and the appreciation of the yen, which
has increased Kuala Lumpur's burden in servicing its yen-
denominated loans as well as raised the cost of Japanese goods
such as car and electronic components.

According to local press reports, Malaysia's yen-denominated
loans decreased by 4.6 percent from 679.6 billion yen ($6.79
billion) to 648.3 billion yen ($6.48 billion) in the first three
months of 1994, but it had to spend almost half a billion ringgit
($196 million) more to service them.

Japanese firms are involved in a variety of industries in
Malaysia, including both national car projects, Perusahaan
Otomobil Nasional (Proton) and Perusahaan Otomobil Kedua
(Perodua).