Wal-Mart and Metro consider market entry in Malaysia

Wal-Mart and Metro Group are planning to expand to Malaysia.According to the financial daily The Edge, Malaysia’s Domestic Trade and Consumer Affairs Minister Datuk Shafie Apdal told reporters that both retailers have submitted applications to open stores in the Asian country.

Metro Group declined to comment on the rumour that it even considers a joint venture with Wal-Mart. ‘We are of course always looking for expansion markets, especially in eastern Europe and Asia,’ a Metro spokesman responded, ‘But we will not comment on anything until a decision is taken.’

The Malaysian government is studying the effects Wal-Mart and Metro Group would have on local retailers. Datuk Shafie Apdal is positive about both retailers’interest in the Malaysian market. ‘It will not only provide more jobs locally but will make the retail market more competitive besides injecting foreign investments in the country’, he said.

Last June he announced that the Malaysian authority was set to loosen restrictions on foreign hypermarket operators to lure foreign investors to take part in the country’s US$18bn retail market.