Written by Rafidah Abdul Aziz
Foreign direct investment (FDI) is an investment in a business by an investor from another country for which the foreign investor has control over the company purchased. Businesses that make foreign direct investments are often called multinational corporations (MNCs) or multinational enterprises (MNEs). In the context of foreign direct investment, advantages and disadvantages are often a matter of perspective. An FDI may provide some great advantages for the MNE but not for the foreign country where the investment is made. On the other hand, sometimes the deal can work out better for the foreign country depending upon how the investment pans out. Ideally, there should be numerous advantages for both the MNE and the foreign country, which is often a developing country.
Celcom Axiata Berhad was formerly known as Celcom (Malaysia) Berhad and changed its name in December 2009. The company was founded in 1988 and is headquartered in Kuala Lumpur, Malaysia. Celcom Axiata Berhad operates as a subsidiary of Axiata Group Berhad. Celcom is one of the largest telecommunications service providers in Malaysia and the region. Its core business remains prepaid and postpaid mobile voice services. Celcom has also achieved significant growth in mobile broadband, m-commerce, enterprise solutions and bulk wholesale services. Celcom continues to have the widest network coverage in the country. Through ongoing investments in network coverage, capacity and performance, Celcom intends to maintain its technology leadership and position as the country’s best mobile service provider. Celcom is part of Axiata Group, one of the largest Asian telecommunication companies, focused on high growth low penetration emerging markets.
Apart from Celcom, Axiata has controlling interests in mobile operators in Indonesia, Sri Lanka, Bangladesh and Cambodia with significant strategic stakes in India, Singapore, Pakistan and Thailand through its various subsidiaries and affiliates. As one of the leading telecommunications groups in Asia with a presence in ten countries and a customer base of approximately 30 million, Axiata makes a substantial contribution to the countries in which the Group operates. Through its investments in its portfolio of operating companies across the region, Axiata is recognized as a one of the largest Foreign Direct Investors, best employer, significant taxpayer and a substantial purchaser of local services. As long-term investors in our countries of operations, Axiata stands as one of the largest contributors of Foreign Direct Investment (FDI) and national taxes. As a long term investor in Sri Lanka for over two decades, Axiata Group Berhad (“Axiata”) through its subsidiary, Dialog Axiata PLC (“Dialog”) have been making significant investments to spearhead the rapid development of the Sri Lankan telecommunications industry. With over USD2.2 billion cumulative investments, Dialog is recognised as the single largest FDI into Sri Lanka, and as one of the largest corporations in the country.
The Group continues to contribute to the national development of our countries of operation. The Group’s mobile subsidiaries and associates operate under the brand name ‘Celcom’ in Malaysia, ‘XL’ in Indonesia, ‘Dialog’ in Sri Lanka, ‘Robi’ in Bangladesh, ‘Smart’ in Cambodia, ‘Idea’ in India and ‘M1’ in Singapore.