Malaysia Pension Fund Launches Program to Revitalize its Startup Ecosystem

Malaysia's pension fund Kumpulan Wang Persaraan (Diperbadankan) [KWAP] announced the launch of Dana Perintis on Sept 21, with the goal of revitalising Malaysia's venture and startup ecosystem.

KWAP said in a statement that it plans to invest up to MYR 500 million ($106.6 million) over the next 18 to 24 months to empower early-stage companies, drive innovation, and support economic resilience. Dana Perintis, according to the statement, has two strategic pillars: investments in selected Malaysia-focused venture capital (VC) funds and direct investments in early-stage companies.

KWAP's initiative, with an allocation of MYR 250 million ($53.5 million) for each pillar, aims to accelerate growth within the Malaysian entrepreneurial landscape in line with KWAP's sustainability commitment as a signatory to the UN Principles for Responsible investment.

“KWAP recognizes the potential for innovation and growth within Malaysia’s venture ecosystem,” said Hazman Hilmi Sallahuddin, Chief Investment Officer of KWAP.

He sees Dana Perintis as a testament to the fund's commitment to accelerating the growth of Malaysia's startup industry.

"With Dana Perintis, we are not only investing financial capital, but also our expertise, resources, and commitment to seeing these Malaysian startups succeed on a global stage, particularly those in which we are directly involved," he added.

As one of Malaysia's leading investors, KWAP aspires to play a critical role in steering the country towards a thriving early-stage ecosystem.

KWAP aims to propel the growth trajectory of the startup landscape by strategically investing and addressing critical gaps, yielding attractive risk adjusted returns for its stakeholders.