MALAYSIA wants to work together with Hong Kong's entrepreneurs to further develop each other's prosperity, according to Mohamad Khalis, the new Commissioner for Malaysia in the territory. The idea of building links with business people in the territory would allow Malaysian entrepreneurs and their Hong Kong partners to make mutually beneficial investments in emerging markets and developing countries, he said. ''There is a possibility of co-operating with Hong Kong companies to invest in third countries such as Vietnam and South Africa,'' Mr Khalis said. The idea was informally explored during a visit to Hong Kong by Malaysia's Minister of International Trade and Industry, Rafidah Aziz, he said. During the trip, the possibility of Malaysian firms linking up with Hong Kong businesses was discussed with top ranking officials from the Hong Kong Trade Development Council and more than a dozen prominent entrepreneurs, Mr Khalis said. This was in line with a policy being aggressively pursued by Malaysia's Prime Minister, Dr Mahathir Mohamad, in an effort to transform Malaysia into an outward-looking industrialised country by 2020. ''The Prime Minister has visited several countries promoting trade and investment,'' he said. As global markets changed and global competition intensified, it was leading to a readjustment of business relationships, especially in Southeast Asia. Malaysia's current policies also encouraged what were called ''reverse investments'' - forming strategic business alliances overseas, especially in emerging and developing markets. Building partnerships overseas helped businesses to diversify and made inroads into foreign markets. In recent years, some firms had formed partnerships in Vietnam, South Africa and Burma. Latest data from MATRADE, the Malaysia External Trade Development Corporation, shows Malaysia's exports into some of these southern markets stretching from the African world to the Arab world have been growing steadily. While these new forms of co-operation were being explored, Malaysia was also making efforts to build relationships in other areas of mutual interest, Mr Khalis said. Mr Khalis said Hong Kong and Malaysia recently had made further progress in judicial co-operation by finalising an extradition treaty - Agreement on Surrender of Fugitive Offenders. Another agreement, which related to mutual co-operation in combatting narcotics, had been signed. ''The agreement, Investigation and Prosecution of Drug Trafficking Offences, Confiscation of Proceeds and Instrumentalities of Drug Trafficking, was signed in April last year,'' he said. The hand of friendship is being extended in the education field as well. ''Our Minister of Education, Dr Sulaiman Daud, was here in June to discuss a line of co-operation, mainly in the tertiary sector,'' Mr Khalis said. Malaysia was now encouraging its higher education institutions to link up with foreign universities to upgrade their programmes and also introduce new courses, he said. There had been a lot of contact in the educational field, at official and academic levels. There was a need for improving bilateral contacts in areas of science and technology. Mr Khalis said Malaysia sought to adapt some of the best aspects of education in Hong Kong. Important delegations from Malaysia's state governments of Malacca, Johor, Sarawak and Negeri Sembilan had visited Hong Kong, he said, adding that Malaysian entrepreneurs attached great importance to Hong Kong in terms of trade and investment. In the cultural field, although there were no formal links, there were close contacts between the peoples, he said. ''Malaysia has been exposed to Hong Kong. Even Hong Kong TV programmes are shown in Malaysia [through domestic networks],'' Mr Khalis said.