Palm | Kelapa Sawit

KUALA LUMPUR, Dec 3 (Reuters) - Banking giant HSBC's decision to curb lending to oil palm projects in Malaysia is misguided and will hurt the bank more than it will hurt Malaysia's palm industry, the country's commodities minister said.
"My immediate reaction to that is I think that banks like HSBC should look at individual clients that they are doing business with rather than saying we will cut 30 percent just like that," Plantation Industries and Commodities Minister Peter Chin told Reuters.
Chin said that HSBC Malaysia had told him the bank had 300 forestry clients in the country.
Chin said that Malaysia is expected to export palm oil worth nearly 60 billion ringgit ($16.50 billion) this year against 42 billion last year, but saw a decline in revenues next year.
"2009 will be slightly down, not only because of lower prices, (but) there is some dampening of demand especially in Europe," he said.