Foreign Direct Investment Into Malaysia Increased 350% In Past Three Quarters

Malaysia’s foreign direct investments (FDI) volume increased to 49 billion ringgit ($11.72 billion) for the first nine months of this year compared with the same period last year.

Finance Minister Lim Guan Eng said that this way mainly owing to renewed confidence by foreign investors towards Malaysia, adding that FDI growth was “very evident” in the last five months and was encouraging for the economy and the country’s leadership which came into power after a landslide election win back in May this year.

“This is part of our efforts to ensure a good and clean Malaysia and a country the people can be proud of, not only in terms of physical, but also financial management,” he said.

“This increase in FDI is a good performance although we came into office just six months ago. This is only the beginning and we still have a long way to go. What is important is that we are on the right track,” Lim added.

He noted that it does not mean that Malaysia can reduce its debt faster but showed at least that the country was in a healthy condition. It would take more time to restore the country, but the government would continue with its efforts to cleanse Malaysia and return to the right path.

“More importantly, we want the world to know that we are free from the clutches of kleptocracy,” he noted.

Based on data from the Malaysian Investment Development Authority, the majority of FDI into Malaysia currently comes from China, Switzerland, Singapore, the Netherlands and Germany. China’s investments are diversified into many industries, including non-metallic products, transport equipment, rubber products, electronics and general manufacturing.

As for commodities, agricultural and forestry products, Malaysia has abundant natural resources including palm oil, rubber, tin, wood, oil and natural gas. It also has developed the electronics and chemicals sectors and has a high value-added products industry, such as semiconductors and other electronic products.

High potential sectors are biotechnology, electronics and electricity, transport, green energy, telecommunications, tourism, cosmetics and beauty products, architecture and town planning, health and pharmaceutical equipment, as well as aeronautics including maintenance, repair and overhaul.

Source: investvine.com