Malaysia continues to be an investment destination for high value manufacturing and global services in Asia, according to the Malaysian Investment Development Authority (MIDA).
The country remains an investment destination with a supportive environment including good infrastructure, telecommunications services, financial and banking services, a support industry, a skilled and trainable workforce as well as market opportunities offered through the 16 Trade Agreements it has signed.
MIDA said this as refusing a Singapore daily newspaper report on foreign investors leaving Malaysia, insisting that the matter was not true.
"The report wrongly shows that the report of the United Nations Conference on Trade and Development (UNCTAD) confirms what has been said based on observations," he said in a statement today as reported by Bernama.
According to MIDA, the company has identified 240 high-profile foreign investment projects including Fortune 500 companies in the manufacturing and services sectors with a combined potential investment value of RM81.9 billion.
“Currently, MIDA is also receiving investment potential worth RM47.7 billion into the country. These projects, when approved later, are expected to be implemented in 2021 to 2022, ”he said in the statement.
Citing the Department of Statistics Malaysia, MIDA said gross foreign direct investment (FDI) inflows into the country for the period January to September 2020 were worth RM108.2 billion compared to RM102.3 billion in the same period in 2019, an increase of 5.8%.
“This is a huge achievement considering the Movement Control Order (PKP) and PKP Rehabilitation (PKPP) in the second and third quarters of last year respectively.
"Gross FDI inflows also reflect the high rate of FDI projects approved and implemented in the economy including the manufacturing, services and key sectors over the past few years," MIDA explained.
MIDA added that the total FDI approved from 2018 to September 2020 is worth RM206.02 billion.
Last year, nine existing foreign-owned manufacturing companies with a total investment of RM394.3 million in Malaysia implemented business rationalization measures.
“These companies are either closing their businesses in Malaysia or relocating them to other countries due to technological disruptions that are changing their business landscape and experiencing reduced demand for their products.
"This investment is part of the total investment approved in the economy for the period from January-September 2020," he said.
Meanwhile, according to MIDA, Malaysia remains a major producer of semiconductors and sensors for cars amid reports that potential investors in the automotive industry are considering opening their assembly plants in neighboring countries.
"Malaysia has one of the most comprehensive ecosystems in the region in the electrical and electronics, machinery and equipment, aerospace, automotive and medical equipment industries," he said
