Malaysia set to gain RM105.3b worth of new investments

Malaysia set to gain RM105.3b worth of new investments

16 Oct 2023

Malaysia is expected to gain a total of RM105.3 billion worth of new investment following 984 projects in negotiations as of Aug 31 under the supervision of the Malaysian Investment Development Authority (MIDA).

Investment, Trade and Industry Minister Tengku Datuk Seri Zafrul Tengku Abdul Azizity said of the total, RM89.5 billion is made up of foreign direct investment (FDI) and RM15.8 billion of domestic direct investment (DDI).

“The investment total includes projects from the manufacturing sector with proposed investments of RM73.6 billion, involving 53 project proposals and 931 project proposals in the service sector with proposed investments of RM31.7 billion,” he said in Dewan Rakyat, today.

Tengku Zafrul said this in response to Datuk Seri Jalaluddin Alias (BN-Jelebu) on the estimated amount of foreign investments in the country for 2024.

Tengku Zafrul said the top five investments approved in 2022 comprise Johor, Selangor, Sarawak, Kuala Lumpur and Penang, adding that the approved investment in the Klang Valley only amounted to 31.9 per cent.

“This indicates that investments approved in Malaysia are not solely concentrated in the Klang Valley.

“The choice of investment location by investors is based on the business decisions of the investors and largely depends on the ecosystem and the strengths of each state’s industry clusters.”

At the same time, he added that to reduce the development gap between regions, the new investment policy based on the New Industrial Master Plan 2030 (NIMP 2030) has also outlined the mission of safeguarding economic security and inclusivity.

This, he said, will allow the industrial clusters in each state to complement one another and could benefit the economic spillover of existing clusters.

“For example, this economic spillover can create new industry clusters and support other industries such as the high-tech manufacturing and research development activities in the Kulim Hi-Tech Park (in Kedah) and Perak, which can then support the electrical and electronics (E&E) cluster in Penang.”

Source: NST