RM17.9 billion in investments will be finalised this year from 16 trade and investment promotion missions (TIM), including 15 official visits led by Prime Minister Datuk Seri Anwar Ibrahim last year.

The Investment, Trade, and Industry Ministry’s statement, read by Deputy Education Minister Wong Kah Woh, RM59.1 billion in investments is also targeted to be finalised between 2026 and 2027.

“RM37.6 billion in investments has been approved in 2024,” he said in a response to V. Sivakumar (PH-Batu Gajah) about the National Investment Strategic Plan during a Special Chamber session in the Dewan Rakyat today.

Countries visited in 2024 include Germany, France, Italy, Australia, Saudi Arabia, the United Arab Emirates, Qatar, Japan, India, Singapore, Thailand, and Pakistan.

Wong said RM28.9 billion in investments is expected to be finalised this year through 12 TIMs, including eight official visits in 2023.

“RM40.2 billion in investments has been approved in 2024, while RM283.7 billion is targeted to be finalised between 2026 and 2027,” he said.

Wong explained that the ministry and the Malaysian Investment Development Authority are actively negotiating with potential companies identified during the TIMs in 2023 and 2024 to ensure investment decisions can be finalised soon.

Among the announced projects are GDS Services Ltd, which will invest RM4.5 billion in building a hyperscale data centre campus over 10 years, and Enovix Malaysia Sdn Bhd, which will invest RM5.8 billion over 15 years to establish its first facility in Malaysia.

There is also a collaboration between Zhejiang Geely Holding Group and DRB-HICOM, focusing on the planning and development of the Automotive High-Technology Valley in Tanjung Malim, Perak.

“This collaboration aims to attract high-tech automotive investments, with a collective investment estimate of RM32 billion from various parties, including foreign and local investors, as well as job creation by 2030,” he added.

Source: Bernama

Nearly RM18 bln in investments to be finalised from 2024 trade missions

UEM Sunrise Bhd has signed a memorandum of understanding (MoU) with Singapore-based GuocoLand Ltd to jointly develop selected freehold landbank in Iskandar Puteri, Johor.

The collaboration, announced in a joint statement, will focus on UEM Sunrise’s land in Gerbang Nusajaya and Puteri Harbour, two key master plans within Iskandar Puteri.

However, no details were provided on the land size, estimated gross development value or other specifics.

The developers said they aimed to enhance Iskandar Puteri’s investment appeal by improving connectivity, fostering talent development and creating a business-friendly ecosystem.

“With both companies backed by larger conglomerates with expertise beyond real estate development, the partnership will unlock new opportunities and contribute to Johor’s economic aspirations,” the statement noted.

UEM Sunrise, the master developer of Iskandar Puteri, is a subsidiary of UEM Group Bhd, while GuocoLand, which had investment properties valued at S$6.58bil as of Dec 31, 2024, is a subsidiary of Hong Kong-listed Guoco Group Ltd.

GuocoLand is also a member of the Hong Leong Group.

UEM Sunrise officer-in-charge and chief financial officer Hafizuddin Sulaiman said both developers bring extensive experience in large-scale integrated developments, “making this collaboration a synergy of industry leaders”.

The partnership aimed to forge strategic collaborations to catalyse development in the Johor-Singapore Special Economic Zone (JS-SEZ), reinforcing Iskandar Puteri’s position as a key economic hub.

Iskandar Puteri is Flagship Zone B of the JS-SEZ, with a focus on manufacturing, business services, digital economy, education, health and tourism.

“This partnership is not just about development, but also about shaping a thriving end-to-end, future-ready economic hub that fuels long-term growth, creates jobs and strengthens the JS-SEZ ecosystem,” Hafizuddin noted.

GuocoLand group chief executive officer Cheng Hsing Yao highlighted UEM Sunrise’s strong local expertise in master planning and “well-located sites”.

“GuocoLand will bring along our experience in real estate development and asset management, as well as an understanding of the needs of companies from Singapore, Malaysia and China that wish to establish a presence in the JS-SEZ,” he said.

The MoU signing coincided with the opening of UEM Sunrise Gallery Iskandar Puteri, a dedicated space showcasing the developer’s vision for the area.

This includes a new master plan for Gerbang Nusajaya, featuring a forward-thinking industrial park and the development of a new interchange.

Strategically located near Senai Airport and the Port of Tanjung Pelepas, one of South-East Asia’s busiest ports, Iskandar Puteri is just 7.5km from Singapore’s Tuas checkpoint.

This proximity strengthens the JS-SEZ’s position as a trade and logistics hub, making it an attractive gateway for regional and international investments.

Source: The Star

UEM Sunrise, GuocoLand ink JS-SEZ agreement

THE Johor-Singapore Special Economic Zone (JS-SEZ) has landed one of its earliest investors – Hong Kong-listed Gold Peak Technology Group.

Gold Peak, a battery technology and energy storage solutions company, intends to expand in the region with a proposed RM670mil investment involv- ing the establishment of a manufacturing and research- and-development facility.

Johor Mentri Besar Datuk Onn Hafiz Ghazi said the investment would bring advanced manufacturing capabilities, high-­quality job opportunities and sustainable economic growth to the state.

At the Iskandar Puteri event, Onn Hafiz also launched United Overseas Bank’s (UOB) Green Lane initiative with Invest Johor, which would fast-track investments into the JS-SEZ.

The ceremony also saw the intro­duction of Gold Peak as UOB’s first client under the Green Lane, where the Hong Kong firm’s executive director and managing director Michael Lam presented a letter of intent to Invest Johor chief executive officer Natazha Hariss.

Lam said the JS-SEZ presented a strategic opportunity for Gold Peak to expand its footprint in South-East Asia.

“Our future facility will serve as a hub for innovation in battery technology and energy storage.

“It will focus on producing next-generation battery technologies and is expected to play a pivotal role in advancing sustainable energy storage solutions, mainly for data centres across South-East Asia.

“The company’s proposed investment is expected to create approximately 150 to 180 employment opportunities, contributing to the region’s socio-economic development and driving innovation,” he said.

UOB Malaysia chief executive officer Ng Wei Wei said its Green Lane initiative was an outcome arising from the memorandum of understanding signed with Invest Johor at the Asean conference in August last year.

Source: The Star

Johor-Singapore SEZ gets initial investors

Malaysia is a trading nation, and without incoming investment, some issues may remain unresolved, says Prime Minister Datuk Seri Anwar Ibrahim.

“The investments we secure can help address several issues, such as creating job opportunities and boosting the country’s economic capabilities.

“Alhamdulillah, we have achieved another record high growth in history. This achievement is critical for us.

“Investments from foreign companies such as Infineon, Microsoft, and Google will help build a network of young talent, much of which is trained by these companies.

“Moreover, our universities also need to adjust the courses they offer, such as Artificial Intelligence (AI), connectivity, and food technology,” he said at a press conference at the end of his working visit to Vietnam today.

The prime minister said this when commenting on Malaysia’s record-breaking approved investment in 2024, which reached RM378.5 billion. This marks a 14.9 per cent year-on-year increase, with over 6,700 projects across key sectors.

The Investment, Trade and Industry Ministry (MITI) said that the total investment was expected to create more than 207,000 new jobs, strengthening Malaysia’s position as a major investment destination.

Despite facing ongoing global economic challenges, Malaysia continues to attract significant investments, with domestic investment (DI) contributing RM208.1 billion (55 per cent) and foreign investment (FI) contributing RM170.4 billion (45 per cent).

Foreign investor confidence in Malaysia remains robust, with strategic investments from five major countries: the United States (RM32.8 billion), Germany (RM32.2 billion), China (RM28.2 billion), Singapore (RM27.3 billion), and Hong Kong (RM7.4 billion).

Anwar also addressed comments regarding his series of overseas visits last year, which were criticised for their cost.

He said that these trips were for work purposes.

“Do I need to keep going overseas? Some have commented on the expenses.

“We arrive at the hotel, hold meetings, attend bilateral discussions — that’s our job. Once it’s done, we return straight away.

“I didn’t take a single day off to play golf,” he added.

Anwar said that there were plans for foreign leaders to visit Malaysia in the near future.

“We will receive a visit from South Africa in April. In addition, President Xi Jinping of China will also visit Malaysia.

“When we show friendship, they will come with business delegations that will provide exposure to opportunities in Malaysia,” he said.

Source: NST

Anwar: Foreign investments fuel Malaysia’s economic rise

Malaysia remains a top destination for European and US investors, even though the country has joined BRICS as a partner country.

The Ministry of Investment, Trade, and Industry (Miti), in a written response published on the Parliament’s website on Tuesday (Feb 25), informed that as of December 2024, a total of 56 potential projects with an investment commitment of nearly RM20 billion have been identified, and are set to be implemented in the country.

It stated that large international companies, such as Intel, Amazon Web Services, Oracle, Google, and Plexus, continued to commit to investing or increasing their investments in Malaysia, making the country one of the primary destinations for over 600 US companies.

“Although Malaysia has now joined BRICS as a partner country on Jan 1, 2025, it continues to maintain strong relations with its traditional trade partners. The evolving relationship with the US and Europe ensures that Malaysia can capitalise on economic opportunities from both sides, without neglecting its involvement in the growing BRICS bloc,” said the ministry in response to a question from Datuk Abdul Khalib Abdullah (PN-Rompin).

Abdul Khalib wanted to know the impact of foreign countries, such as Europe and the United States, on the country’s investment and trade sectors if Malaysia becomes a BRICS member.

According to the ministry, Malaysia’s involvement in BRICS also opens up broader market access, especially with countries that do not have free trade agreements with Malaysia, such as Russia, Brazil, South Africa, and India.

“This move has the potential to provide new opportunities in the trade and investment sectors, while strengthening Malaysia’s position as a dynamic economy globally. Additionally, the country’s trade performance also shows impressive growth,” explained Miti.

In 2024, total trade with the United States recorded RM325 billion, an increase of 30% compared to RM250 billion in 2023, while trade between Malaysia and European countries reached RM263 billion, an increase of 4% compared to the previous year.

Miti said the BRICS economic bloc, which recorded nearly US$30 trillion (RM132.6 trillion) in 2024, provides Malaysia with an opportunity to further strengthen its strategic position in international trade. “With this background, Malaysia aims to continue improving its competitiveness, and empowering the national economy through the Madani Economic Framework, in line with the inclusive social and economic development plan,” it added.

BRICS is a bloc that collectively contributes one-fifth to global trade, consisting of nine member countries: Brazil, Russia, India, China, South Africa, United Arab Emirates (UAE), Ethiopia, Iran, and Egypt.

Source: Bernama

MITI: Malaysia remains top investment destination for Europe and US, nearly RM20b in commitments identified

THE Johor-Singapore Special Economic Zone (JS-SEZ) has spurred excitement in the business community, with many companies considering relocating or forming partnerships with local firms.

The timely creation of the zone early this year is lauded, given the expected completion of major infrastructure projects next year such as the Rapid Transit System Link (RTS Link) and Gemas-Johor Baru Electrified Double Track Project.

Under the JS-SEZ agreement, both Malaysia and Singapore will collaborate to promote investments in 11 economic sectors: manufacturing, logistics, food security, tourism, energy, digital economy, green economy, financial services, business services, education and health.

The area spans about 3,588sq km, roughly four times the size of Singapore.

It covers six districts in Johor namely Johor Baru, Iskandar Puteri, Pasir Gudang, Pontian, Kulai and Kota Tinggi.

The zone aims to attract 50 to 100 major projects in the first five to 10 years, creating 20,000 skilled jobs, with each investment ideally exceeding RM200mil.

To entice multinational companies to set up offices here, several incentives are being offered.

Johor set up the Invest Malaysia Facilitation Centre Johor (IMFC-J) in Forest City on Feb 18 as a one-stop multi-agency facility to help investors.

Agencies like Malaysian Investment Development Authority, Iskandar Regional Development Authority, Invest Johor and Johor Corporation are actively promoting the zone.

Despite the positive momentum, questions remain about the blueprint or roadmap to ensure that this project does not become a white elephant.

Concerns include the future of existing development projects in Iskandar Malaysia, the rising cost of living in Johor, will there be wage increases, and whether development will simply focus on more high-rise projects around the city centre to attract foreign buyers.

Some local developers report significant land price increases in Johor, especially in the city area, due to foreign buyers.

Recent major announcements include the RM2.6bil development at the Johor Baru RTS Link terminus that will connect to Singapore’s Woodlands North MRT station.

The project, currently called the Bukit Chagar Integrated Mixed-Use Development, comprises a mall, four towers, a hotel, serviced apartments, a health and wellness hub as well as education facilities.

Hong Kong-listed Gold Peak Technology Group, a global leader in battery technology and energy storage solutions, is also planning a RM670mil manufacturing as well as research and development facility.

The government’s move to ease congestion at both our land borders with the island republic through the installation of more autogates and QR code scanners are steps in the right direction.

However, if we do manage to attract a large volume of people from across the Causeway, are we ready with good infrastructure such as wider roads and ample parking spaces?

Once the RTS Link is completed, at least 10,000 people will be arriving in Johor Baru hourly. How will they be moving around the city area?

The JS-SEZ also allows investors to move their goods via three major ports, namely Port of Tanjung Pelepas, Johor Port and Tanjung Langsat Port, while Senai International Airport is also part of this grand plan.

While Johor has air and sea hubs, are our main roads linking them − like Jalan Skudai, Jalan Tebrau, Pasir Gudang Highway and Eastern Dispersal Link − able to handle the extra traffic as they are already choked during peak hours daily?

Besides building more roads to disperse traffic, there is also an urgent need to implement the autonomous rail rapid transit.

It is crucial to improve connectivity between the RTS Link project and Kempas transportation hub.

There is also a need to ensure the state has ample resources, such as water and electricity, to cater to new investors.

Currently, we have 20 data centres operating in Johor, with another 40 in the pipeline.

One question on people’s minds is whether Johor can sustain this high demand in the long-term, especially when we have to continue supplying 250 million gallons of raw water to Singapore daily.

Human resources is another factor that needs to be looked into.

Skills training institutes need to update their syllabus to produce students adept in artificial intelligence and advanced technology, who can meet future demand.

The government should also come up with plans to help the people cope with the rising cost of living.

Developments in JS-SEZ should also be better communicated to the public via regular updates through the mass media.

The JS-SEZ represents a synergistic opportunity for both Singapore and Johor, with Johor providing land and resources to complement our neighbour’s growth.

Source: The Star

Key challenges to Johor-Singapore SEZ

Malaysia anticipates a 5% increase in investments for 2025, in line with gross domestic product growth, following record high RM378.5 billion in approved investments in 2024, said Investment, Trade and Industry Minister Tengku Datuk Seri Zafrul Abdul Aziz.

He said the government set the target after discussions with the Malaysian Investment Development Authority (Mida).

“After discussions with Mida’s management, we have agreed to set the investment target for 2025 to increase by 5% from 2024,” he said at Mida Annual Media Conference 2025, an event that unveils the country’s 2024 investment performance in the manufacturing, services and primary sectors today.

Malaysia secured RM378.5 billion in approved investments in 2024, up from RM329.5 billion in 2023, the highest on record.

The investments span the manufacturing, services, and primary sectors, signalling strong investor confidence despite global economic uncertainties, the minister said, adding that this represents a 14.9% year-on-year increase, covering 6,700 projects.

Tengku Zafrul said these investments will create more than 207,000 new job opportunities for Malaysians.

Of the total investments, 55% (RM208.1 billion) came from domestic sources, continuing a two-year trend of Malaysian investors increasing their investments locally.

Foreign investments contributed 45% or RM170.4 billion of approved investments.

“Malaysia has a healthy blend of investors from both the East and the West, reinforcing Malaysia’s position as a preferred investment destination,” said Tengku Zafrul.

The United States led foreign investments with RM32.8 billion, followed by Germany RM32.2 billion, China RM28.2 billion, Singapore RM27.3 billion and Hong Kong RM7.4 billion.

Selangor attracted the highest amount of approved investments at RM101.1 billion, followed by Kuala Lumpur RM91.5 billion, Johor RM48.5 billion, Kedah RM45.8 billion and Penang RM32 billion.

In terms of sectors, in 2024, services secured RM252.7 billion in approved investments, or 66.8% of the total.

“These investments are set to generate nearly 120,0005 new jobs, reaffirming the sector’s role as the backbone of our economy, driving solid growth and job creation,” said Tengku Zafrul.

Within the services segment, the information and communication sub-sector attracted RM136 billion in investments.

“This made up 53.8% of total approved investments for the services sector, highlighting the growing adoption of digital technologies across sectors such as agriculture, healthcare, finance, tourism and the halal economy,” the minister said.

Tengku Zafrul said this trend extends to other vital areas, such as real estate, which saw RM64.5 billion in investments, support services with RM12.9 billion, utilities at RM11.1 billion, and transport services receiving RM8.5 billion.

Meanwhile, the Digital Investment Office, jointly run by Mida and Malaysia Digital Economy Corporation, delivered RM133.3 billion in digital investments in 2024.

“This has effectively surpassed our RM130 billion national digital investment target set for 2025, with total approved investments reaching RM278 billion between 2021 and December 2024,” Tengku Zafrul said.

“Notable projects include STT GDC’s commitment to building a world-class sustainable digital infrastructure. Located in Johor, this project is poised to advance our vision for the Johor Singapore Special Economic Zone as a hub for innovation, technology, and investment.”

In 2024, Malaysia’s manufacturing sector secured RM120.5 billion in investments, or 31.8% of total approved investments. Involving 1,108 projects, these will create nearly 88,000 (87,695) new jobs. Notably, 82.2% (or more than 72,000 jobs) are reserved for Malaysians.

Tengku Zafrul said 41.6% of these positions are high-value roles, spanning management, technical and skilled labour categories.

Several key industries are leading the way in high-value job creation – 72.6% of jobs in aerospace are high-value positions. The figure is 44.4% in chemicals and chemical products, 40.6% in electrical and electronics (E&E), 37% in pharmaceuticals and 34.4% in medical devices.

The E&E industry secured RM55.8 billion in approved investments. Of this, 86.2% is in the semiconductor subsector. Other key contributors include transport equipment RM15.8 billion, chemicals and chemical products RM10.6 billion, machinery and equipment RM10.6 billion, and food manufacturing RM6.1 billion.

Major manufacturing projects approved in 2024 include EVE Energy Malaysia’s RM6.8 billion expansion for lithium-ion battery production in Kedah, MKS Instruments Malaysia’s RM2.2 billion super centre factory in Penang, F&N Agrivalley’s RM1.7 billion integrated dairy farming and dairy product manufacturing in Negeri Sembilan, Chery Corporate Malaysia’s RM1.4 billion assembly plant in Selangor, Plexus Manufacturing’s RM1 billion sixth facility in Penang and Dominant Opto Technologies’ RM1 billion automotive LED manufacturing facility in Malacca.

Source: The Sun

Malaysia targets 5% increase in investments this year, in line with GDP growth

The Ministry of Investment, Trade and Industry (MITI) targets a five per cent growth in approved investments for Malaysia this year, over RM378.5 billion in 2024, which was the highest ever recorded.

Investment, Trade and Industry Minister Tengku Datuk Seri Zafrul Abdul Aziz said the target was set in line with the expectation of Malaysia’s gross domestic product growth this year of 4.7 per cent.

“The target was set after MITI took into consideration geopolitical and trade alignments that disrupt supply chains and redefine global partnerships as well as technology advancements such as automation, artificial intelligence (AI), and Internet-of-Things (IoT) that are reshaping industries,” he said in a press conference after announcing the country’s investment performance in the manufacturing, services and primary sectors.

Tengku Zafrul also said that the increasing use of state-driven policies and subsidies as emerging countries compete to attract investments and build up key industries and the global push for sustainability have influenced the economic and business landscape.

Elaborating on 2024’s investment performance, he highlighted that the RM378.5 billion in approved investments represented a 14.9 per cent year-on-year increase, covering 6,700 projects across the manufacturing, services, and primary sectors.

“These investments will create over 207,241 new job opportunities for Malaysians, reaffirming the MADANI Economy Framework’s vision to raise the floor of our economy for our people,” he added.

Tengku Zafrul pointed out that 55 per cent (RM208.1 billion) of the approved investments came from domestic investors.

“For the past two years, we are happy to see the rising trend of Malaysian investors increasing their investments in Malaysia.

“As for foreign investments, these contributed 45 per cent (RM170.4 billion) of approved investments,” he added.

He added that strong investment by domestic investors would mitigate the concerns of foreign investors about global demand and supply.

Tengku Zafrul said that Malaysia’s top foreign investors are the United States of America (RM32.8 billion), followed by Germany (RM32.2 billion), China (RM28.2 billion) and Singapore (RM27.3 billion).

For the key investment destination within Malaysia, the top five states that have emerged as key investment destinations are Selangor (RM101.1 billion), Kuala Lumpur (RM91.5 billion), Johor (RM48.5 billion), Kedah (RM45.8 billion), and Penang (RM32.0 billion).

Regarding potential new investment areas, Tengku Zafrul said MITI is looking to boost investments from Turkiye and Brazil, particularly in aerospace and automotive.

“Turkiye has very advanced aerospace industries and also automotive, while Malaysia has a very advanced semiconductor industry, which can work closely with the industries of automotive aerospace,” he added.

Source: Bernama

MITI targets 5% growth in approved investments in 2025, over last year’s RM378.5b

The Free Trade Agreement (FTA) negotiations between Malaysia and the European Union (EU) are expected to be concluded next year, said Investment, Trade and Industry Minister Tengku Datuk Seri Zafrul Tengku Abdul Aziz.

Tengku Zafrul said concerns surrounding palm oil have been successfully resolved by both parties.

“I am pleased to report that palm oil is no longer an issue in these FTA negotiations. We have successfully addressed their (EU) concerns by adhering to the standards set.

“However, there are other new areas that we must also pay attention to, and before we can finalise this, there are still many things we need to do.

“Unlike previous FTAs, this one is more comprehensive as it covers digital and green aspects. We want to ensure that this agreement benefits all parties,” he said.

Tengku Zafrul was speaking at the Ministry of Investment, Trade and Industry (MITI) 2024 Performance Report Card and strategic direction for 2025.

He emphasised that in any FTA, it is crucial to ensure Malaysian companies are well-prepared to participate and benefit from it.

“Without their involvement, the positive effects of the FTA will be difficult to observe. My target is to finalise this EU FTA next year. 

However, the exact timeline remains uncertain, and I will provide updates when available. I am working hard to make it happen,” Tengku Zafrul said.

Prime Minister Datuk Seri Anwar Ibrahim and European Commission President Ursula von der Leyen announced the resumption of the Malaysia-EU FTA negotiations last month.

The announcement was made during Anwar’s official visit to Brussels, Belgium, on Jan 19 to Jan 20, 2025.

Source: NST

Malaysia-EU FTA talks to conclude in 2026, says Tengku Zafrul

Johor cemented its status as a top investment destination, recording RM48.5 billion in foreign direct investment (FDI) last year, up from RM43.1 billion in 2022.

Menteri Besar Datuk Onn Hafiz Ghazi said data from the Malaysian Investment Development Authority (MIDA) showed Johor secured RM18 billion in FDI by the third quarter.

However, a final-quarter surge saw investments soar by RM30.5 billion, propelling Johor into the top three states with the highest FDI inflows.

Selangor led with RM101.1 billion in FDI, followed by Kuala Lumpur at RM91.5 billion.

Johor’s investment was primarily driven by the services sector, which contributed RM34 billion, while the manufacturing sector accounted for RM14.2 billion.

The figures were revealed at the launch of the first Paris Baguette Halal Hub in Nusajaya Tech Park today.

The event was attended by Johor Investment, Trade, Consumer Affairs and Human Resources Committee chairman Lee Ting Han, Berjaya Corp Bhd founder Tan Sri Vincent Tan, SPC Group chairman Hur Young In, and Paris Baguette Asia Pacific chief executive officer Hana Lee.

Lee said SPC Group, a South Korean food and beverage giant, invested over RM130 million in the Paris Baguette Halal Hub, which will create at least 100 job opportunities in the states.

“Paris Baguette is the first halal-certified food production plant, supplying halal products across Asia, Southeast Asia, and the Middle East,” he said, adding its RM130 million investment had boosted Johor’s halal sector.

The facility, spanning 16,500 square metres in Nusajaya Tech Park, would also export its products to South Korea, where there is a growing demand for halal-certified products, especially from Middle Eastern and Muslim tourists.

Lee said Malaysia’s globally recognised halal certification by the Islamic Development Malaysia Department (JAKIM) was a key factor in SPC’s decision to establish the factory in Johor.

“The halal market is projected to reach US$ 3 trillion (RM 13.2 trillion) by 2030. This investment strengthens Johor’s position in the global halal industry,” he added.

The Johor government welcomes foreign investments in the halal sector, aligning with Malaysia’s ambition to be a leading halal hub.

Source: NST

Johor’s FDI hits RM48.5bil, cements status as top three investment hubs

The Investment, Trade, and Industry Ministry (Miti) targets a five per cent growth in approved investments for Malaysia this year, over RM378.5 billion in 2024, which was the highest-ever recorded.

Investment, Trade, and Industry Minister Tengku Datuk Seri Zafrul Tengku Abdul Aziz said the target was set in line with the expectation of Malaysia’s gross domestic product growth this year of 4.7 per cent.

“The target was set after Miti took into consideration geopolitical and trade alignments that disrupt supply chains and redefine global partnerships as well as technology advancements such as automation, artificial intelligence, and Internet-of-Things that are reshaping industries,” he said during a press conference today after announcing the country’s investment performance in the manufacturing, services, and primary sectors.

The increasing use of state-driven policies and subsidies as emerging countries compete to attract investments and build up key industries and the global push for sustainability have influenced the economic and business landscape.

Elaborating on 2024’s investment performance, Tengku Zafrul said the RM378.5 billion in approved investments represented a 14.9 per cent year-on-year increase, covering 6,700 projects across the manufacturing, services, and primary sectors.

“These investments will create over 207,241 new job opportunities for Malaysians, reaffirming the Madani Economy framework’s vision to raise the floor of our economy for our people,” he said.

Malaysian Investment Development Authority (Mida) chief executive officer Datuk Sikh Shamsul Ibrahim Sikh Abdul Majid said their focus remains on attracting high-quality, strategic investments that align with national priorities.

“Through proactive investor engagement, end-to-end support, and fostering strong public-private partnerships, Mida and Miti continue to drive industrial transformation, accelerate the adoption of advanced technologies, and champion sustainable practices.

“To remain competitive and resilient, Malaysia must transform the key sectors, particularly manufacturing and services and move up the value chain through a whole-of-government approach,” he said.

Shamsul added that Mida will continue to drive the country’s investment promotion by centralising investment promotion and marketing efforts across investment promotion agencies and regional economic corridors.

“By streamlining investment efforts and ensuring stronger coordination at regional and national levels, Malaysia aims to further increase implementation rates and create a seamless investment experience for investors,” he said.

Meanwhile, Tengku Zafrul pointed out that 55 per cent (RM208.1 billion) of the approved investments came from domestic investors.

“For the past two years, we are happy to see the rising trend of Malaysian investors increasing their investments in Malaysia.

“As for foreign investments, these contributed 45 per cent (RM170.4 billion) of approved investments,” he said.

Strong investment by domestic investors would mitigate the concerns of foreign investors about global demand and supply.

Malaysia’s top foreign investors are the United States (RM32.8 billion), followed by Germany (RM32.2 billion), China (RM28.2 billion), and Singapore (RM27.3 billion).

For the key investment destination within Malaysia, the top five states that have emerged as key investment destinations are Selangor (RM101.1 billion), Kuala Lumpur (RM91.5 billion), Johor (RM48.5 billion), Kedah (RM45.8 billion), and Penang (RM32.0 billion).

Regarding potential new investment areas, Tengku Zafrul said Miti is looking to boost investments from Turkiye and Brazil, particularly in aerospace and automotive.

“Turkiye has very advanced aerospace industries and also automotive, while Malaysia has a very advanced semiconductor industry, which can work closely with the industries of automotive aerospace,” he said.

Source: Bernama

Selangor tops key investment destinations as Miti looks to increase approved investments by five pct