Investors optimistic about Malaysia’s economic prospects – Azmin
24 Aug 2020
The government is confident that local and international investors remain optimistic about maintaining their investments despite the country’s low growth in the second quarter of this year, Senior Minister cum International Trade and Industry Minister Datuk Seri Mohamed Azmin Ali said.
He said the government’s commitment through the RM295 billion economic stimulus packages worth RM295 billion, a reduction in the unemployment rate, as well as the success in tackling the COVID-19 pandemic, have strengthened the confidence of investors and business community.
In addition, the World Bank and International Monetary Fund’s (IMF) projections of Malaysia’s gross domestic product (GDP) of between 6.3 per cent and 7.5 per cent for 2021 also contributed to investor positive sentiment towards the country, he said.
“Although this is just a projection, it shows the level of confidence of foreign and local investors in Malaysia and the Perikatan Nasional (PN) government.
“In order to record a positive growth as projected by the IMF and World Bank, we need to accelerate the country’s economy from now onwards,” he told Bernama after launching the National Month Celebration 2020 here today.
Azmin, who also launched the Ministry of International Trade and Industry (MITI)-level COVID-19 Awareness Campaign, urged companies in Malaysia to pledge the standard operating procedure (SOP) compliance to the MITI database system — CIMS 3.0, besides declaring company information by registering with the system.
Meanwhile, he said the government remained committed to maintaining Malaysia as a competitive investment destination, while attracting more foreign investors to invest in the country, especially in the midst of the US-China trade conflict.
He expressed confidence that the economy will be able return on a better path in 2021 with development and strides made by the government.
Malaysia’s gross domestic product (GDP) contracted 17.1 per cent in the second quarter of 2020, the worst double-digit quarterly decline since 1998 due to the unprecedented Movement Control Order (MCO) that was imposed to stem the spread of COVID-19 that brought the economy to almost a standstill.
As at May 31 last year, the Malaysian Investment Development Authority (MIDA) attracted 32 projects to relocate to Malaysia with investments amounting to RM17.5 billion through facilitation services to 86 companies from China and other countries affected by the US-China trade conflict.
Of them, 28 projects with investments amounting to RM8.36 billion have been approved, while four projects with investments worth RM9.14 billion are still under evaluation.