Malaysia approves over RM80bil investments in manufacturing, services and primary sectors in Q1: Azmin Ali
09 Jun 2021
Malaysia recorded a total of RM80.6 billion approved investments in the manufacturing, services and primary sectors in the first quarter (Q1) of 2021, a surge of 95.6 per cent from RM41.2 billion in the same period last year.
Presentating the latest number to the Cabinet today, Senior Minister and Minister of International Trade and Industry Datuk Seri Mohamed Azmin Ali said the country remained a primary investment destination and strategic gateway for investors amid the battle against the Covid-19 pandemic.
“The country is steadfast in providing investors with modern-day requirements and equipment.
“Its persistence towards engaging emerging technologies proves to be a great advantage to manufacturers in the country,” Azmin said in a statement.
“The unique value propositions as a high-tech investment and global operations hub will entice a sustainable stream of quality investment activities in the country,” he added.
The ministry and its agency Malaysian Investment Development Authority said the continued aggressive strategies to attract high-level investments from both foreign and domestic investors is exhibiting promising results.
The approved investments involved 993 projects and are expected to generate 32,557 job opportunities.
They said Malaysia remained a competitive investment location for foreign investors despite the multiple headwinds on the global front.
“Total approved foreign direct investments (FDI) in the manufacturing, services and primary sectors increased by 383.4 per cent to RM54.9 billion for the period of January – March 2021 from RM11.4 billion in the same quarter last year,” they added.
Singapore (RM43.1 billion), the Netherlands (RM5.0 billion), South Korea (RM4.3 billion), Taiwan (RM0.5 billion) and Hong Kong (RM0.3 billion) were the top five countries of FDI.
“Investments from Singapore include one 100 per cent Chinese-owned mega project, where the source of funding is made through its affiliate located in the country,” they said.
Meanwhile, they said domestic direct investments (DDI) made up the rest of RM25.7 billion, contributing 31.9 per cent to the total approved investments in all the three sectors.
Five states – Kedah, Selangor, Sarawak, Sabah and Kuala Lumpur – contributed RM68.4 billion (84.9 per cent) to the total approved investments for January-March 2021.
The manufacturing sector led the investments in Q1, recording RM58.8 billion. This was followed by the services sector at RM15.6 billion and the primary sector at RM6.2 billion.