Malaysia still a competitive investment destination despite current uncertainties – Azmin
02 Mar 2021
KUALA LUMPUR: Malaysia continues to be a competitive investment destination despite the current uncertainties, proven by its rankings in the global economic scene, said Senior Minister and International Trade and Industry Minister Datuk Seri Mohamed Azmin Ali.
In a statement today, Azmin said the DHL Global Connectedness Index (GCI) 2020 had positioned Malaysia second among Asia-Pacific countries and 16th out of 169 countries for trade connectivity.
He also said a joint study by (accounting advisory services provider) KPMG and the Manufacturing Institute in the United States entitled ‘Cost of Manufacturing Operations around the Globe’ also ranked Malaysia fourth among 17 economies in an assessment comparing the economy’s competitiveness as a manufacturing hub; positioning us ahead of countries in Asia such as China, Japan, Vietnam and India.
Furthermore, he added that Malaysia is ranked 12th in the World Bank’s Doing Business 2020 and 27th in the IMD World Competitiveness 2020.
“These rankings by reputable international agencies attest that ongoing reform initiatives are on the right track to further enhance Malaysia’s competitiveness, productivity and governance, which will help promote investments and accelerate national economic development,” he said.
On whether Malaysia would still be able to maintain the speed of economic recovery following the implementation of the Movement Control Order 2.0, Azmin reassured that the government, through the Malaysian Investment Development Authority (Mida), continued to be at the forefront to entice more high-value investments in the areas of technology and innovation to position Malaysia as an alternative supply chain hub in Asia.
“Investors will undeniably derive value by tapping on Malaysia’s well-established local supporting industry network and talented workforce to undertake high-tech products manufacturing and high value-added services to serve their clients in the region, in the present and the future,” he said.
According to Mida, as at December 2020, RM65.9 billion worth of potential investments were being actively evaluated.
“These projects, once approved, are expected to be implemented by 2021 to 2022,” it said, adding that 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 had also been identified.
“These include ongoing negotiations with companies from various sectors such as automotive, chemical, and advanced electronics to make Malaysia their high-value manufacturing, services and global supply chain hub,” said Mida.
Azmin was upbeat that the government’s recent unveiling of the Malaysia Digital Economy Blueprint (MyDigital) would further accelerate Malaysia’s progress to becoming a technologically-advanced economy.
“The 10-year roadmap will lay the foundations for the country’s transformation towards an advanced digital economy and guide Miti and Mida in our efforts to continue attracting high-value investments of the future,” he said.