Penang records approved manufacturing investments of RM14.1b in 2020
04 Mar 2021
GEORGE TOWN (March 4): Penang recorded total approved manufacturing investments of RM3.5 billion in the fourth quarter of 2020 (4Q20), bringing cumulative inflows to RM14.1 billion in 2020.
InvestPenang said the investment achievement for 2020 was the second highest in its history, which was only short of 2019’s historical high of RM16.9 billion, reflecting investors’ continued confidence in Penang as a sustainable investment location.
Of the RM14.1 billion, it said RM10.6 billion, or 75%, were made up of foreign direct investment (FDI), making Penang the third highest manufacturing FDI recipient in Malaysia, attributed to projects from DexCom Inc, Ultra Clean Holdings and Bruker Malaysia, among others.
Meanwhile, domestic direct investment (DDI) in Penang amounted to RM3.6 billion in 2020, a testament to Penang’s robust industrial ecosystem as a platform in which local players can participate and thrive.
InvestPenang said the total approved manufacturing investments were primarily related to the state’s key promoted industries, such as the electronics & electrical (E&E), machinery and equipment, and scientific and measuring equipment (including medical devices) industries.
“Cumulatively, investments in these sectors accounted for 89% of Penang’s total approved manufacturing investments in 2020, which in turn accounted for 50% of Malaysia’s investments in these three sectors.
“Investors’ continuous trusts in Penang indicate that the state’s strong fundamentals and versatile ecosystem have the capacity and capability to support needs of the industries’ next-generation technologies, products and long-term growth strategies,” InvestPenang said in a statement.
It said, according to the Malaysian Investment Development Authority (MIDA), investment inflows involved 58 projects in 4Q20, whereby, together with projects approved during the nine-month period of last year, they are expected to generate 13,268 jobs in the state.
In 4Q20, InvestPenang said, the state recorded DDI of RM1.8 billion, while FDI was at RM1.7 billion.