KUALA LUMPUR: The Malaysian Investment Development Authority (Mida) has identified 325 foreign investment projects, including those from Fortune 500 companies in the manufacturing and services sectors, worth RM97.4bil.
In a statement yesterday, the outgoing Senior Minister and International Trade and Industry Minister Datuk Seri Mohamed Azmin Ali said the government agency is also evaluating 835 projects with proposed investments of RM76.7bil in the manufacturing and services sectors as of June 2021.
“This will generate 32,000 job opportunities. The government continues to attract more high-value investments in technology and innovation to position Malaysia as an alternative supply chain hub in Asia,” he added.
As such, Malaysia bagged a total committed investment of RM35.97bil with the creation of 28,000 job opportunities as well as potential exports value of RM3.4bil during the first half of this year.
Azmin pointed out that the country saw a jump in private investments by 17.4% to RM59.3bil in the second quarter of this year from a year ago, reflecting an enhancement in capital expenditure in the services and manufacturing sectors.
“Foreign direct investment (FDI) net inflow totalled RM8.2bil in second-quarter 2021, driven by larger reinvestment of earnings mainly in the manufacturing sector and higher equity injections, underscoring that Malaysia continues to remain as a preferred investment destination in the region.
“The manufacturing sector remains a key economic sector, contributing 79.3% of the FDI inflow in second-quarter 2021 and propelling it to be the largest recipient of FDI inflow in the first half of this year,” he added.
During the pandemic, Azmin said the formation of the one-stop centre for business travellers helped the country to secure 43 projects with potential investment value of RM115.8bil.
He added that the setting up of the digital investment office, a fully-digital collaborative platform between Mida and Malaysia Digital Economy Corp, has further strengthened the coordination among all investment promotion agencies to attract RM70bil digital investment by 2025.
Moving forward, Azmin expects the country’s export performance to grow further as the manufacturing sector continues to ramp-up production capacity to meet expansion in external demand.
“Performance in the electrical and electronics, rubber gloves and medical devices sectors is expected to be given a further boost on account of continued robust demand for these products arising from the pandemic.
“The government has taken swift and decisive action to ensure that we maintain economic stability and growth as well as manage the country’s largest public health crisis,” he said.
According to Bank Negara, Malaysia recorded a 16.1% year-on-year gross domestic product growth in second-quarter 2021.