KUALA LUMPUR, Feb 25 (Bernama) -- The Ministry of Investment, Trade and Industry (MITI) targets a five per cent growth in approved investments for Malaysia this year, over RM378.5 billion in 2024, which was the highest ever recorded.
Investment, Trade and Industry Minister Tengku Datuk Seri Zafrul Abdul Aziz said the target was set in line with the expectation of Malaysia’s gross domestic product growth this year of 4.7 per cent.
“The target was set after MITI took into consideration geopolitical and trade alignments that disrupt supply chains and redefine global partnerships as well as technology advancements such as automation, artificial intelligence (AI), and Internet-of-Things (IoT) that are reshaping industries,” he said in a press conference after announcing the country’s investment performance in the manufacturing, services and primary sectors.
Tengku Zafrul also said that the increasing use of state-driven policies and subsidies as emerging countries compete to attract investments and build up key industries and the global push for sustainability have influenced the economic and business landscape.
Elaborating on 2024’s investment performance, he highlighted that the RM378.5 billion in approved investments represented a 14.9 per cent year-on-year increase, covering 6,700 projects across the manufacturing, services, and primary sectors.
“These investments will create over 207,241 new job opportunities for Malaysians, reaffirming the MADANI Economy Framework’s vision to raise the floor of our economy for our people,” he added.
Malaysian Investment Development Authority (MIDA) chief executive officer Datuk Sikh Shamsul Ibrahim Sikh Abdul Majid said MIDA’s focus remains on attracting high-quality, strategic investments that align with national priorities.
“Through proactive investor engagement, end-to-end support, and fostering strong public-private partnerships, MIDA and MITI continue to drive industrial transformation, accelerate the adoption of advanced technologies, and champion sustainable practices.
“To remain competitive and resilient, Malaysia must transform the key sectors, particularly manufacturing and services and move up the value chain through a whole-of-government approach,” he added.
Sikh Shamsul also said that MIDA would continue to drive the country’s investment promotion by centralising investment promotion and marketing efforts across investment promotion agencies and regional economic corridors.
“By streamlining investment efforts and ensuring stronger coordination at regional and national levels, Malaysia aims to further increase implementation rates and create a seamless investment experience for investors,” he said.
Meanwhile, Tengku Zafrul pointed out that 55 per cent (RM208.1 billion) of the approved investments came from domestic investors.
“For the past two years, we are happy to see the rising trend of Malaysian investors increasing their investments in Malaysia.
“As for foreign investments, these contributed 45 per cent (RM170.4 billion) of approved investments,” he added.
He added that strong investment by domestic investors would mitigate the concerns of foreign investors about global demand and supply.
Tengku Zafrul said that Malaysia’s top foreign investors are the United States of America (RM32.8 billion), followed by Germany (RM32.2 billion), China (RM28.2 billion) and Singapore (RM27.3 billion).
For the key investment destination within Malaysia, the top five states that have emerged as key investment destinations are Selangor (RM101.1 billion), Kuala Lumpur (RM91.5 billion), Johor (RM48.5 billion), Kedah (RM45.8 billion), and Penang (RM32.0 billion).
Regarding potential new investment areas, Tengku Zafrul said MITI is looking to boost investments from Turkiye and Brazil, particularly in aerospace and automotive.
“Turkiye has very advanced aerospace industries and also automotive, while Malaysia has a very advanced semiconductor industry, which can work closely with the industries of automotive aerospace,” he added.
-- BERNAMA
