Malaysia draws RM264.6 billion in approved investments for 2022, said the Malaysian Investment Development Authority (MIDA).
Of the approved investments of RM264.6 billion, this includes a total of 4,454 projects and is expected to create 140,370 job opportunities for Malaysians.
Foreign Direct Investment accounted for 61.7% of total investments, or RM163.3 billion. Domestic Direct Investment (DDI) recorded 38.3%, or RM101.3 billion.
The People’s Republic of China led the way in total approved investments with RM55.4 billion, followed by The United States of America (RM29.2 billion), The Netherlands (RM20.4 billion), Singapore (RM13.5 billion), and Japan
(RM11.4 billion).
Five states have seen significant investment activity, with Johor having the most approved investments, totaling RM70.6 billion. This is followed by Selangor (RM60.1 billion), Sarawak (RM28.2 billion), Wilayah Persekutuan Kuala Lumpur (RM25 billion), and Pulau Pinang (RM16.3 billion).
Malaysia’s services sector recorded 3,581 projects worth RM154 billion. This represents a 58.8% increase over the previous year’s investments of RM97 billion, which is expected to create 63,464 new jobs.
Foreign investment accounted for 55.1% of total approved investments in the services sector, or RM84.9 billion, with domestic investment accounting for the remaining 44.9%, or RM69.1 billion.
Investment in Manufacturing Sector
Malaysia’s attraction as a top investment destination in the region remains strong, with a steady influx of high-quality investments in the manufacturing sector. This sector contributed RM84.3 billion, or 31.9% of total approved investments in various economic sectors.
FDI accounted for 78.3% of total approved investments, totalling RM66 billion, with DDI contributed to the remaining 21.7% (or RM18.3 billion).
The number of approved expansion/diversification projects in the manufacturing sector recorded 385 projects worth RM49.3 billion, while the number of new projects approved was 416, with a value of RM35 billion (USD7.9 billion).
Electrical and electronicsis the top-performing industries in the manufacturing sector (RM29.3 billion), followed by machinery and equipment (RM8.4 billion), transport equipment (RM8 billion), chemical and chemical products (RM7.4 billion), petroleum products (including petrochemicals) (RM5.9 billion), non-metallic mineral products (RM5.8 billion), scientific and measuring equipment (RM4.7 billion) and rubber products (RM3.6 billion). These industries comprise RM73.1 billion (USD16.5 billion), or 86.7% of total approved investments in this sector.
A total of 76,093 potential new job opportunities are expected to be created in the manufacturing sector, where it will require 27,894 (36.7%) positions for managerial, professional/technical/supervisory, and skilled employment, reflecting the higher value chain transition of the manufacturing sector.
Investment in Primary Sector
The primary sector registered a total of RM26.3 billion in approved investments, or 9.9% of total approved investments in the various economic sectors, an increase of 52.3% from RM17.3 billion in 2021.
Domestic investment dominated the primary sector, accounting for RM13.9 billion, or 52.9%, with foreign investment recording for the remaining 47.1%, or RM12.4 billion.
The plantation and commodities sub-sector recorded RM2.2 billion of approved investments (2021: RM211.4 million or USD50.7 million). Meanwhile, the agricultural sub-sector attracted RM154.4 million in total approved investments (2021: RM20.5 million.
