Malaysia’s International Investment Position (IIP) registered a lower net asset of RM94.9 billion as of the end of the third quarter 2023 (Q2 2023: net assets RM160.9 billion). Total financial assets decreased from RM2,399.5 billion in the last quarter to RM2,391.2 billion. In the meantime, total liabilities posted a higher value of RM2,296.3 billion as compared to RM2,238.5 billion in the previous quarter.
Malaysia’s Direct Investment Abroad (DIA) position increased to RM659.6 billion as compared to RM652.1 billion as at the end of last quarter. This investment was mainly in the Services sector which contributed 68.5 percent (RM452.0 billion), followed by Mining & quarrying (RM81.3 billion) and Manufacturing (RM62.6 billion). The top three destinations were Singapore with a value of RM142.2 billion or 21.6 percent, followed by Indonesia (RM71.7 billion; 10.9%) and the Netherlands (RM40.0 billion; 6.1%).
Foreign Direct Investment (FDI) increased by RM14.8 billion to reach RM914.9 billion as at the end of the third quarter of 2023 (Q2 2023: RM900 billion). The services sector remained the largest recipient with a value of RM457.2 billion or 50 percent, followed by Manufacturing (RM389.1 billion; 42.5%) and Mining & quarrying (RM43.6 billion; 4.8%). Singapore (RM193.3 billion; 21.1%), Hong Kong (RM102.8 billion; 11.2%), and the United States of America (RM102.1 billion; 11.2%).
Simultaniously, FDI posted a higher net inflow of RM7.2 billion as against RM3.1 billion in the preceding quarter. The largest recipients of FDI were Services, mainly in Financial activities and Mining & quarrying sectors. Hong Kong, China, and the United Kingdom were the primary sources of FDI.
As of the end of the third quarter of 2023, the cumulative investment positions for FDI and DIA were RM914.9 billion and RM659.6 billion, respectively.
