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,Economic activities are gradually recovering from the effects of the Covid-19 pandemic in Malaysia, says the chief statistician. – The Malaysian Insight pic by Seth Akmal, June 17, 2022.

MALAYSIA recorded RM48.1 billion in net foreign investments last year compared with only RM13.3 billion the previous year, said the Statistics Department.

It also recorded RM19.7 billion in investment abroad in 2021 from the RM10.2 billion in 2020.

Foreign direct investment (FDI) position registered a higher value of RM788.8 billion as at the end of last year.

Chief Statistician Mohd Uzir Mahidin said economic activities are gradually recovering from the effects of the Covid-19 pandemic.

Based on the United Nation World Investment Report, FDI inflows to developing countries in Asia increased by 19% to US$619 billion (RM2.7 trillion) last year.

“Malaysia recorded RM48.1 billion in foreign investments in 2021, the highest since 2016,” said Uzir in a statement.

He said the manufacturing sector expanded by RM22.5 billion to record RM29.5 billion in net inflows last year, claiming the largest flows in FDI.

The sector attracted 61.4% of total investment, particularly in the electrical and transport equipment sub-sectors.

The services sector came in second, followed by mining.

Uzir said Asian countries continue to be top sources of FDI in Malaysia, which recorded RM22.5 billion in net inflows last year, mostly from Japan, Singapore and South Korea.

As at the end of 2021, Asia was the predominant source of FDI with RM413.1 billion, followed by Europe (RM207.7 billion) and the Americas (RM153.0 billion).

FDI increased by RM103.9 billion and accumulated to RM788.8 billion as at the end of last year.

The services sector remains the largest recipient at 49.2%, or RM388.4 billion, driven by financial and wholesale activities. The manufacturing sector came in second (42.2%). – Bernama, June 17, 2022.

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