KUALA LUMPUR: Malaysia has secured RM89.8 billion in approved investments in the first quarter of 2025 (Q1’25), a steady 3.7% year-on-year increase despite a challenging global economic backdrop.
In a statement today, the Malaysian Investment Development Authority (Mida) said these investments, spread across 1,556 projects in manufacturing, services and primary sectors, are set to generate over 33,300 new employment opportunities for Malaysians.
“The results reflect continued investor confidence in the country’s clear policies and long-term fundamentals, bucking the trend of cautious international capital flows due to geopolitical and macroeconomic volatility, and the intensifying global competition for fresh investments.
“Foreign investments dominated the investment landscape, contributing RM60.4 billion or 67.3% of total investments, while domestic investments accounted for RM29.4 billion or 32.7%,” it said.
Besides job creation, Investment, Trade and Industry Minister Tengku Datuk Seri Zafrul Aziz said, the increase in the Managerial, Technical, and Supervisory Index to 46.3% from 44.2% in the same quarter last year reflects the country’s success in creating higher-skilled, better-paying jobs.
“With a better integrated Asean economy, which we are working hard on as Asean chair, we are also paving the way for Malaysia’s continued positioning as a manufacturing and services hub to this fast-growing 680-million strong region,” he said.
He said the investment environment in 2025 is expected to remain challenging due to continued geopolitical and macroeconomic headwinds from the US-China trade war.
“Nonetheless, although major markets’ protectionist policies and supply chain frictions continue to weigh in on companies’ investment decisions, Malaysia’s clear policies should be able to attract more investments from Asia’s growing economy, which is expected to expand to about 42% of global gross domestic product by 2040,” he said.
Besides bringing in good jobs and business opportunities, Mida CEO Datuk Sikh Shamsul Ibrahim Sikh Abdul Majid said the projects secured by Mida in Q1’25 supported the national effort to build a more diversified and resilient economy.
“To remain a choice location for high-performing companies, we will strengthen our local ecosystem as enablers and prepare our workforce to seize new job and leadership opportunities.
“By ensuring Malaysia remains relevant in global value chains, we can attract and anchor investments that benefit our economy, enterprises and people for the long haul,” he said.
As of June 10, 2025, Mida is actively managing a robust pipeline of proposed projects, collectively valued at RM48.5 billion.
“The services sector leads this momentum, with 683 projects accounting for RM27.6 billion, while the manufacturing sector contributes RM20.9 billion across 89 projects.
“Complementing this pipeline, an additional RM59.3 billion in high-potential investment leads are currently under negotiation. These figures signal not only a healthy appetite for investment but also a growing confidence in Malaysia’s economic fundamentals and policy direction,” it said. – Bernama
