Malaysia continues to catch the eyes of global investors with its foreign direct investment for surpassing the highest level recorded in 2011, said the International Trade and Industry Ministry (Miti).

Minister Mustapa Mohamed said that the country enjoyed a total of RM38.7 billion FDI last year, an increase of 24 percent compared with RM31.1 billion recorded in 2012.

“(This happened) albeit the slow recovery and still uncertain global economic conditions,” said Mustafa during the opening ceremony of aircraft component manufacturer Aviatron (M) Sdn Bhd at the Penang Science Park in Batu Kawan today.

“The increase of FDI in Malaysia compares favourably to the increases in global FDI of 11 percent, a 6.2 percent into developing countries, and a 2.4 percent in South-East Asia as reported by UNCTAD,” Mustapa said.

FDI last year also exceeded the country’s highest ever recorded FDI achieved in 2011 (RM37.3 billion) by 3.9 percent.

Mustapa said that all sectors of the economy registered increases in FDI inflows last year.

He added that investments were mainly in the manufacturing (37.6 percent) and services (28.8 percent) as well as mining (28.7 percent) sub-sectors.

Strong ecosystem

Meanwhile, Mustapa lauded the country’s strong ecosystem which enabled large corporations and prominent multinational companies to choose Malaysia to establish their regional and global operations.

“This trend will keep the momentum going forward, given the continued government advocacy in creating a conducive environment for the business community,” he said.

“Many of these MNCs have also formed structured training programmes to transfer their key competencies to Malaysian employees,” he added.

“In the long term, this will create high income employment opportunities for Malaysians in sub-sectors such as business, accounting, finance, IT engineering, technical and other new services sub-sectors such as designing and analytical sciences,” he stressed.

Accompanying Mustapa at the event were Penang Chief Minister Lim Guan Eng and Singapore Aviation Manufacturing chairperson Philip Yeo.