Positive growth indicators drive foreign buying of stocks - Miti

The government’s dedication to economic reforms and ongoing positive growth indicators have continued to drive foreign buying in the stock market, said Investment, Trade and Industry Minister Tengku Zafrul Abdul Aziz.

He said it reflects investors’ medium- and long-term confidence in the country.

“That the stock market is up indicates investors’ confidence in the medium and long term. It also shows that the policies the government has implemented are right.

“At the same time, the economic overflow will be enjoyed by companies as well as the rakyat,” he told reporters after the Malaysia Smart Manufacturing Awards 2023 event yesterday.

According to the Statistics Department, the country’s economy is estimated to expand by 5.8 percent in the second quarter of 2024, up from 4.2 percent in the previous quarter.

Thus, the positive numbers will signal more inflow of foreign funds into Bursa Malaysia, in the form of both domestic and foreign direct investment, Zafrul (above) said.

The minister was commenting on a Bloomberg article that said the stock market is once again attracting global investors, attributing it to the country’s good potential in artificial intelligence-related services in the region.

This follows Prime Minister Anwar Ibrahim’s policies to boost foreign investment in the semiconductor industry and AI data centres.

- Bernama

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