Malaysia climbs up FDI ladder
Kuala Lumpur: Malaysia is among the world’s top 10 most attractive destinations for foreign direct investment (FDI), according to global management consultant A.T. Kearney.
The consulting firm highlighted this in its FDI Confident Index study, which collated data from senior executives of the world’s leading companies in 17 sectors from 27 countries.
A.T. Kearney noted that Malaysia had experienced a significant jump up the index to 10th from 21st position, thanks to inflows which soared 537 per cent to US$9 billion (RM28 billion)
in 2010 from 2009.
“This number will be further surpassed in 2011 and is likely to continue in this positive direction based on the sentiments reflected in the index,” A.T. Kearney Southeast Asia group managing director Joon Leong Ooi said in a statement yesterday.
This is arguably the first time ever Malaysia has moved into the top 10 list, suggesting that the government’s transformation programmes are producing results.
The country’s higher position is driven by wealthier consumer markets and abundant natural resources.
A.T. Kearney said there has been a major growth for Southeast Asia with Malaysia and other major economies enjoying a huge upswing in FDI this year, reaping the benefits of low labour cost that were once primarily China’s domain.
These countries are also luring investors with their large and increasingly wealthy consumer markets, it added.
The region has nearly 600 million people and an economy that is bigger than India’s.
Singapore, as a global financial centre and a regional hub for many multinationals, has benefited considerably from increasing investments in Southeast Asia. It moved to 7th in the index from 24th place in 2010.
Indonesia also made significant gains, moving from 20th to 9th place.
Two other Southeast Asian countries in the top 25 are Vietnam (14th) and Thailand (16th).
The consulting firm highlighted this in its FDI Confident Index study, which collated data from senior executives of the world’s leading companies in 17 sectors from 27 countries.
A.T. Kearney noted that Malaysia had experienced a significant jump up the index to 10th from 21st position, thanks to inflows which soared 537 per cent to US$9 billion (RM28 billion)
“This number will be further surpassed in 2011 and is likely to continue in this positive direction based on the sentiments reflected in the index,” A.T. Kearney Southeast Asia group managing director Joon Leong Ooi said in a statement yesterday.
This is arguably the first time ever Malaysia has moved into the top 10 list, suggesting that the government’s transformation programmes are producing results.
The country’s higher position is driven by wealthier consumer markets and abundant natural resources.
A.T. Kearney said there has been a major growth for Southeast Asia with Malaysia and other major economies enjoying a huge upswing in FDI this year, reaping the benefits of low labour cost that were once primarily China’s domain.
These countries are also luring investors with their large and increasingly wealthy consumer markets, it added.
The region has nearly 600 million people and an economy that is bigger than India’s.
Singapore, as a global financial centre and a regional hub for many multinationals, has benefited considerably from increasing investments in Southeast Asia. It moved to 7th in the index from 24th place in 2010.
Indonesia also made significant gains, moving from 20th to 9th place.
Two other Southeast Asian countries in the top 25 are Vietnam (14th) and Thailand (16th).
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