Sign up | Log in



Home  >>   Daily News  >>   Asean  >>Investment  >> Southeast Asia attracts more FDI than China for 2nd year
NEW UPDATES Asean Affairs  18 March  2015  

Southeast Asia attracts more FDI than China for 2nd year

SOUTHEAST Asia’s major economies drew more foreign direct investment (FDI) combined than China for the second straight year in 2014, as growth in their giant neighbour cooled.

But by country, inflows into the region were uneven, swayed by political change and the varying costs of doing business.

Overall FDI into Singapore, Indonesia, Malaysia, the Philippines, Thailand and Vietnam rose to a record US$128 billion in 2014, estimates compiled by Thomson Reuters show.

That surpassed the US$119.56 billion that flowed into China. FDI into the Philippines grew the fastest, at 66 per cent, while in Thailand, where the military seized power last year, inflows fell. FDI into Indonesia, the region’s biggest economy, rose around 10 per cent even though it was an election year.

As China’s troubled manufacturing sector loses momentum, Chinese businesses will be venturing abroad to cut operating costs and to search for new markets, economists say.

Manufacturing powerhouses in Southeast Asia should pay heed.

“Rising wages in China are leading low-end manufacturers to look for other low-cost locations for their factories, with countries like Vietnam and the Philippines looking like attractive alternatives,” said Dan Martin, Asia Economist at Capital Economics.

He added: “ASEAN is also a large market in its own right, and one with good long-term growth prospects.

“Given the general slowdown in other emerging market regions in recent years, it is starting to stand out.”

The Philippines, the second-fastest growing major economy in the Asia region, attracts investors with its strong economic fundamentals.

But among the concern is the continuity of economic policies following the 2016 general elections.

That means some investment decisions might be postponed. Slumping commodity prices could pinch on FDI inflows into resource-rich Indonesia and, to a lesser extent, Malaysia.

Indonesian President Joko Widodo, who took office in October, is seeking more foreign investment in manufacturing to counter the volatile resources sector.

But Indonesia has many improvements to make, particularly in its business infrastructure, to successfully challenge the region’s manufacturing leader - Thailand.

Reach Southeast Asia!
10- Nations, 560- Million Consumers
And $1 -Trillion Market
We are the Voice of Southeast Asia Media Kit
The only Media Dedicated to Southeast Asia Advertising Rates for Magazine
Online Ad Rates

Comment on this Article. Send them to

Letters that do not contain full contact information cannot be published.
Letters become the property of AseanAffairs and may be republished in any format.
They typically run 150 words or less and may be edited
submit your comment in the box below

Today's  Stories                           March  18 , 2015 Subsribe Now !
• Leading U.S. Food and Agriculture Companies Engage Thailand on the Potential of Biotech Subcribe: Asean Affairs Global Magazine
• Singapore’s exports down 9.7% on-year in February 2015
• Southeast Asia attracts more FDI than China for 2nd year
Research Reports
on Thailand 2007-2008

• Textiles and Garments Industry
• Coffee industry
• Leather and footwear industry
• Shrimp industry

• Viet Nam says US support welcome in Asia-Pacific
• Food safety needs tightening 
Asean Analysis                    March 18, 2015
• Asean Analysis March 18, 2015
Shadow of Vietnam’s Political System Hangs over Party Leader’s Planned Visit to the United States
Advertise Your Brand

Asean Stock Watch  March 17,  2015
• Asean Stock Watch-March 17, 2015
The Biweekly Update
• The Biweekly Update March 6, 2015

ASEAN NEWS UPDATES      Updated: 04 January 2011

 • Women Shariah scholars see gender gap closing
• Bank Indonesia may hold key rate as inflation hits 7 percent
• Bursa Malaysia to revamp business rules
• Private property prices hit new high in Singapore • Bangkok moves on mass transport
• Thai retailers are upbeat
• Rice exports likely to decline • Vietnamese PM projects 10-year socioeconomic plan


This year in Thailand-what next?

AseanAffairs   04 January 2011
By David Swartzentruber      

It is commonplace in journalism to write two types of articles at the transition point between the year that has passed and the New Year. As this writer qualifies as an “old hand” in observing Thailand with a track record dating back 14 years, it is time take a shot at what may unfold in Thailand in 2011.

The first issue that can’t be answered is the health of Thailand’s beloved King Bhumibol, who is now 83 years old. He is the world's longest reigning monarch, but elaborate birthday celebrations in December failed to mask concern over his health. More






1.  Verifier

1. Verifier

For security purposes, we ask that you enter the security code that is shown in the graphic. Please enter the code exactly as it is shown in the graphic.
Your Code
Enter Code

Home | About Us | Contact Us | Special Feature | Features | News | Magazine | Events | TV | Press Release | Advertise With us

Our Products | Work with us | Terms of Use | Site Map | Privacy Policy | Refund Policy | Shipping/Delivery Policy | DISCLAIMER |

Version 5.0
Copyright © 2007-2015 TIME INTERNATIONAL MANAGEMENT ENTERPRISES CO., LTD. All rights reserved.
Bangkok, Thailand