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NEWS UPDATES Asean Affairs        21 January 2011

Impressive FDI Growth In Malaysia

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Investor confidence has returned strongly to Malaysia, says International Trade and Industry Minister Datuk Seri Mustapa Mohamed.

He said the optimism was based on the latest UNCTAD Global Investment Trends Monitor: Global And Regional Foreign Direct Investment (FDI) Trends in 2010 report which showed that the total FDI inflow of US$7 billion (US$1=RM3.00) into Malaysia was recorded last year compared with US$1.4 billion in 2009.

"This is an impressive growth of 409.7 percent which is the highest recorded in the region as well as among the 153 economies surveyed by UNCTAD," he said in a statement Thursday.

Mustapa said the UNCTAD figures reaffirmed his statement on Dec. 11, 2010 that Malaysia recorded significant FDI inflows amounting to US$5.4 billion between January and September based on the data released by the Statistics Department.

Malaysia's achievement was all the more significant as the UNCTAD report showed that world FDI inflows in 2010 remained relatively stagnant with a marginal growth of one per cent to US$1.12 trillion in 2010 from US$1.11 trillion in 2009, he said.

"This achievement is a reflection of increasing investor confidence in Malaysia. This demonstrates investors? belief that the Malaysian Government is able to deliver and successfully implement its economic transformation and reform programmes as contained in the New Economic Model," he said.

During the Economic Transformation Programme (ETP) Update earlier this month, Prime Minister Datuk Seri Najib Tun Razak announced additional 19 Entry Point Projects (EPPs) involving RM67 billion in investments and create 35,000 jobs.

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