By FARA AISYAH
The total foreign direct investment (FDI) into Asean is expected to hit over US$100 billion (RM429.4 billion) given the modest recovery in the global FDI flows.
International Trade and Industry Minister Datuk Seri Mustapa Mohamed said the FDI into Asean recorded at US$96.7 billion in 2016 and has been improving since then.
Mustapa said the positive growth in Malaysia’s trade is also attributed to the increase of investments from the Asean countries.
It has been advantageous to all parties as more job opportunities are created along with the expansion of technology in all economic sectors.
Meanwhile, the FDI inflows into Asean member states from 2010 to 2016 amounted at US$565.5 billion.
The major investors were from Intra-Asean ties, the European Union, Japan and the US which accounted for 38.1% of total investment.
As such, FDI from Asean member states into the Malaysian economy had also been growing progressively, from RM1.8 billion in 2010 to RM11.6 billion in 2015, following the recovery from the global financial crisis in 2009.
In 2016, FDI inflows from Asean countries amounted to RM8.6 billion.
Among the prominent Asean companies that have invested in Malaysia are Charoen Pokphand Group Co Ltd, Wilmar International Ltd, Musim Mas Holdings Pte Ltd, Tipco Asphalt pcl, San Miguel Corp and TCC Group.
Malaysia had introduced several schemes such as the regional office, representative office and principal hub to complement the increasing trend of global off-shoring activities.