Focus Report

Despite the challenges of the Covid-19 pandemic, Malaysia’s increasingly diversified economy exceeded 3% growth in 2021 and is forecast to surpass 5% growth starting in 2022. With a robust manufacturing and services offering, some 40% of jobs in the country linked to export activities and a trade-to-GDP ratio above 130% over the last 12 years, Malaysia has a demonstrated openness to trade and investment.

Grounded in economic fundamentals, this report examines investment opportunities in the country – with a focus on its appeal within ASEAN, foreign investment in manufacturing and opportunities to promote sustainable development.

It includes coverage of Malaysia’s ranking for foreign investment opportunities in ASEAN; rising foreign investment in key areas; and electrical and electronics (E&E) as a standout industry linked to digital development. Other topics include investment incentives; the Regional Comprehensive Economic Partnership; and ESG-related opportunities in automotive, E&E, food processing, and textiles and apparel.

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