Malaysia recorded RM190.3 billion in approved investments for the first half of 2025 (1H2025), up 18.7% from RM160 billion in the same period a year earlier, according to the Malaysian Investment Development Authority (Mida) data on Friday.
Services led the investment breakdown at RM118.6 billion (62.3%), followed by manufacturing at RM68.4 billion (36.0%) and the primary sector — mining, agriculture, plantation — at RM3.3 billion (1.7%).
Mida, which is responsible for the country’s investment promotion and development, said a total of 3,011 projects approved across these three sectors are expected to generate 89,294 jobs.
“Malaysia has clearly risen above the current geopolitically challenging landscape and maintained its position as an attractive investment destination in the region,” Mida said in a statement.
Foreign investments surged 43.5% to RM106.8 billion, accounting for 56.1% of total approvals, with domestic sources contributing RM83.5 billion or 43.9%.
Singapore was the largest foreign investor with RM43.4 billion, followed by China (RM23.4 billion), the US (RM10.4 billion), the British Virgin Islands (RM6.6 billion), and Italy (RM3.3 billion).
Johor, meanwhile, recorded the highest approved investments by state with RM56 billion, followed by Selangor (RM34.7 billion), Kuala Lumpur (RM30.1 billion), Penang (RM18.9 billion), and Sabah (RM11.4 billion).
Mida chief executive officer Datuk Sikh Shamsul Ibrahim Sikh Abdul Majid noted that more than 85% (or 3,883 projects) of manufacturing projects approved since 2021 until June 2025 have already been implemented. Of the remainder, 11.9% are still in planning, while 3% were not implemented due to changes in commercial direction.
“Every day, we see how this approach helps investors turn plans into action, creating jobs, building capacity, and keeping Malaysia competitive even when global conditions are less than ideal. These are the times when our ability to deliver really counts, and the results in 1H2025 show that we are delivering,” Sikh Shamsul said.
As at July 31, Mida said it has facilitated 385 potential projects, comprising 290 projects (RM15.7 billion) in services and 95 projects (RM6.8 billion) in manufacturing.
Mida said it is also in “active discussions” for an additional RM103.8 billion worth of high-impact investment lead, bringing the visible pipeline to about RM126.3 billion.
Mida said nearly half of 1H2025 investment approvals, or RM88.3 billion, were aligned with the government’s National Investment Aspirations, which prioritise high-value and sustainable growth sectors.
Source: theedgemalaysia