KUALA LUMPUR — Oct. 19, 2017: A total of RM65.4 billion worth of investments in the services, manufacturing and primary sectors were approved in the first half of the year (1H17), a 28.2 per cent decrease compared with the same period last year.
In a statement today, the Malaysian Investment Development Authority (Mida) said this was mainly due to the 41 per cent year-on-year drop in approved investments in the services sector, in line with the subdued property market.
A total of 1,974 projects under the sector were approved, registering the largest number of projects approved within the period.
Aside from the real estate sub-sector, the leading contributors in terms of approved investments in the services sector included distributive trade (RM4.7 billion), financial services (RM4.7 billion), utilities (RM4.3 billion), as well as information technology and telecommunications (RM4.1 billion).
Collectively, these five sub-sectors constituted 81 per cent of the total approved investments in the sector.
The services sector maintained its position as the largest employer in the economy, having created over 39,000 jobs in 1H17.
Additionally, 302 projects with investments worth RM17 billion were approved in 1H17 under the manufacturing sector, which was dominated by the electrical and electronics segment.
Foreign investments accounted for RM9.6 billion (56.5 per cent) of the total while the rest was from domestic investments.
The leading sources of foreign investments in the manufacturing sector were the Netherlands, Switzerland, Germany, Hong Kong and Singapore, with all five accounting for 76.2 per cent of the total.
The approved manufacturing projects for 1H2017 are expected to generate about 21,900 jobs.
In the primary sector, approved investments surged by 517.9 per cent to RM7.3 billion in 1H2017. The mining sub-sector emerged as the main contributor with approved investments worth RM6.8 billion, particularly from oil and gas exploration.
Investments from domestic sources totalled RM4.4 billion, or 60.3 per cent.
Overall, Mida said that the total approved investments in the three sectors involved 2,294 projects and were expected to create 61,930 jobs. — Bernama