Malaysia Ranks Third In Asia For Industrial Investment

malaysia industry

Business Monitor International (BMI), a global market risk and industry analyst, ranked Malaysia as the third best emerging market in Asia for industrial investment, after UAE and China.

In BMI’s industry outlook report, Malaysia is also in the top 10th percentile of global markets, which also include developed markets, for infrastructure, power, and food and drink.

However, due to weaker rewards and higher risks, the traditionally dominant oil-and-gas sector has dropped in ranking.

“Malaysia will be a global growth outperformer in the coming years. Growth will be driven by an expanding workforce, further improvements in business environment and continued Asean economic integration,” said the report.

The country’s power sector, with the support of a “strong coal pipeline”, is assessed as the second most attractive market in its Global Power Risk/Reward Index (RRI) and first in Asian rankings.

The driving force behind the power demand and capacity growth in the country was contributed to strong macroeconomic and demographic fundamentals, coupled with a competitive risk profile supported by strong institutions and friendly business environment.

However, the report stated that transparency and corruption issues remain a concern and can affect positions of government-linked investments.

Malaysia’s previously leading oil-and-gas sector is still coping with low oil prices, which is affecting the nation’s approach to boosting oil production through deepwater developments and marginal field developments as well as its Enhanced Oil Recovery programmes.


Get free weekly money tips!

*Free of charge. Unsubscribe anytime.
newsletter image