PENANG has again topped the list of approved manufacturing foreign direct investments (FDI) for the first quarter of this year (1Q2020).
The state recorded a promising RM6.8 billion in approved manufacturing FDI for the period of January to March this year. Last year (the entire year), Penang took pole position in terms of approved manufacturing FDI after it attracted RM15 billion.
Chief Minister Chow Kon Yeow said the approved manufacturing FDI in the state accounted for 96% of Penang’s manufacturing investment inflows in 1Q2020.
“The remaining 4% or RM321.1 million were approved manufacturing domestic direct investments (DDI).
“I am pleased to note that Penang is a major contributor towards the country’s FDI.
“We contributed 64% share in Malaysia’s total FDI. The state plays a crucial role in driving Malaysia’s participation in the global supply chain.
“We are thankful for the strong confidence placed in us by the multinational corporations,” Chow told a press conference at his office in Komtar today.
Chow revealed that the top manufacturing FDI for the first quarter of this year were from Switzerland, the United States and Singapore.
He said that Penang received remarkable investments such as projects from Dexcom and LEM International.
Chow also spoke about Penang’s RM7.1 billion in total approved manufacturing investments (FDI and DDI) for 1Q2020 amidst the challenging global macroeconomic environment.
“We successfully garnered 32 manufacturing projects in 1Q2020, which are expected to create 4,035 new job opportunities in Penang.
“The state’s RM7.1 billion in total approved manufacturing investments represents 42% of Penang’s full year (2019) approved manufacturing investments.
“The machinery and equipment, scientific and measuring equipment (which include medical devices) as well as the electrical and electronics industries collectively constituted 95% of the state’s total approved manufacturing investments for 1Q2020.
“This encouraging investment performance for 1Q2020 exceeded our expectations,” he said.
Chow said, nevertheless, Penang expected the 2020’s investment inflow to the state to be lower than the 2019’s all-time-high of RM16.9 billion.
“We are mindful that the global FDI outlook is on a downtrend until at least 2021, and that the public health challenges will persist in the near future.
“The Penang government will remain vigilant in our efforts to attract high-quality and high-technology investments,” Chow said.
He added that the state government, through investPenang, Penang Development Corporation (PDC) and other relevant agencies, is committed to assist investors and to facilitate project implementations on the ground.
He also thanked the Federal Government agencies such as Malaysian Investment Development Authority (Mida) for working hand-in-hand with investPenang in attracting high-quality investments to the state.
Datuk Seri Lee Kah Choon, the special investment advisor to the Chief Minister, said the Penang government has been very supportive towards attracting investors to the state.
“The RM7.1 billion in total approved manufacturing investments for 1Q2020 is the fruit of our work since 2019 – a ‘flow over’ from 2019 to 2020,” he said.
Also present were Deputy Chief Minister I Datuk Ahmad Zakiyuddin Abdul Rahman, Deputy Chief Minister II Prof Dr P. Ramasamy, state executive council members Yeoh Soon Hin, Jagdeep Singh Deo, Datuk Abdul Halim Hussain, Chong Eng and Soon Lip Chee. Joining them was investPenang chief executive officer Datuk Loo Lee Lian.
Story by Christopher Tan
Pix by Law Suun Ting
Video by Alvie Cheng