KUALA LUMPUR (BERNAMA) – Malaysia’s Ministry of Investment, Trade and Industry (MITI) expects foreign direct investment (FDI) from Japan to exceed USD30 billion this year, buoyed by continuous support from the Japanese companies.
Its minister Tengku Datuk Seri Zafrul Abdul Aziz said the private sector in both countries expressed confidence over business prospects this year, although the global trade environment is experiencing a slowdown.
“When we look at the local and global economy, we hope that the (Malaysia-Japan trade) growth will continue, but we still have to see (the progress because there is) too many uncertainties now in global trade.
“However, investment is a separate issue. We are optimistic,” he told reporters after officiating at the Malaysia-Japan Economic Dialogue in Kuala Lumpur yesterday.
Tengku Zafrul said Japan has been Malaysia’s fourth largest trading partner for eight successive years since 2015 and, in 2022, trade with Japan made up 6.4 per cent of Malaysia’s total trade at USD41.26 billion amid the backdrop of a challenging global environment.
He noted that, as of June 2023, a total of 2,778 projects by the Japanese companies were implemented in Malaysia, with investments amounting to USD27.25 billion, creating 337,758 job opportunities.
At the event, a memorandum of understanding (MoU) for joint crediting mechanism was signed between the Japan Chamber of Commerce and Industry (JCCI) and the Federation of Malaysian Manufacturers (FMM).
FMM president Tan Sri Soh Thian Lai said the MoU is aimed at facilitating enterprises to be more competitive at the global front, including providing market access.
“Last year, we achieved about USD40 billion of trade (with Japan), but this year, we are hoping it to increase further by more than 10 to 20 per cent,” he said.