KUALA LUMPUR: Malaysia recorded a net inflow of foreign direct investment (FDI) totalling RM51.5bil in 2024, up from RM38.6bil in the preceding year, according to the Statistics Department.

In a statement, the department noted that total income earned by foreign companies in Malaysia rose to RM99.8bil compared to RM88.4bil in 2023.

This increase was mainly driven by income from equity and investment fund shares which amounted to RM95.9bil, and interest income of RM3.9bil.

“As of the end of 2024, the country’s cumulative FDI position stood at RM995.5bil, up from RM924bil in the previous year,” it said.

Meanwhile, the Statistics Department said FDI flows in the form of equity and investment fund shares recorded a net inflow of RM28bil, contributing to an accumulated position of RM832.9bil.

Debt instruments registered a net inflow of RM23.5bil with the position valued at RM162.6bil.

By sectors, it said the services sector contributed the highest FDI inflows at RM39.4bil, with a total position of RM524.8bil. This was followed by the manufacturing sector which generated the highest FDI income valued at RM54.6bil, followed by the services sector.

In 2024, the largest FDI inflows geographically originated from the Asian region, totalling RM50.3bil, with Singapore and Hong Kong as the primary sources.

Investors from this region also recorded the highest income, amounting to RM46.5bil. — Bernama