ID :
24890
Thu, 10/16/2008 - 18:04
Auther :
Shortlink :
http://m.oananews.org//node/24890
The shortlink copeid
FDI INFLOW NOT AFFECTED BY M'SIA'S DECISION TO REVIEW PROJECTS
KUALA LUMPUR, Oct 16 (Bernama) -- Foreign direct investment (FDI) inflow into the country will not be affected by the Malaysian government's decision to review and shelve some projects, including those in the economic corridors, due to the global economic slowdown, International Trade and Industry Minister uhyiddin Yassin said Thursday.
He said the decision to review the projects was related to those involving
government expenditure and not those from the private sector.
"If there are those in the private sector keen to invest, they can do so as
a large portion of the component cost in investment involves the private sector
and not the government," he told reporters after officiating the Eisenhower
Fellowships Regional Conference here.
Muhyiddin said the government's decision should not reduce the interest of
foreign and local investors to take part in the development of the economic
corridors.
According to him, there are still plenty of prospects for investors in the
south, north and east coast of Peninsular Malaysia as well as in Sabah and
Sarawak.
On Wednesday, Prime Minister Abdullah Ahmad Badawi said the
government would review several projects, including those in the economic
corridors, due to the global economic uncertainty.
He said for projects in which work has yet to start, the government
might
consider postponing them for the time being.
Asked whether Malaysia was in denial over the impact of the current
global
economic situation, Muhyiddin said as far as FDIs were concerned, the
investments were still flowing in the manufacturing and services sectors.
He said even in tough times, companies from the United States and Europe,
for example, were looking at Malaysia to relocate their operations.
Japan was also interested to continue investing in Malaysia, he added.
Muhyiddin said his ministry was also looking to restrategise ways to secure
more investments.
"One, as I have mentioned before, is by identifying the areas where surplus
funds are available, like in the Middle East," he said.
In addition, the ministry was looking at specific missions, such as seeking
support from foreign companies and bringing them to Malaysia, Muhyiddin
said.
"These are the new strategies which mean we have to be more aggressive. We
can't wait for the next two to three years and go back again. We have to keep on
being pushy about it and try to secure as much as capital flow as possible," he
said.
Acknowledging that Malaysia would not be spared from effects of the global
financial crisis, Muhyiddin said the country still has a strong economic
fundamentals.
However, there was a need for the National Economic Council, which has been
meeting on a weekly basis, to look at trends and take pre-emptive measures to
mitigate the impact from the global financial crisis.
He said the decision to review the projects was related to those involving
government expenditure and not those from the private sector.
"If there are those in the private sector keen to invest, they can do so as
a large portion of the component cost in investment involves the private sector
and not the government," he told reporters after officiating the Eisenhower
Fellowships Regional Conference here.
Muhyiddin said the government's decision should not reduce the interest of
foreign and local investors to take part in the development of the economic
corridors.
According to him, there are still plenty of prospects for investors in the
south, north and east coast of Peninsular Malaysia as well as in Sabah and
Sarawak.
On Wednesday, Prime Minister Abdullah Ahmad Badawi said the
government would review several projects, including those in the economic
corridors, due to the global economic uncertainty.
He said for projects in which work has yet to start, the government
might
consider postponing them for the time being.
Asked whether Malaysia was in denial over the impact of the current
global
economic situation, Muhyiddin said as far as FDIs were concerned, the
investments were still flowing in the manufacturing and services sectors.
He said even in tough times, companies from the United States and Europe,
for example, were looking at Malaysia to relocate their operations.
Japan was also interested to continue investing in Malaysia, he added.
Muhyiddin said his ministry was also looking to restrategise ways to secure
more investments.
"One, as I have mentioned before, is by identifying the areas where surplus
funds are available, like in the Middle East," he said.
In addition, the ministry was looking at specific missions, such as seeking
support from foreign companies and bringing them to Malaysia, Muhyiddin
said.
"These are the new strategies which mean we have to be more aggressive. We
can't wait for the next two to three years and go back again. We have to keep on
being pushy about it and try to secure as much as capital flow as possible," he
said.
Acknowledging that Malaysia would not be spared from effects of the global
financial crisis, Muhyiddin said the country still has a strong economic
fundamentals.
However, there was a need for the National Economic Council, which has been
meeting on a weekly basis, to look at trends and take pre-emptive measures to
mitigate the impact from the global financial crisis.
