PM: Strategic DDI can attract more FDI, drive economic boom

Anwar said that having a more strategic domestic industry ecosystem is crucial for generating more sustainable gross domestic product growth.

KUALA LUMPUR: The government has set domestic direct investment (DDI) as a key performance indicator (KPI) for growing the country’s total investment given strategic DDI’s potential in attracting more foreign direct investment (FDI), Prime Minister Datuk Seri Anwar Ibrahim says.

The government, particularly via the Investment, Trade and Industry Ministry (Miti), is committed to achieving a good balance between FDI and DDI for ensuring sustainable and balanced development throughout the country, he said in a statement issued after chairing the second National Investment Council or MPN meeting yesterday.

Besides the decision to make DDI as a KPI, the MPN meeting also, among others, discussed the best mechanism to streamline the country’s investment promotion agencies (IPAs) landscape by Jan 1, 2024, he said.Hence the MPN has decided to reactivate the Investment Coordination Committee between Miti and all IPAs.

“Strategic DDI has the potential to attract more FDI because foreign investors usually consider DDI as a benchmark for domestic investors’ confidence and commitment towards government policies for strengthening the nation’s investment and business landscape,” he said.

Anwar, who is also Finance Minister, said that having a more strategic domestic industry ecosystem is crucial for generating more sustainable gross domestic product growth.

Anwar said the government has implemented various initiatives to spur DDI growth, but it is of the view that efforts to increase DDI should be even more comprehensive.

In that regard, the MPN meeting also stressed one of the Madani Economy messages announced on July 27, 2023, which is the importance of the cooperation and strategic involvement of government-linked investment companies and government-linked companies to enhance DDI. — Bernama