KUALA LUMPUR: Malaysia continues to reap substantial investments from Japan, with a total of 16 manufacturing projects worth RM559mil approved within the first half of the year, said Datuk Seri Najib Tun Razak.
The Prime Minister said Japan played a significant part of Malaysia's growth and has been one of its top sources of foreign investments since the 1980s.
“It is notable that 75% of these investments are for expansion and diversification projects by Japanese companies already operating in the country.
“These reinvestments underscore their continued trust and confidence in Malaysia as a prime place for companies to conduct business," he said in his keynote address at the Malaysia Nikkei Business Forum 2017 on Thursday.
The event was held in conjunction with the 60th anniversary celebration of diplomatic relations between Malaysia and Japan.
The Prime Minister said a total of 2,621 projects with Japanese participation have been implemented, with investments valued at RM88.5bil as of the end of last year.
“These projects have benefited more than 340,000 Malaysians through new employment opportunities.
“The presence of Japanese investors is exceptionally strong in electronic and electrical, chemical, and non-metallic mineral products, as well as transport equipment and basic metal products,” he said.
Najib also noted that Malaysia has been collaborating with Japan since 1982 under the Look East policy, by sending Malaysian students to Japanese universities and institutes of technologies, in a bid to gain experience and training in various industries.
“To date, more than 16,600 Malaysians have benefited from this programme.
“This represents an important part of the talent pool that is able to fulfil or exceed the requirements of the business community, particularly of the Japanese companies operating in this country,” he said.
The Government, he added, would provide a world-class infrastructure for foreign businesses, another vital ingredient for healthy long-term economic growth.
“Recognising this, the Government embarked on several major infrastructure projects like the East Coast Rail link, the Kuala Lumpur-Singapore High Speed Rail, and the Pan-Borneo highway project that will be game-changers for the country,” said Najib.
In terms of foreign direct investment stock, Japan stood as the second largest foreign investor in the country after Singapore, which had investments valued at about RM70bil as at September this year.
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