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Demand Shift from China Helps Malaysia's FDI, Says Moody's

Moody's Analytics stated that Malaysia, Indonesia and Thailand will likely attract more foreign investments as companies look to "deconcentrate risk away from China". This move is driven by global demand shifting from China towards North America, prompting other Asian nations to seek fresh investment opportunities. The Asia-Pacific economy, it said, is experiencing a slowdown due to various factors. They include sluggish global trade, uncertainties surrounding China's post-pandemic economic recovery, elevated interest rates, and certain fiscal policy adjustments.

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Malaysia Well Positioned to Lead Economic Opportunities in ASEAN, Says Deputy Minister

Malaysia is well positioned to lead economic and industrial opportunities within the ASEAN region via the initiatives outlined under the Madani Economy Framework, New Industrial Master Plan (NIMP 2030) and National Energy Transition Roadmap (NETR) that serve as catalysts to attract high-value investments, said YB Liew Chin Tong, Deputy Investment, Trade and Industry Minister. As a gateway to ASEAN, the deputy minister said Malaysia is well equipped with an English-speaking workforce, a stable political climate, an established Common Law framework and a mature business environment.

ASEAN to Usher in Golden Era of Economic Prosperity in Closer Partnership with China

The China-ASEAN relationship has been showing a sound momentum of all-round development. China's engagement with ASEAN is deep and varied, most prominent economically. China's organic economic linkages with ASEAN economies have resulted in China's economic performance having a strong impact on ASEAN's economic prospects. Both sides have become each other's largest trading partners, with trade volume in 2022 almost topping $1 trillion, an increase of 11.2% year-on-year and more than double the volume a decade ago. China is also one of the largest sources of foreign direct investment in ASEAN.

ASEAN to Stay Priority for China's BRI Investment despite Slowdown

Economists say that despite slowing growth at home, Southeast Asia will remain an investment priority for China and a core target for its Belt and Road Initiative (BRI). Beijing views the region as geopolitically important to counter US influence. Southeast Asia is also an essential source of critical minerals, including nickel, for China's green technology and electric vehicle ambitions. Investment and construction contracts under the BRI to ASEAN countries averaged around $27.9 billion from 2015 to 2019 before falling to $10.8 billion in 2021. Last year, they rebounded 72% to $18.6 billion, according to a July report by Maybank Singapore.