Malaysia antara ‘Fabulous 5’ Asean, dijangka tarik banyak FDI

Malaysia sits among the top five economies in Asia that are poised to attract more foreign direct investment (FDI), according to an economic expert. The five nations, which include Malaysia, Indonesia, Thailand, Philippines, and Vietnam, are considered key players in the shift of investment towards productive capacities in the region.

IQI Shan Saeed, the Managing Director of Global Economic Institute, stated that these five economies hold the potential to attract a significant portion of the total FDI in the ASEAN region. He projected that these five economies will receive a total of USD85.3 billion in FDI by 2025, accounting for approximately 35% of the total ASEAN FDI of USD243.9 billion.

The projection is based on data from the World Investment Report 2026 by the United Nations Conference on Trade and Development (UNCTAD). Shan also estimated that these five economies will contribute USD84.8 billion, or around 80% of the USD105.6 billion in new investment announced in ASEAN. The expert highlighted that the projects being planned provide clear indications of the focus on manufacturing plants, data centers, and semiconductor capacity in the region.

According to the ASEAN Investment Report 2025, FDI in the manufacturing sector in the region increased nearly 150% to USD44 billion in 2024. Shan also noted the strengthening role of digital infrastructure, citing a McKinsey report that predicts a global data value chain requiring around USD6.7 trillion in investment between 2025 and 2030.

The McKinsey report identified Johor, Jakarta, Indonesia, and Chonburi, Thailand as among the emerging data center locations in Asia. Shan also referenced The Economist's comments on whether data center developments in Malaysia could help the country move out of a middle-income status. He stated that the five economies have complementary strengths, including Indonesia's natural resources, Malaysia's semiconductor sector and digital infrastructure, Thailand's manufacturing capacity, Vietnam's export platform, and the Philippines' service platform.

However, Shan cautioned that the more difficult challenge is to translate the announced investment into operational capacity. "Safety, credibility, and depth of human capital will determine how much of the announced investment can be translated into operational capacity, and how much capacity can generate high-skilled employment and higher-value value chains." The success of the investment depends on the scale and credibility of its implementation.