{
  "id": 844337,
  "title": "Higher-quality investments may take time to lift wages, household incomes: Bank Negara",
  "url": "https://urgent.news/2026/08/14/higher-quality-investments-may-take-time-to-lift-wages-household",
  "topic": "business",
  "section": "Business",
  "published": "2026-08-14T06:42:53.000Z",
  "source": {
    "name": "New Straits Times",
    "slug": "new-straits-times",
    "url": "https://www.nst.com.my/business/economy/2026/08/1511070/higher-quality-investments-may-take-time-lift-wages-household"
  },
  "original_language": "en",
  "account": "Malaysia's pursuit of higher-quality investments and advancement up the value chain could potentially lead to increased wages and household incomes, although the advantages may take some time to manifest, according to Bank Negara Malaysia Governor Datuk Seri Abdul Rasheed Ghaffour. The governor explained that stronger economic growth does not automatically result in higher household incomes, as there is often a lag before the benefits reach the population. Despite this, the quality of investment currently being attracted, which generates higher income jobs, indicates positive prospects. Abdul Rasheed emphasized the importance of continuing to attract quality investments, ascending the value chain, and enhancing productivity to support higher wages and incomes. These actions would ultimately contribute to improving the livelihoods of the population and bolstering the economy. He noted that foreign investment flows have been directed towards high-value-added activities in manufacturing and services sectors, particularly in electrical and electronics (E&E), chemicals, and information and communications technology (ICT) services. By June, 85% of manufacturing projects approved between 2021 and February 2026 had progressed to implementation, including factory construction, production, and machinery installation. As of the second quarter of 2026, foreign direct investment (FDI) recorded a net inflow of RM7.4 billion, resulting in total FDI inflows of RM30.2 billion for the first half of the year. This FDI was largely directed towards the services sector, mainly in ICT and professional and technical sub-sectors, with significant contributions from China, Hong Kong, and Singapore.",
  "summary": "Bank Negara Malaysia's Governor, Datuk Seri Abdul Rasheed Ghaffour, has indicated that Malaysia's efforts to attract higher-quality investments and move up the value chain could eventually lead to higher wages and household incomes. However, he emphasized that these benefits might take time to filter through the economy, as there is typically a lag between economic growth and its impact on household incomes. Abdul Rasheed stated that as Malaysia continues to attract quality investments and improve productivity, it will ultimately help improve the livelihoods of the population. The Governor also highlighted that foreign investment inflows have been flowing into high-value-added activities in the manufacturing and services sectors, such as electrical and electronics, chemicals, and information and communications technology services.",
  "key_points": [],
  "editors_take": null,
  "illustration": null,
  "coverage": {
    "outlets": 2,
    "also_reported_by": [
      {
        "outlet": "New Straits Times",
        "title": "Bank Negara: Most businesses face higher costs with limited pass-through to consumers",
        "url": "https://urgent.news/2026/08/14/bank-negara-most-businesses-face-higher-costs-with-limited-pass",
        "published": "2026-08-14T05:49:53.000Z"
      }
    ]
  },
  "ai_generated": true,
  "disclaimer": "Summaries, key points and the editor’s take are written by software from other outlets’ reporting and may contain errors — always check the linked original."
}