KL industry draws US$6b investment

KL industry draws US$6b investment

KUALA LUMPUR (AFP): After suffering a decline last year, Malaysia's manufacturing sector drew an approved investment of almost US$6 billion in the first eight months of the year, a cabinet minister said yesterday.

A total of 512 manufacturing projects valued at 14.8 billion ringgit ($5.9 billion) were approved between January and August compared to 653 projects worth 13.3 billion ringgit in 1993, said Rafidah Aziz, minister of international trade and industry.

"Given the sluggish growth in developed countries and keen competition worldwide for foreign direct investments, these figures are impressive," Rafidah told reporters.

She said the bulk of the newly-approved projects were for the electronics and electrical industries, which garnered a total 4.6 billion ringgit.

Rafidah said local investors pledged nearly half of the investment for the first eight months -- 7.2 billion ringgit -- while foreigners contributed the balance 7.6 billion ringgit.

Manufacturing is the darling of the Malaysian economy, contributing about 30 percent of gross domestic product. It also the leading source of export earnings and one of the biggest employers.