Friday, July 23, 2010

Malaysia's Future BLEAK with Dismal FDIs

The UN report on FDIs for Malaysia tells a sorry tale of dwindling investments as Malaysia appears to be an unattractive place for foreign investors.
If you look at the chart, you will notice that apart from a drastic drop in capital inflows, more local investors are moving overseas.
The average outflow for the 10 years from 1995 to 2005 was RM6.36bil but in 2008, the figure jumped about 8 times to RM48bil and in 2009 the amount was RM25.77bil.
No doubt the investments into Indonesia and Thailand also dropped in 2008 and 2009 but the capital inflows in these two countries for 2009 is four times that for Malaysia.
Also both Thailand and Indonesia have a net gain in investments whereas for Malaysia, we have a net loss of a staggering RM21bil.
This means that investors are leaving the country and even Malaysians now prefer to invest elsewhere.
Unfortunately for Malaysia, the government is still adopting the "Ketuanan" attitude and this is causing much hardship to all Malaysians.
To me the only way to reverse the investment decline is to vote out the Bankrupsi Negara government that has not learned to govern justly even after more than 40 years in power.
It is time for voters in Malaysia to learn from the Filipinos and Indonesians that changing the government is a normal exercise in a democratic nation.

Table: thanks to malaysiakini

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