- Nixon Paul
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Malaysia's Economic Resilience: Growth, Investments, and Recovery from 2022 to 2024
MALAYSIA’S ECONOMY
Over the past three years, Malaysia’s economy has experienced notable fluctuations, influenced by both domestic and global factors. Below is an overview of the country’s economic performance and foreign direct investment (FDI) trends from 2022 to 2024:
Gross Domestic Product (GDP) Growth:
2022: The Malaysian economy rebounded strongly with a GDP growth rate of 8.9%, following the contraction experienced during the COVID-19 pandemic.
(Department of Statistics Malaysia)
2023: Growth moderated to 3.6%, reflecting a deceleration attributed to global economic uncertainties and domestic challenges.
(Bank Negara Malaysia & Dept of Statistics)
2024: The economy expanded by 5.1%, driven by continued domestic demand and a rebound in external trade.
(Bank Negara Malaysia & Dept of Statistics Malaysia)
Foreign Direct Investment (FDI) Inflows:
2024: FDI showed signs of recovery, with net inflows reaching MYR 18.38 billion in the fourth quarter, the highest since the previous year.
Trading Economics
Key Developments Influencing Economic Performance and FDI:
Investment Approvals: In 2023, Malaysia recorded total approved investments of RM329.5 billion, a 23% increase from 2022, indicating strong investor confidence.
(pmo.gov.my)
Sectoral Contributions: The services and manufacturing sectors remained pivotal, with the construction sector experiencing significant growth of 30.8% in 2023.
Global Partnerships: Malaysia strengthened economic ties with countries like China, attracting investments in high-tech industries, including semiconductor manufacturing.
(Financial Times)
In summary, while Malaysia faced economic headwinds in 2023, the subsequent recovery in 2024, bolstered by strategic investments and sectoral growth, underscores the nation’s resilience and potential for sustained economic advancement.
Sources
Trading Economics – a platform that provides data for 20 million economic indicators from 196 countries including actual values, consensus figures, forecasts, historical time series and news. Malaysia Indicators – was last updated on Tuesday, April 1, 2025.
Malaysian Department of Statistics
Financial Times
Prime Minister’s Office of Malaysia (PMO)
Macrotrends
Bank Negara