Malaysia’s Foreign Direct Investment (FDI) Standing (1975-2010)

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Malaysia’s Net FDI is highest in 1997 and is lowest in 2008.

MALAYSIA’s the only country in the region with negative Net FDI since 2007. To attract FDI, factors of production need to be attractive – either cheap labours, cheap capital or expensive but highly skilled.
We are neither cheap nor highly skilled as opposed to the likes of Vietnam (cheap labours) nor Singapore (highly skilled). We are trapped in the middle.