KUALA LUMPUR – Prime Minister Datuk Seri Anwar Ibrahim has dismissed claims that the controversial addendum issue has deterred foreign investments, pointing instead to rising investment figures as evidence of continued confidence in Malaysia’s economy.
Responding to Ahmad Fayhsal Wan Ahmad Kamal (Machang-PN) in the Dewan Rakyat, Anwar refuted suggestions that foreign investors were losing faith in the Malaysian market. He acknowledged that while there had been some stock outflows, they were minimal compared to regional trends and did not indicate a loss of confidence.
“There was a 0.2% outflow from our RM2 trillion stock market capitalisation – hardly a sign of crisis. For context, Thailand saw four times that amount, while Indonesia’s outflow was double ours,” he said, emphasising that Malaysia’s overall economic performance remained strong.
He highlighted that investment figures in the first nine months of 2024 rose by 10.7% compared to the same period in 2023, underscoring continued investor confidence. He also pointed to significant investments from global firms such as Infineon, Geely, Amazon, and Microsoft as proof that Malaysia remains an attractive investment destination.
“Foreign shareholding remained stable at 19% in 2023, increased to 19.5% by year-end, and stood at 19.4% in January 2025. I want to ask, where are these numbers coming from? Investment has increased, so such claims are irresponsible and baseless,” he said, insisting that claims of a foreign investment exodus were misleading.
Anwar also noted that research firms, including Nomura Global Market Research, JP Morgan, and HSBC, had recently upgraded their recommendations for Malaysian equities. He added that Malaysia’s stock market decline of 2.4% by February 2025 was part of a broader global trend, with sharper drops recorded in Indonesia (6.1%), the Philippines (7.4%), and Thailand (8.3%).
Addressing opposition claims that the addendum controversy had caused market instability, Anwar reiterated that he would provide full clarification – but only after ongoing court proceedings conclude.
“Once the court case is over, I will answer. I want to see if the opposition leader actually attends,” he quipped.
The prime minister also dismissed accusations that the government was avoiding scrutiny.
“I cannot comment on an ongoing court case, but the opposition doesn’t care about sub judice rules – they act as if they are above the law.
“Despite their claims, all economic indicators – whether bonds, investments, stock market performance, or corporate profits – point upwards. Fortunately, investors look at real economic data rather than unfounded claims,” he said.
Anwar further outlined Malaysia’s efforts to attract investment, highlighting initiatives such as the Johor-Singapore Special Economic Zone (JSSEZ), regional development plans with Thailand, and Sarawak’s push to become a regional energy hub. – February 13, 2025