Jun 22, 2012

Malaysia - Malaysian FDI in India reaches RM950m

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MALAYSIA'S foreign direct investment (FDI) into India totalled US$298.8 million (RM949.5 million) from April 2000 to June last year, making it the 27th largest overall foreign investor in the sub-continent.

Speaking at the launch of SME Innovation Showcase (Smidex) 2012 yesterday, Prime Minister Datuk Seri Najib Razak pointed out that if investments made through third country routes were taken into account, Malaysia's cumulative investment in India exceeded US$6 billion (RM19 billion).

"Indian investment in Malaysia is small in relative terms but has doubled from the previous year and is now valued at RM98 million," he said.

"There are 77 Indian companies, including Indianjoint ventures, operating in Malaysia.

"Regionally, the conclusion of the Asean-India Free Trade Area (Aifta) has also helped increase trade and investment between Asean countries and India."

Najib said the Aifta Trade in Goods Agreement (TIG), which came into effect on Jan 1, 2010, was viewed as a key factor to facilitate the “creation of an open market in a region with a total combined population of approximately 1.8 billion".

He identified several areas of growth to assist the development of SMEs, including training and the upgrading of skills in financial support services, business matching services, marketing support services and creative innovation assimilation.

International Trade and Industry Minister Datuk Seri Mustapa Mohamed said business matching at Smidex had reached RM120 million since Wednesday compared to RM119 million for the whole of last year.

"Business matching is still going on today and tomorrow. We are still doing this.

That's why Smidex is an awaited event by entrepreneurs," he said.



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