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Factors Affecting Foreign Direct Investment in Malaysia's Manufacturing Sector: An Analysis Across States

  • Noor Al-Huda Abdul Karim
  • , Euan Fleming

    Research output: Contribution to journalArticlepeer-review

    10 Citations (Scopus)

    Abstract

    This paper examines the effects of market demand, labor productivity, socio-economic development and provision of industrial estates on foreign direct investment (FDI) across 13 states and 1 federal territory in Malaysia. The analysis uses FDI data of the manufacturing sector and data on independent variables for the years 1990, 1995, 2000 and 2005. Results indicate positive relationships between these factors and FDI inflows in the manufacturing sector. FDI inflows are found to be most sensitive to labor productivity and GDP. The significance of socio-economic development for FDI is viewed in a long-term perspective.
    Original languageEnglish
    Article number1250015
    Pages (from-to)1250015-1-1250015-14
    JournalThe Singapore Economic Review
    Volume57
    Issue number4
    DOIs
    Publication statusPublished - 2012

    UN SDGs

    This output contributes to the following UN Sustainable Development Goals (SDGs)

    1. SDG 8 - Decent Work and Economic Growth
      SDG 8 Decent Work and Economic Growth
    2. SDG 10 - Reduced Inequalities
      SDG 10 Reduced Inequalities

    Keywords

    • International Economics and International Finance
    • Urban and Regional Economics

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