MALAYSIA TARGETS US$12.5 BLN IN TOTAL INVESTMENTS

KUALA LUMPUR, Aug 13 (Bernama) -- Malaysia is optimistic total investments
in the country will reach RM40 billion (US$12.5 billion) this year compared with
RM32 billion (US$10 billion) registered last year, said International Trade and
Industry Minister Mustapa Mohamed.

In the first six-months of the year, the Malaysian Investment Development
Authority (MIDA) approved investments of RM13.2 billion, with foreign
investments accounting for RM7.5 billion while domestic investments amounted to
RM5.7 billion.

Speaking to reporters after the ministry's monthly gathering here Friday,
Mustapa said MIDA approved 455 projects between January and June with electric
and electronics accounting for RM3.3 billion, fabricated metal products RM605.9
million and, scientific and measuring equipment RM554.4 million.

The three largest foreign direct investors in Malaysia, during the period
under review, were Singapore accounting for RM2.9 billion worth of projects
followed by Japan with RM722.6 million and Switzerland RM537.8 million.

Mustapa said MITI has mobilised its machinery to promote investments in the
country and abroad in order to lure more investments in the second-half of the
year.
"We have signed free trade agreements with New Zealand, Pakistan, Japan and
Chile.

"We are also in talks with Australia, Turkey, India, Bangladesh and the
European Union," he said.

Besides, MITI is also talking aggressively with South Korean companies to
increase their investments in Malaysia.

"South Korea is undergoing robust growth," said Mustapa, adding that MITI
officers in Seoul are following up on proposals made by Korean companies.

He said South Korean companies operating in Malaysia were satisfied with the
service they received by government agencies here.

Meanwhile, at the same gathering, Mustapa also launched the MITI Strategic
Plan 2008-2012 formulated to achieve the targets outlined in the New Economic
Model and the 10th Malaysia Plan.

The plan has six strategic thrusts, among others, increasing exports and
invstments in the manufacturing and services sector, creating high-income
employment and enhancing productivity and innovation in the manufacturing and
services sector.
-- BERNAMA