KUALA LUMPUR (Aug 9): The country’s clear economic policies and political stability were key factors that prompted global semiconductor company Infineon Technologies AG (Infineon) to announce an additional investment of RM30.1 billion on Thursday (Aug 8), said Prime Minister Datuk Seri Anwar Ibrahim.
He added that the nation’s energy transition and digitalisation, as well as the New Industrial Master Plan 2030 (NIMP 2030), also played a role in the company’s decision.
The RM30.1 billion investment will fund Phase 2 of Infineon’s 200-millimetre silicon carbide (SiC) power semiconductor fabrication facility in Kulim, Kedah, which is also the world’s largest.
Speaking at the launch of the Guidelines on the Management and Governance of Federal Statutory Bodies on Friday, Anwar said the investment is set to create 4,000 jobs, including in fields such as artificial intelligence (AI) engineering and the semiconductor sector.
To this end, the prime minister emphasised the need for universities to ensure a sufficient supply of skilled talent.
“Universities need to be mobilised towards this goal because there is a shortage of engineers and we lack the skills in advanced digital fields and AI. These are areas we need to address,” he said.
At the same time, Malaysia should also compare its performance with those of its regional peers to enhance business facilitation and competitiveness, said Anwar, noting that the country is still lagging in certain areas, such as investment approvals.
He added that investors frequently express concerns about the approval processes, noting that countries like Vietnam currently outperform Malaysia in this area.
On another note, the prime minister highlighted that according to advanced estimates by the Department of Statistics Malaysia, the country’s economy is projected to grow by 5.8% in the second quarter of 2024 (2Q2024), the highest growth rate in Asia.
The economy grew by 4.2% in 1Q2024, up from 2.9% in the previous quarter, driven by increased household consumption, and a recovery in exports due to higher external demand.
Bank Negara Malaysia is expected to announce 2Q2024’s economic figures next Friday (Aug 16).
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Uploaded by Liza Shireen Koshy