MALAYSIA remains one of the most attractive investment destinations in the region, with stability emerging as its strongest selling point for the international business community, according to the APEC Business Advisory Council (ABAC).
ABAC International Secretariat director Antonio Basilio said regional businesses continue to view Malaysia as a safe and compelling place to invest, citing its steady macroeconomic environment and predictable policy landscape.
“Malaysia is considered one of the leading destinations for investment given its stable macroeconomic environment, consistent policies and regulations, and strong infrastructure,” he told Bernama on the sidelines of Abu Dhabi Sustainability Week 2026.
He added that Malaysia’s range of investment incentives, including tax exemptions, has further strengthened investor confidence and contributed to a generally positive business outlook.
“Overall, it presents a very positive environment for investors. They feel safe and know that resources and regulations are already in place. Most importantly, businesspeople appreciate the country’s stability,” he said.
Despite these advantages, Basilio noted that companies operating in Malaysia have increasingly highlighted shortages of specialised talent as a key concern, particularly in technical and expert roles.
“One of the main things I hear is that businesses sometimes require specific skills or talent, and they find that there may be a shortage of these skills in Malaysia,” he said, adding that the gap is especially evident in highly technical positions.
Commenting on how Malaysia can maintain its competitiveness within ASEAN and the wider Asia-Pacific Economic Cooperation region, Basilio said addressing skills gaps through education must remain a priority.
“To address this key challenge, more resources need to be channelled into education, particularly in science, technology, engineering and mathematics, or STEM subjects.
“I think this is being done and it will eventually address those concerns,” he said.
Looking ahead, Basilio said Malaysia has an important role to play within APEC, pointing to its long-standing support for deeper economic integration across the region.
“Malaysia has always been a strong advocate of closer economic integration. That is why the country has signed around 17 trade agreements,” he said.
On Malaysia’s position within ASEAN, Basilio observed that while Singapore is often viewed as the region’s financial hub and Indonesia benefits from having the largest population, Malaysia stands out for the overall balance of its economy.
“In terms of income per capita and as a location to serve other countries in the region, Malaysia is the best destination,” he said, adding that the country’s strong tourism performance further reflects its appeal to investors and businesses alike. - January 16, 2026
