MIDF: Foreign investors return to Bursa Malaysia with RM332.3 million net inflows

FOREIGN investors made a strong comeback to Bursa Malaysia last week, registering net inflows of RM332.3 million and ending a 26-week selling streak. It marked the first week of net foreign buying since 24 October.

According to MIDF Amanah Investment Bank Bhd’s Fund Flow Report for the week ended April 25, foreign investors were net buyers on every trading day except Monday and Tuesday, which saw outflows of RM101.1 million and RM105.4 million respectively.

On the remaining trading days, inflows range between RM125.9 million and RM267.2 million.

The sectors attracting the highest net foreign inflows were financial services (RM197.1 million), telecommunications and media (RM60.8 million), and industrial products and services (RM48.8 million).

In contrast, sectors that experienced the largest foreign outflows were energy (RM16.0 million), plantation (RM16.0 million), and healthcare (RM13.3 million).

MIDF also reported that local institutions became net sellers for the first time since October 24, with outflows amounting to RM267.4 million after 26 consecutive weeks of net buying.

Retail investors continued their selling trend into a second week, recording outflows of RM64.9 million—2.5 times greater than the previous week.

The average daily trading volume (ADTV) increased across the board except for foreign investors, whose participation declined by 6.9 per cent. Local institutions and retail investors saw growth in ADTV of 23.8 per cent and 2.2 per cent, respectively.

Malaysia’s headline inflation eased to 1.4 per cent year-on-year in March 2025, according to MIDF, offering some relief to policymakers. The moderation in inflation was broad-based, with slower price increases recorded in accommodation, food services, utilities, and household goods.

“Stable inflation, coupled with steady labour market conditions—unemployment holding at 3.1 per cent—suggests the domestic economy remains resilient, though external headwinds are building,” said MIDF.

In the broader Asian region, only Malaysia, India, Taiwan, and Vietnam posted net foreign inflows. Other markets experienced outflows, with Thailand seeing the heaviest selling pressure. - April 28, 2025