KUALA LUMPUR – Malaysia ranks first in emerging Southeast Asia as the country with the most potential to attract foreign investors, according to the 2022 Milken Institute Global Opportunity Index.
This annual assessment, created to help inform investor and policymaker global investment decisions, evaluates an economy’s investment landscape using variables such as macroeconomic outlook, access to financial services, the potential for future innovation and development, and more.
“In this year’s report, we identify several policies that will help emerging Southeast Asia remain competitive when it comes to investment opportunities,” said Claude Lopez, the head of the research department at the Milken Institute.
“Governments in the region must strengthen their institutional frameworks, deepen regional integration to take advantage of each country’s unique resources and opportunities, and maximise social impact by leveraging global capital flows to advance development.”
The 2022 Global Opportunity Index includes a report focusing on emerging Southeast Asia, a region where an influx of capital could lead to increased innovation, job creation, and competitiveness, according to a statement.
Emerging Southeast Asia scores well compared to other emerging and developing economies in three key areas: 1) having a strong economic performance, 2) offering a highly qualified workforce, and 3) being firmly integrated with the global economy.
Key findings from the 2022 Global Opportunity Index include that Sweden maintained its number one rank from 2021 as the country with the most potential to attract foreign investment, followed by the UK at number two and Denmark at number three.
Meanwhile, Malaysia, Thailand, and Indonesia took the top spots in emerging Southeast Asia. Malaysia received the highest ranking in the region due to its strong performance across all categories measured. Vietnam and the Philippines rounded out the top five countries in emerging Southeast Asia, in that order.
To create the index, the Milken Institute evaluates investment opportunities through 100 variables organised into five categories and 14 sub-categories.
The five major categories include business perception, financial services, international standards & policy, economic fundamentals, and institutional frameworks. – Bernama, January 27, 2022
