Kuala lumpur: Malaysian equities markets are projected to experience a net inflow of foreign investment in 2026, spurred by heightened investor confidence and an improvement in market sentiment.
According to BERNAMA News Agency, economist Dr Anthony Dass highlighted that Malaysia has entered 2026 with robust growth, manageable inflation, and a stable financial system, making it an attractive destination for investments. He noted that although the country has seen years of net selling or outflow in the equities market, the current indications suggest a potential net inflow this year, reflecting a gradual return of investor confidence.
Speaking at the 'Malaysian Investment Development Authority (MIDA)-Media Appreciation High Tea and Networking Session', Dr Dass emphasized the effectiveness of Malaysia's fiscal policies in maintaining a balanced budget. The event also saw the presence of key figures, including MIDA chairman Tengku Datuk Seri Zafrul Abdul Aziz and CEO Datuk Sikh Shamsul Ibrahim Sikh Abdul Majid, as well as Bernama's CEO Datin Paduka Nur-ul Afida Kamaludin and editor-in-chief Arul Rajoo Durar Raj.
Dr Dass further explained that domestic investments are increasingly pivotal as strategic anchors in realizing approved investments, especially in a selective global environment. He pointed out that in the first nine months of 2025, Malaysia secured RM285.2 billion in approved investments, with 55 percent originating from domestic sources.
He underscored the importance of local firms being prepared to co-invest and anchor supply chains, as countries that effectively mobilize domestic capital are viewed as less risky and more execution-ready. Malaysian firms, he noted, are successfully repositioning themselves within both regional and global supply chains, with increased private capital expenditure and reinvestments seen across manufacturing, services, and the digital economy sectors.
Dr Dass concluded by emphasizing that this trend is not merely subcontracting but involves co-investment, capability upgrading, and scale readiness, which translate into execution credibility for domestic reinvestments.