FOREIGN INVESTMENT : IMPACT ON THE MALAYSIAN ECONOMY

Abstract

Malaysia is well-endowed with natural resources and favourable climatic conditions. It also had favourable socio-economic and political conditions and as a result, the economy has grown by leaps and bounds. Foreign investment plays an important role in Malaysia's economic development. Besides its usual economic implications, the inflow of foreign investment in the country has also affected the socio-cultural and political aspects in many ways. The main objective of this dissertation is to examine the impact of foreign investment on Malaysia, which also includes the positive as well as negative impact on the society at large. Given the data constraints and the broadness of the topic, the dissertation mainly focuses on the Malaysian manufacturing sector.