THE government is firm and serious in its commitment to creating a healthy investment climate in the country.

The Prime Minister’s Office (PMO), in a statement today, said the government will also continue with its efforts to make Malaysia the most attractive investment destination in Southeast Asia and constantly encourage existing investors to re-invest in the country.

The statement was issued after Prime Minister Muhyiddin Yassin’s visit to Infineon Technologies (M) Sdn Bhd’s factory in Batu Berendam, Malacca, which is the state operations of German semiconductor giant InfineonTechnologies AG, after chairing the Economic Action Council’s (EAC) meeting earlier in the morning at a hotel in Banda Hilir.

The prime minister also announced Infineon’s pledge of investing RM3.25 billion in a span of 10 years until 2029.

“With this multibillion investment, Infineon has, indeed, paved the way to expedite the semiconductor sector to move up the value chain towards higher-margin processes such as the Packaged Integrated Circuit,” the statement said.

The PMO said this marks another milestone in the long-standing and multi-faceted partnership between Malaysia and Germany, as well as a reflection of the confidence level placed by global investors in Malaysia’s attractiveness and stability.

The statement said within the manufacturing sector, the electronics industry topped the chart as the main contributor, as partially reflected in investments from international companies like Infineon.

Last year, the manufacturing sector continued to be the key driver of the supply side of the Malaysian economy, with a combination share of 22.3%. – Bernama, September 14, 2020.