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MELAKA: Melaka has been recognised as one of five states registering the highest investments received at RM3 billion in the first three months of this year by the Malaysian Industrial Development Authority (Mida).

Senior State Executive Councillor (Exco) for Investment, Industry and Eentrepreneur Development Datuk Seri Ab Rauf Yusoh said the manufacturing sector contributed RM2.6 billion of the total investments received.

“Melaka ranks fifth among the five states with the highest investments received and is a destination of choice among investors after Kedah, which ranked first, followed by Penang, Sabah and Selangor.

“One of the largest investments recorded in Melaka is via German chipmaker Infineon Technologies (Malaysia) Sdn Bhd, established since 1973 with cumulative investments of more than RM14 billion.

“Although Infineon has invested in three states in Malaysia, their largest factory is in Melaka, employing more than 10,000 employees, and its research and development (R&D) centre is also located in Melaka,” he told reporters after the opening ceremony of Infineon Technologies (Malaysia) Sdn Bhd’s new building in Batu Berendam here.

The ceremony was officiated by Melaka Chief Minister Datuk Seri Sulaiman Md Ali. Melaka Mida director Jaibalan Harirajan was present.

In line with Melaka’s being a destination of choice among local and foreign investors, Ab Rauf said various initiatives have been implemented to attract investors, including a proposal to open a new industrial area spanning ​1,618.7 hectares in Alor Gajah.

He said the proposal is being studied from various aspects to ensure that the development of the area will be able to fulfil investors’ needs with a decision due soon.

Meanwhile, Sulaiman said the state government will focus on semiconductors, electrical and electronics manufacturing as these investments will be able to create new jobs for locals.

For example, he said Melaka has received new investments of RM3.5 billion from Infineon Technologies (Malaysia) Sdn Bhd thus far and this investment value is expected to increase from time to time.

“I would like to thank Infineon Technologies (Malaysia) Sdn Bhd for retaining its presence of over 50 years in Melaka as it is one of the largest factories here, employing mostly people from Melaka.

“We hope this factory will remain in Melaka and will expand further,” he said.

Earlier, he said the factory’s new 11-storey building housing the R&D centre involves a RM250 million investment and has been fully operational since June.