In the second quarter of 2025, Malaysia experienced a significant drop in foreign direct investment (FDI) inflows, which fell to MYR 1.61 billion from MYR 15.57 billion in the previous quarter. This marks the lowest level since the third quarter of 2020. The majority of these investments were directed towards the services sector, with a particular emphasis on financial activities and the information and communication subsector, followed by the construction sector. The primary sources of FDI were Singapore, Japan, and the United Kingdom.