GROSS FIXED CAPITAL FORMATION 2021
Malaysia's Gross Fixed Capital Formation (GFCF) for 2021 was RM298.1 billion at current prices, an increase of RM1.5 billion from 2020 and GFCF at constant prices was RM278.7 billion (Chart 1). GFCF recorded a marginal decline of 0.9 per cent at constant prices as compared to negative 14.4 per cent in the previous year. The downturn was influenced by lethargic performance in almost all sectors excluding Manufacturing. GFCF remained the second largest contributor to the Gross Domestic Product (GDP) with a contribution of 20.1 per cent (2020: 20.9%) as shown in Exhibit 1. The private sector continues to lead fixed asset while by type of asset, GFCF was mainly driven by Structure.
GFCF BY KIND OF ECONOMIC ACTIVITY
GFCF recorded a marginal decrease of 0.9 per cent as compared to negative 14.4 per cent in the preceding year (Exhibit 2), which was primarily influenced by the downfall in almost all sectors except Manufacturing in 2021.
GFCF in the Services sector declined 1.3 per cent, attributed to the decrease in Other services (including government services) and Finance, insurance, real estate & business services activities, which contracted 6.8 per cent and 4.6 per cent in 2021, respectively. Meanwhile, Wholesale & retail trade and Food & Beverage and accommodation accelerated to 13.2 per cent and 9.6 per cent, respectively.
The positive growth in fixed asset investment in the Manufacturing sector at 8.0 per cent (2020: -16.9%) was fueled by the favorable performance of the Food, beverages & tobacco (2021: 12.4%, 2020: 3.4%) and Electrical, electronic & optical products and transport equipment sub-sectors (2021: 5.9%, 2020: -17.9%). Meanwhile, Petroleum, chemical, rubber and plastic products strengthened to 9.7 per cent from negative 24.5 per cent in the previous year.
The Mining and quarrying sector recorded a smaller contraction of 14.7 per cent as against a decline of 25.7 per cent which was recorded in the preceding year. Furthermore, the Agriculture sector also fell by 0.7 per cent (2020: -8.9%) influenced by the sluggish performance of the Rubber and oil palm sub-sector (2021: -5.5%, 2020: -13.4%). Moreover, the Construction sector decreased 1.1 per cent in 2021 as compared to a decline of 2.6 per cent in 2020.
GFCF BY TYPE OF ASSETS
The acquisition of fixed assets by type of assets was supported by Structure with a contribution of 50.7 per cent (2020: 55.9%), which recorded a decrease of 10.1 per cent (2020: -18.3%). On the other hand, ICT equipment and other machinery & equipment and Intellectual property products grew 16.6 per cent (2020: -8.9%) and 2.9 per cent (2020: 0.7%), respectively.
GFCF BY SECTOR AND KIND OF ECONOMIC ACTIVITY
The Private sector remained as the major contributor to GFCF (share: 77.6%) increased 2.6 per cent as compared to negative 11.9 per cent in the preceding year, as illustrated in Exhibit 4. In contrast, the Public sector (share: 22.4%) continued to record a downward trend which shrank 11.3 per cent in 2021.
Services and Manufacturing activities were the main contributors in GFCF of the Private sector as depicted in Chart 2. The share of Services activity stepped up to 63.0 per cent (2020: 62.9%). Moreover, Manufacturing recorded a share of 22.2 per cent as compared to 21.0 per cent in the preceding year. Meanwhile, other activities contributed 14.8 per cent to the overall GFCF of the Private sector.
The GFCF of the Public sector was led by the Services activity with a share of 81.5 per cent, followed by Manufacturing and Mining & quarrying activities, which contributed 9.1 per cent and 8.6 per cent, respectively.
The full publication of the Gross Fixed Capital Formation (GFCF) 2021 can be downloaded through eStatistik Portal.
THE OFFICE OF CHIEF STATISTICIAN MALAYSIA
DEPARTMENT OF STATISTICS, MALAYSIA
25 July 2022
Mohd Yusrizal Ab Razak
Public Relation Officer
Strategic Communication and International Division
Department of Statistics, Malaysia
Tel : +603-8885 7942
Fax : +603-8888 9248
Email : firstname.lastname@example.org