SHAH ALAM, May 19 — Selangor’s deep talent pool, strategic location and high liveability continue to cement its position as one of ASEAN’s most attractive investment destinations, showed a PricewaterhouseCoopers (PwC) report.
In its report titled Selangor: Malaysia’s prime hub for growth in Asia, the global accounting and consulting firm called the state the pulse of Malaysia’s economy, driven by its unique blend of culture, innovation, connectivity and growth.
“As the gateway to Southeast Asia, Selangor is where opportunity meets execution,” it said.
The report highlighted that Selangor remains Malaysia’s leading economic engine, contributing 26.2 per cent to the nation’s gross domestic product (GDP) in 2024, while continuing to attract strong foreign direct investments from major economies.
PwC also noted that Selangor attracted US$25 billion in approved investments in 2024, surpassing all Malaysian states, with over US$6 billion from foreign investors, reflecting strong collaboration across all levels of government.
China emerged as Selangor’s top investor country with ventures amounting to US$1.5 billion, followed by the United States and Singapore at US$1.2 billion each. Taiwan contributed US$535 million, while the Philippines accounted for US$329 million.
“Selangor is a haven for investors, with a business-friendly government and a conducive investment environment,” PwC said.
Largest skilled workforce
PwC said Selangor’s competitiveness is underpinned by its strong human capital ecosystem, which offers businesses access to Malaysia’s largest skilled workforce.
“With over four million professionals across key sectors from advanced manufacturing to digital technologies, the state provides the human capital foundation essential for business growth and innovation,” read the report.
It also said the presence of over 180 higher learning institutions, including globally ranked universities, continues to support research and development (R&D), innovation and industry collaboration.
It highlighted Selangor’s efforts in workforce upskilling through collaborations with institutions such as the German-Malaysian Institute (GMI) and DRB-HICOM University of Automotive Malaysia, as well as training centres like the Selangor Human Resource Development Centre (SHRDC), Selangor Technical Skills Development Centre (STDC), and Advanced Semiconductor Academy of Malaysia (ASEM).
It said the ecosystem was designed to strengthen capabilities in high-growth sectors such as semiconductor manufacturing, artificial intelligence (AI), and the Internet of Things (IoT).
Easy access to amenities, transport hubs
On connectivity, PwC said Selangor’s strategic location and multimodal infrastructure makes it a natural gateway to Southeast Asia’s high-growth market, which is valued at US$3.8 trillion (RM15.1 trillion).
“The state’s unique proximity and multimodal infrastructure system allow investors to tap into regional opportunities while remaining anchored to the country’s administrative centre.”
It noted that the state is home to two major international airports — Kuala Lumpur International Airport (KLIA) and Sultan Abdul Aziz Shah Airport — which account for more than 68 per cent of the nation’s aerospace and aviation activities.
Meanwhile, Port Klang was recognised among the world’s top 10 container ports in Lloyd’s List 2025, while rail networks including LRT, MRT, KTM, and the upcoming East Coast Rail Link (ECRL) connect Selangor with neighbouring Kuala Lumpur and peninsular states.
The report added that Selangor is also at the forefront of Malaysia’s digital transformation, with 5G coverage now near 100 per cent and hyperscale data centre investments from global technology companies such as Google, Microsoft and NTT.
‘Ideal place to live and work’
PwC also said Selangor residents’ quality of life remains a main drawpoint for global investors and professionals, and that it is “the ideal place to live and work”.
Home to 7.4 million people, or about 22 per cent of Malaysia’s population, Selangor was described in the report as the vibrant heart of Malaysia, offering world-class education, comprehensive healthcare, and integrated transport systems.
“With its blend of modern amenities, easy access to nature, and a comprehensive healthcare system, Selangor offers residents a highly liveable lifestyle,” the report said.
PwC noted that the state has over 110 international schools, 58 private hospitals and 13 public hospitals, while its gross national income (GNI) per capita has surpassed the World Bank’s high income threshold of US$14,000.
The report also highlighted the state’s stable governance and pro-business policies, supported by Invest Selangor Bhd, which has facilitated US$151 billion worth of manufacturing investments since its inception.
PwC added that Selangor’s streamlined governance, widespread English proficiency, and established industrial ecosystems continue to provide businesses with the confidence and predictability needed to expand operations in the region.
