KUALA LUMPUR: Selangor, Malaysia's economic powerhouse, is on track to surpass its RM50 billion investment target for this year, driven primarily by growth in the manufacturing and services sectors.
In the first half of the year alone, the state's approved investments reached RM34.9 billion.
According to Datuk Paul Khong, group managing director and head of Savills Malaysia, Selangor's impressive progress over the past three decades has been fuelled by advancements in economic development, infrastructure, urbanisation, as well as education and healthcare.
Its strategic location within the Klang Valley, coupled with its status as the country's most industrialised and urbanised state, continues to underpin this growth, he said.
In 2022, Selangor contributed 25.5 per cent to Malaysia's gross domestic product (GDP)—a historic milestone—representing a 0.7 per cent increase from the previous year.
The Malaysian Investment Development Authority (MIDA) reported that last year, Selangor outperformed its RM45 billion investment target by recording RM55.3 billion in total investments.
Khong said that the state's growth is propelled by its strategic focus on economic diversification and its logistical and industrial strengths.
High-growth sectors like aerospace, logistics, and halal industries are significant contributors to GDP and employment, he told Business Times.
''Under the 2025 Budget, the expansion of Port Klang and investments in renewable energy infrastructure reflect the state's commitment to fostering a resilient and sustainable economic model," Khong said.
He also said that i-City is a testament to the state's commitment to high-tech urban and economic development.
Khong described i-City as the country's premier smart city, integrating residential, commercial, recreational, and technological elements into a self-sustaining ecosystem.
In 1997, then acting prime minister Datuk Seri Anwar Ibrahim launched i-City, sparking the transformation that would define the future.
Fast forward today with cutting-edge Internet of Things infrastructure, i-City has become a magnet for IT firms and international investors, solidifying Selangor's leadership in the digital economy, Khong said.
Khong said that the latest addition to i-City, SkyCity Tower, features Malaysia's tallest glass water slide, further enhancing the recreational and architectural appeal of Selangor.
He said that Selangor also continues to boast its development trails in Petaling Jaya, Subang Jaya, and, of course, its main state capital of Shah Alam, which holds many landmark developments all around.
He said that i-City, which is the most modern "smart city" and integrated township development within Shah Alam and also ranked well in the country, is also a "statement and testimony" of the high-tech developments in Selangor itself.
i-City is a "game-changer" in Selangor's urban and economic landscape. It is the "flagship smart city," which integrates residential, commercial, recreational, and technological components into a self-sustaining urban ecosystem.
The project emphasises cutting-edge technologies, which include IoT-enabled infrastructure that attracts IT firms and international investors, thus cementing Selangor's role as a leader in the digital economy.
Khong said that the latest introduction of SkyCity Tower in i-City also features Malaysia's tallest glass water slide, which adds to the software offerings available in recreational aspects and the architectural landmarks of Selangor. i-City has a strong appeal as a tourism destination, forming a reputable hub for modern and sustainable urban developments.
A market insider noted that Shah Alam, Selangor's capital, is a key investment destination due to its robust economic activity and industrial presence.
Infrastructure projects like the Light Rail Transit 3 (LRT3) line are expected to boost connectivity, drive up property values, and attract more buyers and tenants, he said.
"The i-City development in Shah Alam exemplifies Selangor's push toward high-tech urbanisation," the insider said.
He said that Shah Alam's transformation owes much to the visionary leadership of the Selangor Ruler, Sultan Sharafuddin Idris Shah.
"Under his guidance, Shah Alam has evolved from a modest administrative centre into a thriving international hub, embodying innovation, cultural diversity, and sustainable growth. The Ruler's foresight has been pivotal in shaping Selangor's transformation.
"Recognising Shah Alam's potential as a dynamic city, the Ruler made a landmark decision in 2008 to designate i-City as an International Zone. This bold move set the stage for a technologically advanced ultrapolis that redefined the future of the capital city," he said.