Developing a comprehensive framework for assessing the impact of political instability on foreign direct investment inflows in Malaysia

Foreign Direct Investment (FDI) serves as a fundamental driver of economic growth and development, particularly within emerging economies such as Malaysia. However, recent episodes of political instability have given rise to uncertainties about the country's FDI prospects. Therefore, the primary objective of this study is to develop a comprehensive framework designed to evaluate the impact of political instability on FDI inflows in Malaysia. The proposed framework provides insight into the extent to which political instability has affected FDI inflows in the primary, secondary, and tertiary sectors. Such insights will assist policymakers in formulating effective policy interventions aimed at sustaining FDI inflows in the face of a challenging political landscape. Given the ongoing political challenges, this framework serves as an essential tool for nations striving to safeguard and optimize their FDI inflows.