KUALA LUMPUR, March 24 — Foreign investors extended a five-week streak of net selling across eight Asian markets, with net outflows totalling US$12.13 billion, according to MBSB Investment Bank Bhd.
In its Fund Flow Report for the week ending March 20, Indonesia was the only country to receive net foreign inflows, with Taiwan leading net selling.
Indonesia was the only market enjoying a net buying position, recording US$20.3 million in net foreign inflows, as its central bank maintained the benchmark seven-day reverse repo rate at 4.75 per cent, alongside the deposit facility at 3.75 per cent and lending facility at 5.50 per cent.
“The decision was aimed at stabilising the Indonesian rupiah, which had depreciated to around 16,985 rupiah against the US dollar amid ongoing capital outflows.
“At the same time, Bank Indonesia reiterated its commitment to keeping inflation within the 2.5 per cent, approximately one per cent target range, despite inflation rising to 4.76 per cent year-on-year in February 2026,” MBSB said.
Taiwan extended its three-week net foreign selling streak, recording US$5.64 billion in outflows, the largest in the region, due to the escalating West Asia conflict, which raised concerns over potential supply chain disruptions and a renewed surge in global energy prices.
“While Taiwan’s direct exposure to the Strait of Hormuz remains limited (less than 20 per cent), its high energy import dependency of 97-98 per cent leaves the economy sensitive to oil price volatility and imported inflation pressures,” it said.
On Bursa Malaysia, foreign investors net sold for the second week in a row, recording RM168.3 million in net foreign outflows.
“Foreign investors were net sellers on two out of four trading days during the week, with the largest outflow recorded on Thursday (-RM244.3 million), followed by Monday (-RM175.5 million), while the largest inflows were recorded on Tuesday (RM159.7 million), and Wednesday (RM91.8 million),” MBSB said.
The top three sectors that recorded net foreign inflows were plantation (RM156.8 million), industrial products and services (RM90.7 million), and healthcare (RM61 million).
Outflows were concentrated in financial services (-RM399.3 million), consumer products and services (-RM56.3 million), and construction (-RM46 million).
Local institutions recorded a net inflow of RM332.8 million, marking a second consecutive week of net buying activity. Local retailers recorded net outflows of -RM164.6 million, reverting to net selling after the previous week of inflows.
Average daily trading volume saw a broad-based decline: local retailers by -12.7 per cent, local institutions -14.6 per cent, while foreign investors saw an increase of 7.0 per cent.
