NETWORKING FOR STRONGER PORT INDUSTRY AND BETTER COMMUNITY
Malaysia is an upper-middle income economy with a gross national income of USD 7,900 per capita. It is a highly open economy (exports comprise almost 100 percent of GDP) and a leading exporter of electrical appliances, electronic parts and components, palm oil, and natural gas. Malaysia is also externally competitive, ranking 18th (out of 135 economies) in the International Finance Corporation 2012 ranking of ease of doing business in the world.
Malaysia has progressed from being a producer of raw materials, such as tin and rubber, in the 1970s to being a multi-sector economy that grew on average 7.3 percent between 1985 and 1995. After the Asian financial crisis of 1997-1998 it has continued to post solid growth rates, averaging 5.5 percent per year from 2000 – 2008. Growth was accompanied by a dramatic reduction in poverty, from 12.3 percent in 1984 to 2.3 percent in 2009. However, pockets of poverty exist and income inequality remains high relative to the developed countries Malaysia aspires to emulate.
In 2010, Malaysia launched the New Economic Model (NEM) which aims for the country to reach high income status by 2020 while ensuring that growth is also sustainable and inclusive. The NEM envisions economic growth that is primarily driven by the private sector and which moves the Malaysian economy into higher value-added activities in both industry and services. To achieve these goals, Malaysia will need better skills, more competition, a leaner public sector, a better knowledge base, smarter cities, and greater efforts to ensure environmental sustainability.Source: World Bank