• Analysis and Studies
• Malaysia

In the past 30 years, Malaysia has successfully diversified its economy from one that was initially agriculture and commodity-based, to one that now plays host to robust manufacturing and service sectors, which have propelled the country to become a leading exporter of electrical appliances, electronic parts and components.
However, income inequality in Malaysia remains high compared to other East Asian countries. In particular, the low-income group remains vulnerable to economic shocks such as the current crisis due to the COVID-19 pandemic.
Malaysia’s economy is expected to achieve its transition from an upper middle-income economy to a high-income economy by 2024.
But, in order to fulfil its aspiration, Malaysia will need to advance further in some key priority areas such as education, health and nutrition, and social protection. Ongoing reform efforts to tackle key structural constraints will be vital to support and sustain Malaysia’s development path. (World Bank)