Malaysia:

Country Economic Overview

an overview of the malaysian economy

Contents

An Overview of the Economy

Once dominated by the raw material trade, the economy of Malaysia is now driven by many sectors. Exports continue to fuel the economy's growth, especially in electronics, and investments in high technology industries, medical technology and pharmaceuticals are growing. Malaysia does export oil and gas and is profiting from high international energy prices, but the rising cost of fuel within the country is forcing authorities to decrease fuel subsidies. The GDP grew at a rate of 6.1% in 2007, higher than predictions from the previous year and has positively withstood setbacks such as political unrest in areas along the Thai border and health scares such as SARS. The country is moving forward with a policy of creating a strong knowledge base in the fields of technology, research and development. Free Trade Zones and high-spec technology parks have also been set up across the country to aid businesses and research companies. Tourism has helped fuel the steady economic growth. Over 19.1 million tourists visited Malaysia in 2007, nearly 20% more than the figures recorded for 2006.

statistics  
GDP (PPP) (IMF) (US$Billions) 357.4
GDP (PPP) (CIA) (US$Billions) 357.4
GDP Growth (IMF) (%) 6.3%
GDP Growth (CIA) (%) 6.3%
GDP Per Capita (PPP) (IMF) (US$) 13,315
GDP Per Capita (PPP) (CIA) (US$) 13,300
GDP Per Sector (%) Agriculture: 9.9%
Services: 44.8%
Industry: 45.3%
Inflation (%) 2.1%
Population Below the Poverty Line (%) 5.1%
Labour Force (Millions) 10.9
Labour Force by Occupation (%) Agriculture: 13%
Services: 51%
Industry: 36%
Unemployment (%) 3.2%
Main Industries Peninsula Malaysia: rubber and oil palm processing
and manufactoring, light manufactoring, electronics,
tin mining and smelting, logging, timber processing.

Sources: CIA world Factbook, IMF


 

GDP

economic indicators 2003 2004 2005 2006 2007
GDP (US$Billions) 104.0 118.5 130.4 149.0 186.5
GDP Growth (%) 4.2% 5.2% 7.1% 5.2% 6.3%
GDP Per Capita (US$) 4,161 4,651 5,042 5,643 6,947
GDP Per Capita (PPP) (US$) 10,185 10,902 11,543 12,404 13,300
Inflation (%) 1.9% 1.1% 1.3% 3.0% 2.1%
Unemployment (%) 3.8% 3.6% 3.0% 3.6% 3.2%
Foreign-Exchange
& Gold Reserves
(US$Billions)
44.6 55.3 70.2 82.3 104.8
Mobile Phone Users 5,000,000 11,124,100 11,124,100 19,545,000 19,464,000
Internet Users 5,700,000 8,692,100 8,692,100 11,016,000 11,292,000

Sources: CIA World Factbook,IMF


 

Major Exports & Imports

Foreign trade accounts for more than half of the country's GDP. The country's main exports are electronic goods and electrical machinery. With much of the domestic production based on manufacturing and exports, about three quarters of the country's main imports are used to produce its exports. Malaysia's main imports are electronics and machinery. Malaysia's main trading partners are the USA, Singapore and Japan.

Major exports 2007

Electronic equipment, petroleum, and liquefied natural gas, wood and wood products, palm oil, rubber, textiles, chemicals.

major imports 2007

Electronics, machinery, petroleum products, plastics, vehicles, iron and steel products, chemicals.

export partners % of total
US 18.8%
Singapore 15.4%
Japan 8.9%
China 7.2%
Thailand 5.3%
Hong Kong 4.9%
import partners % of total
Japan 13.3%
US 12.6%
China 12.2%
Sinagpore 11.7%
Thailand 5.5%
Taiwan 5.5%
South Korea 5.4%
Germany 4.4%
Source: CIA World Factbook
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