• MAIN NATURAL RESOURCES

Rubber, palm oil processing and manufacturing, processing timber, lumber, petroleum
production and refining, natural gas and tin mining and smelting
-The Malaysian Government’s application of the concept of sustainable forest
management, efforts are also being made in undertaking activities in research and
development, design initiatives and marketing.
Malaysia has an abundance of mangrove forests found along its coastline.

• MAIN INDUSTRY:
Electrical and Electronic Goods are the main industry, responsible for nearly two-thirds
of total industrial exports. Electrical and electronic exports earned a total of 189.4bil
(56%) of Malaysia's total exports.
• MAIN EXPORTS:
Electronic equipment, petroleum and liquefied natural gas, wood and wood products
palm oil, rubber, textiles
NATURAL GAS RESERVES: 2.35 TRILLION CU M (2008)
NATURAL GAS EXPORTS: 31.6 BILLION CU M (2007)
NATURAL GAS IMPORTS: 0
• EXPORT PARTNERS:
US 15.6%, SINGAPORE 14.6%, JAPAN 9.1%, CHINA 8.8%, THAILAND 5%,
HONGKONG 4.6%
• MAIN IMPORTS:
Machinery, plastics, vehicles, iron and steel products and chemicals
• IMPORT PARTNERS:
JAPAN 13%, CHINA 12.9%, SINGAPORE 11.5%, US 10.8%, TAIWAN 5.7%,
THAILAND 5.3%, SOUTH KOREA 4.9%, GERMANY 4.6%, INDONESIA 4.2%
• BRIEF HISTORY
During the late 18th and 19th centuries, Great Britain established colonies and
protectorates in the area of current Malaysia; these were occupied by Japan from 1942 to
1945. In 1948, the British-ruled territories on the Malay Peninsula formed the Federation
of Malaya, which became independent in 1957. Malaysia was formed in 1963 when the
former British colonies of Singapore and the East Malaysian states of Sabah and Sarawak
on the northern coast of Borneo joined the Federation. The first several years of the
 country’s history were marred by a Communist insurgency, Indonesian confrontation
with Malaysia, Philippines claims Sabah, and Singapore’s secession from the Federation
in 1965.
• PRESENT ADMINISTRATION
-Prime Minister Najib Tun Razak started his term on April 2009. The first 100 days of
Najib focus on domestic economic issues and long-standing political reform.
-His terms focus on service sector and financial sector.
-Najib announced immediate liberalization of 27 service sub-sectors, covering health and
social services, tourism services, transport services, business services and computer and
related services accounting for 5 percent of the total employment in Malaysia.
-On April 27, 2009, Najib a package of measures to liberalise the financial sector
including raising the equity in investment and Islamic banks and insurance and Takaful
firms to 70% from 49%.

• KEY PLAYEERS IN ECONOMY OR POLITICS

• Mahathir bin Mohamad was born July 10, 1925 and a retired Malaysian political
figure. He was the fourth Prime Minister of Malaysia. He held the post for 22 years from
1981 to 2003, making him Malaysia's longest-serving Prime Minister, and one of the
longest-serving leaders in Asia.[During his term in office, he was credited for engineering
Malaysia's rapid modernisation.[Mahathir is also known for his criticisms towards
western and developed countries.
• During his administration, he was considered to be one of Asia's most influential leaders.
[
Mahathir is also noted in the Western world as an outspoken critic of Western-style
globalization.

• Abdullah bin Haji Ahmad Badawi (born 26 November 1939) is a Malaysian politician
who served as Prime Minister from 2003 to 2009. He was also the President of the United
Malays National Organisation (UMNO), the largest political party in Malaysia, and led
the governing Barisan Nasional parliamentary coalition.
• In the 2004 general election, Abdullah scored a significant victory. In the 2008 general
election, the Barisan Nasional won a slim majority of seats, thus enabling Abdullah to
remain in office as Prime Minister. He stepped down in favor of his successor, Najib Tun
Razak, during the UMNO General Assembly held on 1 April 2009.
• He promoted the concept of “Islam Hadhari” or “Civilizational Islam” and emphasized
the importance of education, social harmony and economic progress.
• On 3 April 2009, he was succeeded by Najib Tun Razak as Prime Minister.
• MAJOR ACCOMPLISHMENTS OF THE COUNTRY

-The Malaysian New Economic Policy with the aim of bringing Malays a 30% share of
the economy of Malaysia and eradicating poverty among Malays, primarily through
encouraging enterprise ownership by Bumiputeras or “sons of soil”.

-Prime Minister Mahathir Bin Mohamad made Malaysia successful in diversifying its
economy from dependence on efforts of raw materials to expansion in manufacturing,
services and tourism.

• PRESENT CONCERNS/PROBLEMS OF THE COUNTRY

-SMUGGLING & HOARDING, are prominent problem in Malaysia

Example: cooking oil is subsidised for domestic use only. This situation creates an
environment where industrial players hoard domestic cooking oil for industrial use.

-Vehicles in Thailand come to Malaysia to smuggle cheap petrol and diesel out of the
country.

-The Malaysian government raised the price of petrol by 41% from MYR1.92 to MYR
2.70 (87 cents) a liter, or 10.23 Ringgit ($3.30) a gallon.

-REFUGEES

Malaysia hosts a population of refugees and asylum seekers numbering approximately

155,700. Approximately 70, 500 refugees and asylum seekers are from the Philippines,
69,700 from Burma and 21,800 from Indonesia. The U.S Committee for Refugees and
Immigrants named Malaysia as one of the Ten Worst Places for Refugees on account of
the country’s discriminatory practices toward refugees.

• DIRECTION OF THE COUNTRY

-The government estimates that at current production rates Malaysia will be able to
produce oil up to 18 years and gas for 35 years. Malaysia is ranked 24 th in terms of world
oil reserves and 13th for gas.

-Ninth Malaysia Plan economic blueprint and its Vision 2020 target to be a first-world
economy. The plan highlights five thrusts for Malaysia to move forward economically.
[
These thrusts are:

1. To move the economy up the value chain

2. To raise the capacity for knowledge and innovation and to nurture a 'first class mentality'
3. To address socio-economic inequalities constructively and productively
4. To improve the standard and sustainability of quality of life
5. To strengthen institutional and implementation capacity
 Infrastructure

• RM28.6 bil savings from privatisation

• RM10 bil for Iskandar Region Development Authority (IRDA)
• RM3.5 bil for building and upgrading rural roads
• RM2 bil for biotechnology (physical and soft infrastructures)
• RM1 bil for upgrading and extension of KKIA, second low cost hub for Malaysia
• Second bridge and monorail for Penang island
• Additional runway and satellite building for KLIA
• Double tracking at selected priority stretches
• An upgraded works of Pasir Gudang Highway and the construction of JB Eastern
Dispersal Link

Health

• RM10.28 bil for disease prevention

• RM2.3 bil for setting up National Institute of Cancer, National Forensic Institute and
National Institute for Oral Health
• Eight new hospitals to be built...

Environment

• RM510 mil for cleaning, preserving and beautifying rivers

• RM4 bil for flood mitigation projects

Agriculture

• RM4.4 bil for modernising agriculture farming

• RM2.6 bil for support services
• RM1.5 bil for agricultural irrigation programmes
• Revitalising cocoa industry
• RM1 bil for growing more trees

Education

• RM 690 mil for teachers' accommodation or housing quarters

• RM 143 mil quarters in remote areas of Sabah & Sarawak
• Universities for the states of Terengganu and Kelantan
• 180 primary, 229 secondary and full boarding schools to be built

Culture, arts and heritage

• RM11.62 mil less for culture

 • OPPORTUNITIES TO BE EXPLORED

-TOURISM IN MALAYSIA

• INTERNATIONAL CONFLICTS

-Malaysia has asserted sovereignity over the Spratly Islands together with China,
Philippines, Taiwan, Vietnam and Brunei.

-Disputes continue to over fresh deliveries of fresh water to Singapore’s land

reclamation, bridge construction, and maritime boundaries in the Johor and Singapore
Straits.

-Philippines retains a dormant claim to Malaysia’s Sabah State in Northern Borneo

-Piracy remains a problem in the Malacca Strait

• THREATS TO THE FUTURE

-ETHNIC CLASHES

Communalism has always been the salient feature of the Malaysian political system.
Reciprocal mistrust and fear are quite general between them. Each community feels that
it has been deprived by the other.

-INCREASED NUMBER OF ILLEGAL WORKERS

Malaysia has 10% to 20% foreign workers with the uncertainty due in part to the number
of illegal workers. The state of Sabah alone has nearly 25% of its 2.7M population.

• EVENTS-GLOBAL IMPACT

-HUMAN TRAFFICKING

Malaysia is primarily a destination but also a source country for human trafficking. The
traffickers are reportedly organized crime syndicates.

-CURRENT FINANCIAL CRISIS

Some have pointed out Malaysians will be cushioned from job losses by the presence of
these migrant workers who could be the first to lose their jobs.