A macroeconomic overview of Malaysia
In the last couple of years, Malaysia has experienced increasing growth rates with an average GDP growth of 4.7 per cent in 2013 and 5.9 per cent in 2014. Malaysia experienced a modest slowdown in 2009, due to the slowdown of the world economy, before staging a strong recovery in later years, as real GDP rose steadily in 2012 and 2013.
In the third quarter of 2015 the Malaysian economy grew 4,7%, mainly driven by the private sector expenditure, with a rise in both private consumption and private investment. The public sector registered an increase in investment in the third quarter of 2015. While the agriculture sector growth moderated, primarily due to the slow palm oil output, the construction and manufacturing sector remained strong and saw an expansion in the third quarter of 2015.
Exports in Malaysia rose in 2015 reaching an all time high in September 2015 and continued to give Malaysia a consecutive trade surplus. On the import side Malaysia likewise experienced an increase, and overall both exports and imports grew faster than expected.
Malaysia has a deep bond market, when compared with most of its peers, which reduces its reliance on external financing. Generally pragmatic economic policies and the government's efforts to enhance transparency and corporate governance have improved Malaysia's business environment.