Malaysia rises to 23rd in 2025 World Competitiveness Rank
KUALA LUMPUR: Malaysia has jumped 11 spots in the World Competitiveness Ranking (WCR) 2025 to 23rd place -- its best ranking since 2020 -- reflecting the progressive momentum in the country's economic recovery and reform agenda.
The Ministry of Investment, Trade and Industry (MITI) said the latest ranking, up from 34th last year, also reaffirmed the nation's trajectory towards becoming one of the world's top 12 most competitive economies by 2033 as targeted under the MADANI Economy framework.
'Economic performance, government efficiency and business efficiency factors drove Malaysia's overall competitiveness performance,' it said in a statement today.
Malaysia ranked fourth globally in economic performance, improving four spots from eighth place last year. Both government efficiency and business efficiency factors improved by eight positions.
MITI said the international trade sub-factor increased 11 places to sixth, as strong export growth in goods and services, diversified markets, and rising tourism receipts strengthened Malaysia's trade surplus.
The ministry also expressed confidence that with strong governance, continuous commitment from the federal and state governments and close cooperation with the private sector, Malaysia is on the right path to position itself among the world's 12 most competitive economies by 2033.
Commenting on the WCR 2025 ranking, MITI Minister Tengku Datuk Seri Zafrul Abdul Aziz said the government's whole-of-government approach under the MADANI framework demonstrated its commitment to holistic structural reforms.
'Malaysia's move up the rankings by 11 positions to 23rd from 34th last year reflects how bureaucracy-related reforms are closely intertwined with facilitating robust investment and industrial growth, both critical for enhancing Malaysia's attractiveness as a preferred investment destination,' he said.
MITI, through the National Competitiveness Committee (JKDSN) – co-chaired with Finance Minister II Datuk Seri Amir Hamzah Azizan – coordinates the strategic direction across ministries to enhance Malaysia's competitiveness.
At the operational level, the Special Taskforce on Agency Reform (STAR), led by the Chief Secretary Tan Sri Shamsul Azri Abu Bakar, ensures effective implementation of competitiveness initiatives, including over 1,000 Reformasi Kerenah Birokrasi (RKB) projects aligned to the Public Service Reform Agenda (ARPA).
The WCR is published annually by the Institute for Management Development based in Switzerland.
It is a comprehensive report that evaluates countries based on their ability to create and maintain a business-friendly environment that fosters long-term prosperity.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
The Star
19 minutes ago
- The Star
Fahmi Fadzil kicks off official visit to Penang
GEORGE TOWN: Communications Minister Datuk Fahmi Fadzil begins his two-day official working visit to Penang on Monday (June 30). He began by attending the main committee meeting for Malaysia Day 2025 (HM2025) at Komtar. The meeting discussed the implementation of the Malaysia Day 2025 celebration, which would be held in Penang this September. Fahmi also paid a courtesy visit to the Chief Minister Chow Kon Yeow. He was then expected to visit the site of the Malaysia Day celebration at Penang International Convention, Cultural and Arts Centre (PICCA) at 2pm. He would then visit the National Information Dissemination Centre (Nadi) in Kubang Semang at Yayasan Aman at 4 pm, where he was scheduled to hold a press conference. Fahmi would also visit the Safe Internet Campaign at Sekolah Menengah Pendidikan Khas Bumbung Lima at the same location. At 5pm, he would meet the Madani community at the hall of Yayasan Aman. On Tuesday (July 1), Fahmi would attend the Di Mana Ada Jalan Di Situ Ada Internet programme at 9am in Gerak Sanggul. Fahmi arrived in Penang on Sunday, June 29, for a closed-door meeting with state PKR leaders at a hotel. Among the issues discussed during the closed-door meeting were Sales and Service Tax (SST), Nadi, Community Information Centre, and Malaysia's 13th Plan.
New Straits Times
an hour ago
- New Straits Times
Japan factory output rises, but slower than expected as US tariffs threat looms
TOKYO: Japanese factory output rose at a slower-than-expected pace in May, government data showed on Monday, as sweeping US tariffs were threatening to derail the country's already fragile economic recovery. Industrial output rose 0.50 per cent in May from the previous month, data from the Ministry of Economy, Trade and Industry (METI) showed, less than a median market forecast for a 3.50 per cent rise. Manufacturers surveyed by METI expect seasonally adjusted output to rise 0.30 per cent in June and fall 0.70 per cent in July. "It's necessary to pay close attention to the worsening trend in sentiment (among manufacturers on) production planning," a METI official said. Tokyo is scrambling to find ways to get Washington to exempt its automakers from automobile industry-specific tariffs of 25 per cent, which are severely impacting the country's manufacturing sector. Japan also faces a 24 per cent "reciprocal" tariff rate starting on July 9 unless it can negotiate a deal with Washington. Motor vehicle production went up by 2.50 per cent and shipments jumped 10.50 per cent in May from a month prior, the data showed. Some manufacturers had moved up their shipments because of the tariffs, the METI official said. The number of firms mentioning that the tariffs had an impact on their production or shipment increased slightly from April, the official said. "Exports are likely to remain sluggish and production indices are expected to continue to show weakness in response to the global economic slowdown," said Yutaro Suzuki, an economist at Daiwa Securities. The hit from US tariffs could derail a lacklustre recovery in Japan's economy, the world's fourth largest. The economy shrank in January–March, the first contraction in a year, due to subdued private consumption. The US tariffs also complicate the Bank of Japan's efforts to raise still-low interest rates and reduce a balance sheet that has ballooned to roughly the size of Japan's economy. "The poor run of data will keep the central bank on hold for the time being," said Stefan Angrick, head of Japan and Frontier Markets Economics at Moody's Analytics. "Until there's progress on US-Japan trade, Japan's manufacturers will remain in the doldrums, with few clear sources of support."
New Straits Times
2 hours ago
- New Straits Times
'No cracks in PKR': Rafizi, Nik Nazmi quit Cabinet, not party — Saifuddin
PUTRAJAYA: PKR election director Datuk Seri Saifuddin Nasution Ismail has downplayed concerns over ministers resigning following the party's recent electoral setbacks, saying the party has endured far more turbulent times and emerged stronger. "When reflecting on what has happened within PKR, it is important to recall that we initially began as the Madani civil society movement. At that time, people gave us just three months before saying we would fail," he told Berita Harian in a special interview. Saifuddin added that PKR's own founding was met with scepticism and yet it contested and won five parliamentary and state assembly seats. "In 2004, we only held onto Permatang Pauh, but by 2008 we had become the largest opposition with 33 seats," he added. Recalling the aftermath of the Sheraton Move, Saifuddin said the party was thought to be on the verge of collapse as people such as Datuk Seri Mohamed Azmin Ali and Datuk Zuraida Kamaruddin were not minor figures. "Still, we got back on our feet, reorganised, and carried on," he added. He said PKR has experienced all manner of political upheavals and internal shifts and, while outsiders may panic, the party had always been able to recover. On the resignations of Datuk Seri Rafizi Ramli and Nik Nazmi Nik Ahmad from their Cabinet positions, Saifuddin said these should not be conflated with party desertions. "Rafizi did not leave the party. He merely stepped down from his ministerial post out of principle. That is all, and we respect that. "The same goes for Nik Nazmi—he did not leave the party. He stepped down as a minister but remains within the party," he added. Saifuddin highlighted that what mattered most was that PKR members and leaders had clarity on the party's direction. "Most importantly, we give our assurance to our partners in the unity government that what is happening is part of PKR's political dynamics, and we remain committed to staying in government," he added. On May 28, Nik Nazmi, who is the natural resources and environmental sustainability minister, announced that he had submitted his resignation letter to Prime Minister Datuk Seri Anwar Ibrahim, effective July 4. His announcement came about three hours after Datuk Seri Rafizi Ramli announced his resignation as economy minister effective June 17.
