Despite transformation efforts, Malaysia has slipped one place from last year to rank number 78 out of 141 countries in the Economic Freedom of the World: 2011 Annual Report. In 2006, it was ranked 25 places higher at 53rd placing.

Fred McMahon, Vice President of International Research and Director of the Centre for Trade and Globalization Studies at The Fraser Institute, discusses why Malaysia's ranking has slipped and the key factors behind it.

Malaysia's scores in each measurement category this year, compared to last year are:

- Size of government: declined to 5.55 point from 5.96 points in the last year's report

- Legal structures and security of property rights: increased to 6.54 from 6.24

- Access to sound money: declined to 6.50 from 6.58

- Freedom to trade internationally: declined to 7.23 from 7.27

- Regulation of credit, labour and business: increased to 7.61 from 7.55

(The Index measures economic freedom from a scale of 0 to 10, with 0 being thelowest and 10 the best.)

Malaysia did well in the field of "Regulation of credit, labour and business", in fact, it's score is very close to that of the top ten in this category.

Malaysia's lowest ranking was in the size of our government. It could mean the bureaucracy is too bloated, in comparison to the size of the population. Even worse, we scored zero under the sub-category 'Government enterprises and investments'. This shows the level of government's involvement inthe economy through GLICs and GLCs is very worrying.

The Economic Freedom of the World: 2011 Annual Report is published by the Fraser Institute, in partnership with the Institute for Democracy and Economic Affairs (IDEAS) in Malaysia.

About Us

Terms & Conditions

Privacy Policy

FAQ

Contact Us

Careers

Advertise

Download The App

Car Sticker

Community

Copyright © BFM Media Sdn Bhd (200601017962)