KUALA LUMPUR: The Government will continue to intensify its efforts in the pillars of macroeconomic environment, labour market efficiency and technological readiness despite having reached the 20th spot in the world economic competitiveness ranking.
Malaysia Productivity Corp director-general Datuk Mohd Razali Hussain said this was Malaysia’s best position so far.
“Macroeconomic environment recorded a drop of six places to 44th position from 38th last year. Our area of concern is the government budget balance and general government debt.
“On technological readiness, Malaysia declined nine places to 60th position from 51st previously,” he told reporters after unveiling the country’s ranking yesterday.
“We will hold discussions with various ministries and agencies to improve Malaysia’s position in the three pillars, as well as hold more engagements with the business community.”
He also proposed to set up a state-level competitiveness report within the next three to four years.
“The ranking will motivate us to do better in areas that we are not good at,” he added.
International Trade and Industry Minister Datuk Seri Mustapa Mohamed had attributed Malaysia’s move up to its sound institutional environment.
The World Economic Forum (WEF), in its Global Competitiveness Report 2014-2015, surveyed 144 economies in total.
Malaysia, which was ranked 24th previously, remained the highest-ranked among developing Asian economies, he said.
“It is also the second most competitive economy among the 24 countries, moving from an efficiency-driven to innovation stage of development,” he said, adding that Malaysia was ahead of developed economies such as Austria (21), Australia (22), France (23) and South Korea (26).
“Among Asia-Pacific countries, Malaysia has improved to sixth position out of 28 countries, compared with seventh in the previous year,’’ he added.
Mustapa said the ranking was assessed by 114 criteria organised into 12 pillars, with the biggest improvement in institutional environment followed by financial market development.
Prime Minister Datuk Seri Najib Tun Razak commended those who took various measures to improve Malaysia’s global competitiveness ranking.
“We climbed up four ranks thanks to our collective effort,” he tweeted yesterday.