Malaysia, a middle-income country, transformed itself from 1971 through the late 1990’s from a producer of raw materials into an emerging multi-sector economy. Growth was almost exclusively driven by exports - particularly of electronics. As a result, Malaysia was hard hit by the global economic downturn and the slump in the information technology (IT) sector in 2001 and 2002. GDP in 2001 grew only 0.5% due to an estimated 11% contraction in exports, but a substantial fiscal stimulus package equal to US $1.9 billion mitigated the worst of the recession and the economy rebounded in 2002 with a 4.1% increase. The economy grew 4.9% in 2003, notwithstanding a difficult first half, when external pressures from SARS and the Iraq War led to caution in the business community. Growth topped 7% in 2004. Healthy foreign exchange reserves, low inflation, and a small external debt are all strengths that make it unlikely that Malaysia will experience a financial crisis similar to the one in 1997. The economy remains dependent on continued growth in the US, China, and Japan, top export destinations and key sources of foreign investment.
Labor force:
10.49 million (2004 est.)
Labor force - by occupation:
Agriculture 14.5%, Industry 36%, Services 49.5% (2000 est.)
Peninsular Malaysia - rubber and oil palm processing and manufacturing, light manufacturing industry, electronics, tin mining and smelting, logging and processing timber; Sabah - logging, petroleum production; Sarawak - agriculture processing, petroleum production and refining, logging
Electricity - production:
75.33 billion kWh (2002)
Electricity - consumption:
68.4 billion kWh (2002)
Electricity - exports:
70 million kWh (2002)
Oil - production:
785,000 bbl/day (2004 est.)
Oil - consumption:
460,000 bbl/day (2003 est.)
Oil - exports:
230,200 bbl/day (2003)
Natural gas - production:
53.66 billion cu m (2001 est.)
Natural gas - consumption:
31.25 billion cu m (2001 est.)
Natural gas - exports:
22.41 billion cu m (2001 est.)
Exports - commodities:
Electronic equipment, petroleum and liquefied natural gas, wood and wood products, palm oil, rubber, textiles, chemicals
Exports - partners:
US 18.8%, Singapore 15%, Japan 10.1%, China 6.7%, Hong Kong 6%, Thailand 4.8% (2004)
Imports:
$99.3 billion f.o.b. (2004 est.)
Imports - commodities:
Electronics, machinery, petroleum products, plastics, vehicles, iron and steel products, chemicals
Imports - partners:
Japan 16.1%, US 14.6%, Singapore 11.2%, China 9.9%, Thailand 5.6%, Taiwan 5.5%, South Korea 5%, Germany 4.5%, Indonesia 4% (2004)
Currency:
Ringgit (MYR)
Exchange rates:
Ringgits per US dollar - 3.8 (2004), 3.8 (2003), 3.8 (2002), 3.8 (2001), 3.8 (2000)
