Malaysia is Just 2 Years Away From Becoming a High-Income Nation

Looks like things could be going up for Malaysia in the near future, according to statistics!

According to Pascal Lamy, the former Director-General of the World Trade Organisation (WTO), Malaysia’s goal of becoming a high-income nation by 2020 is achievable, reports the Malay Mail Online.

The former WTO director-general’s prediction was based on the implementation of our nation’s long-term strategy.

On top of that, he cited how Malaysia’s policy-based politics, economics, education and social system coped with development challenges as other reasons why achieving high-income status by 2020 is highly possible.

Source: mmo

Lamy addressed this during a media briefing in Kuala Lumpur yesterday (4th January),

“Trade also plays an important part in growing the economy. The more you specialise in what you do better than others, the more you (can) grow your economy.”

“(The country needs) to focus on trade in the region and new markets such as the European market, which is the reason why the free trade agreement with the European Union has been on the agenda for some time.”

Source: world bank

The former director-general’s prediction is also similar to what was mentioned in the latest Malaysia Economic Monitor report by the World Bank. The report mentioned that our country is also set to pass the threshold of what defines a high-income nation sometime between 2020 and 2024.

According to the report, a high income nation is defined as a country that has a gross national income (GNI) per capita of at least US$12,236 (RM49,916.76). Malaysia’s GNI per capita for 2017 was estimated at US$9,660 (RM39,407.97), just RM10,000 below the criteria!

Source: world bank

According to Lamy’s media statement, he added that Malaysia needs to improve on the skills of its workforce through education in efforts to grow the country’s economy at a faster rate.

He also suggested that economic development should focus on expanding the welfare system in efforts for the government to address inequality and reduce social insecurity.

On top of that, he noted that developing the middle class would also greatly help the fight against corruption. The former Direcor-General stated that this step, along with proper regulation, more transparency and more rules on conflict of interest between business and politics, has proven to be effective in the fight against corruption.

Well, let’s see what the next couple of years have in store for us. Let’s hope we all get to benefit from this predicted increase!

Also read: Income Gap Biggest Between Rich and Poor M’sian Chinese, Study Shows