Malaysia

After a sustainable revival cycle since 2002 but the activity slackened in 2005 : GDP growth rate was 7.1% in 2004 and 5.5% in 2005. The IMF forecasts a 6% growth in 2006. Domestic demand and exports dynamism are two major growth factors.

Malaysia is characterized by its economy's large openness (foreign trade accounts for over twice the GDP) and favourable behaviour towards foreign investments (average customs tariff is lower than 8%). The most dynamic activity sector is electronics, given that the country is one of the world's major exporters of semi-conductors and electronic components. The economic activity relies on this sector and the country must find growth-generating new activities especially regarding the soaring competition between countries of this area.

Malaysia is classified among the world's very first largest producers of palm oil, cocoa and rubber. The country is also the leader exporter of tropical woods. The United States, Singapore and Japan are Malaysia's major trade partners. The country mainly imports manufactured products, machine tools and transport equipment.

Population

Main Cities Population Kuala Lumpur   1,300,000   Ipoh   383,000   Johore bahru   329,000   Malacca   296,000   Petaling Jaya   255,000   Penang   250,000   Total population (millions): 25.2 Source: World Bank 2004   Urban population: 64% Source: World Bank 2004   Average annual population growth: 1.7% Source: World Bank 2004   Surface area (km²) : 329,750   Population origin Origin of the population % Of the population Malay 60 % Chinese 32 % Indian 8 %