Malaysia Businessforecast Industry Forecast

The Malaysia Business Forecast Report provides essential macroeconomic, political and financial analysis for companies doing business in Malaysia. The Malaysia Business Forecast Report helps businesses with Malaysian market assessment, strategic planning and decision making to promote growth and profitability in Malaysia and is an essential tool for CEOs, Chairmen, Finance Directors/CFOs, Managing Directors, Marketing/Sales Directors with commercial interests in this emerging market.

An influential new analysis of Malaysia's political, economic and financial prospects through end-2012, just published by award-winning forecasters, Business Monitor International.

 

 

 

Key Uses of the Malaysia Business Forecast Report | Malaysia's Political Outlook | Malaysia's Economic Outlook | Malaysia's Business Environment | Key Malaysia Industry Sectors | Malaysia BMI's Executive Summary | Our Asia Subscribers | Full Range of BMI's Business Forecast Reports

Key Uses for the Malaysia Business Forecast Report

  • Forecast the pace and stability of Malaysia's economic and industry growth through end-2012
  • Identify and evaluate adverse political and economic trends in Malaysia, to facilitate risk mitigation strategies
  • Assess critical shortcomings of Malaysia's business environment that pose hidden barriers and costs to corporate profitability
  • Contextualise Malaysia's country risks against Asia regional peers using BMI's country comparative risk ratings system
  • Target business opportunities in Malaysia's high-growth industry sectors
  • Evaluate external threats to doing business in Malaysia, including currency volatility, the commodity price boom and protectionist policies

The Malaysia Business Forecast Report by Business Monitor International includes four major sections: Malaysia's Political Outlook, Malaysia's Economic Outlook, Malaysia's Business Environment and Malaysia's Key Industry Sectors.

Malaysia's Political Outlook:

What are the political risks to doing business in Malaysia over the next 5 years?

BMI's Malaysia Country Risk Ratings evaluate the short and medium-term threats posed by government instability, adverse economic policy-making, deterioration in the business environment and external shocks.

Malaysia Political Outlook Contents

  • SWOT Analysis for the Malaysian Market
    Political Strengths, Weaknesses, Opportunities and Threats facing Malaysia.
  • Political Stability and Risk Assessment for Malaysia
    BMI's Risk Ratings assess explicit short and long-term risks to political stability; latest ratings, rankings and trends for Malaysia's risk are compared with Asia regional and global averages.
  • Current Administration and Policy-making in Malaysia
    BMI profiles key policy-makers and power-brokers in the Malaysian government, assessing threats to the continuity of Malaysian economic policy, and likely changes to the business operating environment through end-2012.
  • Malaysian Foreign Policy
    BMI examines key trends and shifts in Malaysia's foreign relations and alignments with Asia neighbours, the United States and Europe, focusing on external influences.

Key Benefits

  1. Benchmark Malaysia's risk profile against its neighbours, the global and regional average, allowing easy comparison of risks between key business markets.
  2. Identify, evaluate and anticipate political and security risks to the business environment in Malaysia, and to your company's current operations and future plans.
  3. Gain valuable insights into the Malaysian government and policy-making, through BMI's specialist team of analysts and economists, and their exclusive network of private and public sector sources.

Malaysia's Economic Outlook:

How will Malaysian economic policy-making and performance impact corporate profitability over 2008-12?

BMI provides fully independent 5-year forecasts for Malaysia through end-2012 for more than 35 macroeconomic variables. We evaluate Malaysian growth, and also forecast the impact of economic management, including central bank policy, on profitability.

Malaysia Economic Outlook Contents

The Malaysia Business Forecast Report features explicit BMI economic forecasts for Malaysia, with supporting commentary and analysis, for end-2008, 2009, 2010, 2011 and 2012 set against Malaysian government views. Underpinning our Malaysia forecasts are key assumptions for the global economy through end-2012, covering growth, inflation, employment, trade and investment, interest and exchange rates in the US, Japan and the Euro-zone.

Coverage of Key Economic Issues in Malaysia

  • Economic Activity in Malaysia
    Real GDP growth; industrial growth; employment growth; inflation and consumer prices; consumption (indicative wages, retail sales, consumer confidence)
  • Fiscal Policy in Malaysia
    Current macroeconomic strategy and implementation policies; government finance (revenue, expenditure, budget balance); tax reforms
  • Monetary Policy in Malaysia
    Interest rate trends (bank lending and deposit rates); inflation (retail price inflation, consumer price inflation); exchange rate policy in Malaysia; Malaysian currency controls; influence of foreign direct investment inflows; exchange rates and foreign exchange reserves
  • Balance of Payments in Malaysia
    Merchandise trade (exports, imports, trade balance); current account balance
  • Foreign Direct Investment in Malaysia
    Foreign direct investment approvals and inflows; the foreign investment climate
  • Malaysian External Debt
    Debt profile (short- and long-term debt; public and private sector exposure)

Key Benefits

  1. Rely upon BMI's 100% independent Forecast Scenarios for Malaysia and underlying assumptions - we take no advertising and are privately-owned.
  2. Exploit the benefits of BMI's comprehensive and reliable macroeconomic Malaysia database, sourced and fully maintained by BMI from an extensive network of private sector, government and multilateral contacts.
  3. Gain key insights into the current and future direction of Malaysian government economic policy

Malaysia's Business Environment:

How internationally competitive is Malaysia's regulatory environment, and what changes can be expected?

BMI assesses levels of transparency, flexibility of labour market, tax burden, development of the banking sector and credit availability, infrastructure and IT, foreign investment regime and trade liberalisation in Malaysia.

Malaysia Business Environment Contents

  • Malaysia's Business Environment Risk Rating with SWOT Analysis
    Short and long-term business environment risk ratings for Malaysia, benchmarked against ratings for Asia and neighbouring countries.
  • Country Competitiveness for Malaysia
    Competitiveness of Malaysia's business operating environment in supporting corporate growth and profitability over the 5-year forecast horizon, compared with regional neighbours.

Coverage of Key Business Environment Issues in Malaysia's Domestic Environment

Transparency, cronyism and corruption; labour market flexibility; corporate tax burden; interest rate levels; access of private sector to lines of credit; sophistication of banking sector and stock market; levels of business confidence; infrastructure and IT

  • Foreign Direct Investment in Malaysia
    Analysis of foreign investment regime, foreign ownership laws; attractiveness of business environment to foreign investors; review of major foreign direct investments over the last 24 months, and of strategic sectors attracting most interest
  • Foreign Trade with Malaysia
    Analysis of trading environment, government trade policy, liberalisation measures, tariffs and membership of trade areas

Malaysia's Key Industry Sectors

Which industry sectors in Malaysia will grow fastest, and where are the major investment opportunities in the Malaysian market?

BMI targets investment opportunities in Malaysia's high growth industries, including automotives, food and drink, infrastructure, oil and gas, pharmaceuticals and healthcare, telecommunications and IT.

Coverage of Malaysia's Key Industry Sectors - Malaysian Market Overview

Size, value and structure of industry; impact of liberalisation and privatisation on sector performance and prospects; friendliness of business environment

  • Latest Developments in Malaysia
    Review of latest projects, deals, privatisations, mergers and acquisitions, and implications for sector performance; company rankings for national and multinational companies in Malaysia; main industry players by local sales, employee size, market share and main brands, products and services
  • 5-year Industry Forecast for Malaysia
    Historic dataset (2003-2007) and BMI forecasts through end-2012, covering headline industry data broken out by sub sector

Key Benefits

  1. Target strategic sector-by-sector opportunities in Malaysia's high growth industries, attracting public expenditure and foreign investment; identify key players and competitors driving growth, investment and business opportunities.
  2. Benefit from competitive intelligence on top national and multinational companies operating in Malaysia's major industry sectors, including analysis of recent trends in sales and market share, company strategies, product launches and latest deals.

Who buys the Asia Business Forecast Reports?

The Malaysia Business Forecast Report is an essential tool for CEOs, Chairmen, Finance Directors/CFOs, Managing Directors, Marketing/Sales Directors with commercial interests in Malaysia.

Our Business Forecast Reports are relied upon by corporates, banks, government departments and multinational organisations around the world.

Business Monitor International's Business Forecast Report subscribers include:

3M Gulf Limited, ABN AMRO Bank, Air Liquide (Thailand) Ltd, Akzo Nobel China, Alcatel-Lucent, Alstom, American Embassy, American Express Bank Ltd, Bank of Central Asia, BNP Paribas, Atlas Copco, Bayer Cropscience, China Hewlett Packard Co. Ltd, Coca-Cola Far East Limited, Colgate Palmolive (Thailand) Limited, Cadbury Confectionery Malaysia Sdn. Bhd, Daewoo Electronics (M) Sdn Bhd, Honeywell (China) Co., Ltd, Hewlett Packard (Thailand) Ltd, Nestle (Thai) Ltd, Philips Electronics India Limited, Rio Tinto Korea Ltd., Siemens Ltd., Standard Chartered Bank, Volkswagen Group Malaysia Sdn Bhd, Volvo Truck & Bus (Thailand) Co Ltd 

 

" The Macroeconomic Overview and Executive Summaries are some of the most accurate available and are useful in planning future business objectives and targets. The 'deep dive' approach to economic outlook is also very useful. "
General Manager, Abbott Laboratories (M) Sdn Bhd, Malaysia.

BMI's Executive Summary for Malaysia

[TOP]

Diversifying Economy Still A Key Challenge

Economic growth looks set to remain at 5.5% in 2008 and 2009, as private consumption continues to pick up, the country's service sector helps compensate for a downturn in manufacturing exports and government spending increases. However, we recognise that a sharper-than-expected economic slowdown in the US remains a key downside risk to our forecast. Malaysia's economy still remains heavily dependent upon the key export sector, and in particular, the US consumer market, meaning that it is vulnerable to an economic downturn in the US. We are forecasting real GDP growth in the US of 2.1% in 2008 before accelerating to 2.7% in 2009, after projected growth of just 2.0% in 2007, but we realise that risks exist to the downside.

Malaysia's ongoing crackdown on illegal immigration is attracting mounting international criticism after the latest high profile incident involving Malaysia's controversial People's Volunteer Corps, RELA. The latest incident involving RELA – which in 2005 was awarded powers to make arrests, conduct house searches, and in some cases, bear arms – has elicited an angry response from Jakarta after volunteers wrongly detained the wife of an Indonesian diplomat. RELA continues to attract scorn from human rights groups, and plans by the Malaysian government to increase its powers are likely to further cool already frosty relations with regional neighbours.

Malaysia's government continues to press ahead with prudent economic reforms, announcing in its 2008 budget that it will further reduce the country's fiscal deficit, while still fostering economic growth. Most positive perhaps was the unveiling of a number of initiatives aimed at diversifying the economy away from reliance upon exports. Increased spending on agriculture, and a number of programmes to improve the country's business environment should help ensure economic growth remains robust throughout our five-year forecast period. However, with inflationary pressures likely to persist, the central bank is unlikely to be able to aggressively cut rates in order to promote growth.

Demand for shari'a compliant financial products continues to race ahead, with global sukuk issues estimated to top US$40bn in 2007. While the Middle East remains the dominant force in Islamic finance, many Asian countries are now looking to expand their financial operations to tap into rapidly expanding market, and Malaysia is leading the charge. Malaysia is presently the world's largest single Islamic bond market, worth around US$45bn, and its ambition to establish itself as a key centre of shari'a compliant finance was further boosted recently after the government unveiled a number of initiatives to promote Islamic financial services in the country in its budget for 2008

Read about our other Business Forecast Reports  

Asia

Australia, Bangladesh, China, Hong Kong, India, Indonesia, Malaysia, Pakistan, Philippines, Singapore, South Korea, Sri Lanka, Taiwan, Thailand, Vietnam

Europe

Bosnia & Herzegovina, Bulgaria, Caucasus, Croatia, Cyprus, Czech Republic, Estonia, Greece, Hungary, Kazakhstan & Central Asia, Latvia, Lithuania, Macedonia, Poland, Romania, Russia, Serbia, Slovakia, Slovenia, Turkey, Ukraine

Middle East

Bahrain, Iran, Iraq, Israel, Jordan, Lebanon & Syria, Kuwait, Oman & Yemen, Qatar, Saudi Arabia, UAE

Africa

Angola, Botswana, Cameroon, Cote d'Ivoire, Egypt, Ethiopia, Francophone West Africa, Ghana, Kenya, Mozambique, Namibia, Nigeria, North Africa, South Africa, Sudan, Tanzania, Uganda, Zambia, Zimbabwe

North & South America

Argentina, Brazil, Chile, Colombia, East Caribbean, Mexico, Peru, Trinidad & Tobago, Venezuela, West Caribbean

 

Business Monitor International

Business Monitor International
A Market Leader in Country Risk, Industry Intelligence and Company Research

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BUSINESS MONITOR INTERNATIONAL's country risk analysis and forecasts, market research on leading industries, and multinational company research is relied upon by corporates, banks, government departments and multilateral organisations in over 125 countries around the world.

Country Risk Analysis and Forecasts
BMI
has for 25 years specialised in political risk analysis, financial markets analysis, and macroeconomic forecasts on 175 global markets.

Industry Intelligence and Market Research
BMI's industry research covers Automotives; Banking; Chemicals; Defence & Security; Food & Drink; Freight Transport; Information Technology; Infrastructure; Insurance; Mining; Oil & Gas; Petrochemicals; Pharmaceuticals & Healthcare; Power; Telecommunications, and Tourism.

Company Research
BMI maintains a fully-researched 55,000-site database of multinational company subsidiaries located across global markets.