Despite what the doomsayers say, Malaysia’s economy continues to be strong and resilient and is expected to be on the uptrend over the next three to five years.
Although the world economy remains uncertain, the country’s economy continue to defy the odds.
Here’s why the Malaysian economy is expected to be strong in the next few years.
And we also take a look at how it will benefit the rakyat.
Economy is strong due to strong exports
Bernama said the the Malaysian economy is expected to be strong due to strong exports.
In its article on August 15, Bernama said the Malaysian economy is solid due to high demand for our products from all around world.
These include smart televisions, air conditioners, palm oil, engine oil and so many others.
Because of this, Malaysian exporters are doing well and they are able to pay the salaries of Malaysian workers.
The rakyat then brings home their salaries which is used for economic activities such as buying food and going to restaurants.
All these activities support our economy and make our country stronger.
Our economy is strong because China’s investment continue to pour into our country
IQI Global chief economist Shan Saeed said thanks to China’s Belt and Road Initiative, massive investments would continue to come into Malaysia.
He said Malaysia and China have already in November 2016 signed 14 memorandum of understandings worth RM143.6 billion relating to defence, agriculture, education, finance and construction sectors.
And in May this year, another nine business agreements were signed between Malaysia and Chinese companies with proposed investments worth RM31.3 billion.
Earlier this month, Prime Minister Datuk Seri Najib Razak launched the East Coast Rail Link.
All these investments have made the country’s economy stronger and its image brighter.
“Because of China’s Belt and Road Initiative, Malaysia will also receive a lot of investments from other countries around the world interested to join Malaysia’s and China’s partnership.
Our economy is strong because the government is stable
Malaysia’s economy is strong because there is political stability in the country.
The ruling party Barisan Nasional which governs the country is doing a good job to ensure that investors both local and international continue to come to Malaysia.
When the political scenario is not stable, the investors will be afraid and they will run away.
Thus it is important for all Malaysians to support the government to ensure investors focus their investment in Malaysia and this will ensure that our economy remains strong.
Malaysia’s economy is strong because the government support businesses.
Malaysia has a firm economy as the government has business friendly policies.
Malaysia after all is ranked by the World Bank as the sixth easiest country to do business.
Investors who come here get all sorts of incentives such as tax breaks and grants.
Because of this, investors such as Coca Cola, Kellogs, Hino, Saudi Aramco and so many others choose to invest in Malaysia.
This week, Ikea just announced that it will make Malaysia as its South East Asia hub.
This is important because investments will make our country economically robust.
And when the economy is steadfast, the rakyat will be okay.
Local companies also invest and this makes our economy great
It is not just international investors which supports our economy.
Local investors too can help make our economy stand tall.
Our companies and small medium scale enterprises SMEs also help make our economy great.
Local companies such as rubber glove maker Hartalega announced they are spending RM300 million to expand their business.
Felda Global Ventures meanwhile announced it will sell more palm oil to Japan.
With all the business activities happening, Malaysia’s economy will continue to be on an uptrend.
Our economy is strong because our cash reserves are solid
One of the indicators to show that our economy is solid is the Bank Negara Malaysia’s cash reserves.
The central bank announced on August 24 that the international reserves has climbed the US$100 billion level, its highest level in two years.
This shows that the economy is improving and exports are robust.
With a solid fundamental, the economy is expected to be firm in the next three and five years and this will augur well for the rakyat.