Malaysia PESTLE Insights - A Macroeconomic Outlook Report

Malaysia PESTLE Insights - A Macroeconomic Outlook Report

Summary

Mining, manufacturing and utilities activities contributed 34.3% to the gross value added (GVA) in 2022, followed by wholesale, retail and hotels (17.7%), and transport, storage and communications (10.9%). These sectors are expected to grow by 7.2%, 8.7% and 9.8%, respectively, in 2023.

Four major states (Penang, Kuala Lumpur, Kuching and Johor) contributed 61.2% of the country’s GDP in 2022 and comprised 35.5% of Malaysia’s population in 2022, according to GlobalData’s cities database.

Key Highlights

Overall, the KLCI index (the index comprises the largest 30 companies by full market capitalization on Bursa Malaysia's Main Board) has been exhibiting a decreasing trend over last year. As of March 24, 2023, the FTSE Bursa KLCI index stood at 1,403.6, compared to 1,599.0 on March 24, 2022.

Scope

• The Malaysian government allocated $20.43 billion for infrastructure construction in 2023. With this budget, a total of 7,615 development projects of all kinds are slated for completion in 2023, a 25.7% increase from 2022.

Reasons to Buy

• Macroeconomic Outlook Report identifies the potentials of the country as an investment destination by analyzing the political, economic, social, technological, legal and environmental (PESTLE) structure.
• PESTLE Insights provides 360 degree view of the economy which can be used as a strategic tool to understand the market dynamics, business potentials and direction of operations
• Along with providing the country’s snapshot, the report captures the risk factors pertaining to the macroeconomic risks, political environment, legal environment, demographic and social structure effectiveness, technology & infrastructure and natural and geographic aspects that might impact business.
• This report also highlights key clusters/cities which contribute significantly to the country GDP and population along with major companies’ presence in these areas.