Malaysia consists of two regions: Peninsular Malaysia, situated between Thailand and Singapore, and the states of Sabah and Sarawak on Borneo. Peninsular Malaysia lies just above the equator, while Borneo is just below it. Borneo is shared with Indonesia (called Kalimantan) and Brunei, and borders the Philippines to the north by sea.
79%
Urban population (2023)
21%
Rural population (2023)
52.4%
Male (2023)
47.6%
Female (2023)
10%
Baby boomer (2023)
17%
Gen X (2023)
27%
Gen Y (2023)
26%
Gen Z (2023)
70.10%
Participation rate (2023)
96.7%
Employment rate (2023)
48.2%
Labour force at SMEs (2022)
25.5%
High-skilled labour ratio (2017)
US$ 1485
Monthly average income (2023)
16.2%
Attrition rate (2023)
10%
Employment in Agriculture (2022)
28.10%
Employment in Industry (2022)
61.90%
Employment in Services (2022)
Economic profile
Malaysia ranks as the
-largest economy in the world
US$ 415.6B
GDP (2023)
US$ 12,570
GDP per capita (2023)
US$ 23B
Digital economy GMV (2023)
US$ 25.2B
ICT market size (2023)
98.5%
Percentage of SMEs (2023)
US$ 151M
Total capital invested in startups (2023)
The sixth-largest economy in Southeast Asia
FDI inflows
Malaysia's foreign direct investment attracted nearly US$ 8.8 billion by 2023
Export turnovers
Malaysia's export turnovers reached US$ 312.7 billion by 2023
Registered companies and businesses
In 2023, there were 321,816 registered businesses in Malaysia
US$ 8.8B
FDI Inflow (2023)
Leading FDI sectors
Services
83.7%
#1. Information and communication
#2. Financial and insurance sub-sector
Manufacturing
13%
#1. Electrical, transport equipment and other manufacturing sub-sectors
Mining & quarrying
3.3%
US$ 312.7B
Export turnovers (2023)
Top exports
Electrical and electronics products
10.9%
Petroleum products
6.3%
Chemicals products
5.2%
Palm oil (agriculture)
4.7%
Liquefied natural gas
3.6%
Doing business in Malaysia
Malaysia's major economic corridors, opportunities & challenges
Northern Corridor Economic Region (NCER)
Agriculture, Education, Tourism, Logistics, Manufacturing
Greater Kuala Lumpur
Commercial services (Engineering construction, aerospace), Financlal services, Knowledge process outsourcing, Oil & gas
Iskandar Malaysia in Southern Johor
Creative industry, Education, Financial services, Medical treatment & health, Logistics, Tourism
East Coast Economic Region (ECER)
Agriculture, Education, Manufacturing, Oil & gas, Petrochemical, Tourism
Sabah Development Corridor (SDC)
Agriculture, Education, Logistics, Manufacturing, Oil & gas, Palm oil, Tourism
Sarawak Corridor of Renewable Energy (SCORE)
Aluminum, Agriculture, Fishery Glassmaking, Marine industry, Palm oil, Renewable resources, Petrochemical
Opportunities
• Large domestic demand, high per capita income
• Robust services sector (retail, transport, communication,…)
• Large-scale R&D
• Sound banking sector
• Travel hub, exchange rate flexibility
Looking to expand in Malaysia?
Let us help you!
Thank you for your interest in H&Co.
So we can help serve you better, please complete the form.
Please note, due to the volume of inquiries, we cannot respond to everyone right away.