Malaysia has jumped 11 spots to secure 23rd place out of 67 economies in the 2025 World Competitiveness Ranking (WCR), released by Switzerland’s International Institute for Management Development (IMD).
The country also ranked 4th globally in economic performance, marking its best showing since 2020.
Malaysia showed notable improvements
The WCR is an annual benchmark that assesses a country’s ability to foster and maintain a business-friendly environment. It considers four key areas: economic performance, government efficiency, business efficiency, and infrastructure.
Malaysia showed notable improvements in three of these areas:
- Economic Performance: 4th globally, up from 8th in 2024.
- Government Efficiency: Up 8 positions.
- Business Efficiency: Also up 8 positions.
In particular, Malaysia’s international trade component surged 11 ranks to 6th globally.
The ministry attributes this to strong growth in goods and services exports, a more diversified trade base, and a boost in tourism revenue, all contributing to a stronger trade surplus.
Aim to become world’s top 12 by 2033
According to Sin Chew Daily, the Ministry of Investment, Trade and Industry (MITI) believes this strong performance reflects Malaysia’s continued economic recovery and structural reforms under the Madani Economic Framework.
In a statement issued today, MITI said the country is on track to reach its target of becoming one of the world’s top 12 most competitive economies by 2033.
