Malaysia serves as an ideal platform for Dutch companies seeking expansion in Asia. The middle-income country has 33.4 million inhabitants and has experienced impressive economic growth over the past years. Its strategic location, developed infrastructure, skilled labor, relatively low-cost structure, and well-developed financial sector contribute to its competitive investment climate.
Since gaining independence, Malaysia has successfully diversified its economy from one that was initially agriculture and commodity-based, to one that now hosts robust manufacturing and service sectors. The country’s main exports consist of electronics and electrical equipment. The Malaysian government is dedicated to position the country to become a high-value-added economy through ambitious plans and modernization.
Malaysia is known as one of the World’s most open economies, with low inflation and a strong business environment. Its innovation-driven and knowledge-based economy make the country an attractive regional hub for services. Especially the financial services, maritime, water management, and sustainable energy sectors exhibit promising growth rates and interesting opportunities for Dutch companies. Malaysia is also part of the Regional Comprehensive Economic Partnership (RCEP), which was built upon the existing ASEAN+1 FTAs to strengthen economic linkages and enhance trade and investment related activities, as well as to contribute to minimising development gaps among the participating countries. RCEP has the potential to deliver significant opportunities for Dutch businesses in the East Asia region, given the fact that the 16 RCEP participating countries account for almost half of the world’s population, contribute to about 30 per cent of global GDP and over a quarter of world exports!