Trapped in middle income bracket by wrong choices

Free Malaysia Today

However, Malaysia has the capability to become a high-income nation with the right policies, say economists.  Read More: https://www.freemalaysiatoday.com/category/highlight/2024/02/13/trapped-in-middle-income-bracket-by-wrong-choices/  Free Malaysia Today is an independent, bi-lingual news portal with a focus on Malaysian current affairs.    Subscribe to our channel - http://bit.ly/2Qo08ry   ------------------------------------------------------------------------------------------------------------------------------------------------------ Check us out at https://www.freemalaysiatoday.com Follow FMT on Facebook: http://bit.ly/2Rn6xEV Follow FMT on Dailymotion: https://bit.ly/2WGITHM Follow FMT on Twitter: http://bit.ly/2OCwH8a  Follow FMT on Instagram: https://bit.ly/2OKJbc6 Follow FMT on TikTok : https://bit.ly/3cpbWKK Follow FMT Telegram - https://bit.ly/2VUfOrv Follow FMT LinkedIn - https://bit.ly/3B1e8lN Follow FMT Lifestyle on Instagram: https://bit.ly/39dBDbe ------------------------------------------------------------------------------------------------------------------------------------------------------ Download FMT News App: Google Play – http://bit.ly/2YSuV46 App Store – https://apple.co/2HNH7gZ Huawei AppGallery - https://bit.ly/2D2OpNP  #FMTNews #Malaysia #MiddleIncomeTrap #HighIncomeNation #Taiwan #SouthKorea

Transcript

00:00 An over-reliance on foreign direct investment and low productivity have been cited as factors

00:06 that keep Malaysians trapped in the middle-income bracket, and for economists, the way forward

00:11 is to improve capability and drive competitiveness.

00:14 In 1981, when the Vision 2020 plan was announced to make the country a high-income nation,

00:19 there was only a marginal difference in the per capita income between South Korea, Taiwan,

00:24 and Malaysia.

00:25 Today, South Korea and Taiwan's per capita income has risen to more than double that

00:29 of Malaysia's.

00:30 Barjoy Ibardi of University Tun Abdul Razak said, "Micro-, small- and medium-enterprises

00:36 accounted for 97 percent of businesses in Taiwan and Malaysia."

00:40 However, Taiwan rose above the middle-income level by not depending exclusively on FDIs,

00:46 whereas Malaysia has relied on multinational corporations and struggling SMEs, he said.

00:52 Meanwhile, Lee Hwok-Aung of Singapore's ICS Yusuf Ishak Institute says, "Taiwan and

00:57 South Korea escaped the middle-income trap by focusing on nurturing homegrown technological

01:02 capabilities as well as their creative and entertainment sectors."

01:07 Barjoy I said, "Malaysia must focus on upskilling through training to create a more

01:11 productive workforce," adding that the progressive wage policy would serve as a carrot to encourage

01:16 workers to go for training.

01:19 Lee said Malaysia can seek FDIs but should focus on high-tech sectors and priority fields,

01:24 adding that domestic investments should also be encouraged in line with national priorities.

01:28 (upbeat music)

01:31 (upbeat music)

Category

Transcript

Be the first to comment

Recommended