Latest news with #WorldCompetitivenessRanking
Barnama
2 days ago
- Business
- Barnama
WCR 2025 Performance Proves Effectiveness Of MADANI Govt's Economic Policies
PUTRAJAYA, June 19 (Bernama) -- Malaysia's performance in the World Competitiveness Ranking (WCR) 2025 demonstrates the country's investment appeal amid a challenging global landscape. Minister of Housing and Local Government Nga Kor Ming said that this achievement also underscores the effectiveness of the economic policies implemented by the MADANI Government. Malaysia jumped 11 places in the rankings to 23rd, marking the country's best performance since 2020 and signalling positive momentum in the national economic recovery and reform agenda. Nga, in a statement yesterday, said that Malaysia remains the third most attractive investment destination globally, drawing interest from global tech giants such as Intel, Microsoft, Amazon, and Infineon to expand their investments in the local market. 'Under the leadership of the MADANI Government, Malaysia's economic growth reached 5.1 per cent in 2024, exceeding the expectations of the World Bank and other international agencies. The Employees Provident Fund (EPF) dividend rate also increased to 6.3 per cent, higher than the previous year,' he said. The WCR is published annually by the Switzerland-based Institute for Management Development (IMD). It is a comprehensive report that assesses economies based on their capacity to generate and sustain a business-friendly environment that contributes to long-term prosperity. -- BERNAMA
![[Editorial] Raise competitiveness](/_next/image?url=https%3A%2F%2Fall-logos-bucket.s3.amazonaws.com%2Fkoreaherald.com.png&w=48&q=75){kind=small}
Korea Herald
2 days ago
- Business
- Korea Herald
[Editorial] Raise competitiveness
South Korea's ranking falls seven notches, affected by worsened business efficiency South Korea's global competitiveness ranking dropped seven notches in 2025. According to the Finance Ministry on Tuesday, the latest report from the International Institute for Management Development showed South Korea ranked 27th among 69 countries surveyed. It was the largest decline since the institute announced South Korea's ranking for the first time in 1997. Last year, South Korea rose eight notches from 28th to a record high of 20th, but in a year, it returned to the level of two years ago. The IMD, a Switzerland-based business school, has published its annual World Competitiveness Ranking since 1989, evaluating countries in four key factors: economic performance, government efficiency, business efficiency and infrastructure. Business efficiency was the most decisive factor dragging down South Korea's ranking this year. In that category, it dropped from 23rd to 44th and in infrastructure from 11th to 21st, but climbed from 16th to 11th in economic performance and from 39th to 31st in government efficiency. South Korea's position fell in all five sub-factors of business efficiency — productivity (from 33rd to 45th), labor market (from 31st to 53rd), finance (from 29th to 33rd), management practices (from 28th to 55th) and attitudes and values (from 11th to 33rd). Declines in its ranking were pronounced in some specific indicators, including efficiency of large corporations (from 41st to 57th), corporate response to opportunities and threats (from 17th to 52nd), agility of companies (from ninth to 46th) and attracting and retaining talent (from sixth to 29th). These results are apparently caused by a combination of the weakened competitiveness of South Korea's major industries, the rapid emergence of Chinese companies, labor-management conflict and other factors. A notable category was technological infrastructure, where South Korea's place plunged from 16th to 39th. It also scored low in the availability of digital and technological skills, cybersecurity and others. In a global market characterized by fierce high-tech and digital competition, weakened infrastructure will undermine South Korea's growth potential. The IMD competitiveness rankings cannot be seen as absolutely reliable, considering that they are much affected by an opinion survey of business executives. Yet they are useful reference data for the Lee Jae Myung government in making policy. South Korea's ranking this year can be seen as a warning from the IMD that if the country fails to revitalize enterprise activities and develop new technologies, it could drop out of global competition for good. The decline in its labor market ranking should be taken seriously. Apparently, this is caused by a rigid enforcement of the 52-hour workweek, an excessive protection of full-time regular staff compared with non-regular workers, seniority-based wage system, labor union demands for shorter working hours and legislators' moves to curtail the standard workweek to 4 1/2 days. South Korea also needs to improve productivity and management practices. The decline of its rankings in these fields indicates that South Korean companies are slow in high-tech development and underprepared to secure a competitive edge in the age of artificial intelligence. It also shows that their management innovations remain disappointing. Taipei and China, among others, are far ahead of South Korea, ranking sixth and 16th, respectively, this year. The countries compete directly with South Korea in semiconductors and many other industries. The government should analyze their competitiveness and figure out ways to narrow the gap with them. It should foster creativity and innovation, rebuild technological infrastructure and produce talent. The key to raising competitiveness is to create and maintain an environment conducive to business activity. Barriers to business should be eliminated immediately. The government should listen more carefully to business concerns about legislators' push to make the yellow envelope bill into law and revise the Commercial Act. Under the Commercial Act revision bill, company directors would have a fiduciary duty to shareholders, not only to their companies. If the two bills are implemented, South Korea's ranking could fall further next year.
The Sun
2 days ago
- Business
- The Sun
Samenta: Malaysia's surge in competitiveness due to policy and reforms by government and businesses
PETALING JAYA: Malaysia's achievement in climbing 11 positions to 23rd spot in the 2025 World Competitiveness Ranking (WCR) underscores the strong policy measures and reforms implemented by the government and businesses in strengthening the economic fundamentals and making the nation more competitive on the world stage, said Small and Medium Enterprises Association of Malaysia (Samenta). Samenta national president Datuk William Ng remarked: 'The rise, the highest among all participating economies, reflects progress across key areas of competitiveness, in particular government and business efficiency, both of which improved by eight ranks.' Notably, he said, Malaysia has improved significantly in eradicating bribery and corruption, boosting private investment in research and development (R&D), reducing bureaucracy and strengthening employment. 'Malaysian businesses have demonstrated greater adaptability, productivity and innovation, making our companies more competitive. The country's strong economic growth, low inflation and healthy employment conditions all contribute to this upward trajectory,' said Ng. 'Malaysia's improvement is particularly noteworthy when we consider it within the Southeast Asia context. Among Asean members, we now outperform Thailand (30th), Indonesia (40th) and the Philippines (51st). Our progress underscores our ability to implement reforms effectively and signals to investors and businesses that Malaysia continues to be a leading destination for investment and growth in Southeast Asia,' he added. Ng said recent initiatives have played a key role in this progress, especially the rollout of Reformasi Kerenah Birokrasi, which has helped cut red tape and simplified procedures for businesses and citizens. The Akta Iltizam passed by Parliament in March underscores a strong legislative resolve to ensure efficiency in the public sector, he said, adding that the Corruption Perception Index Task Force, chaired by the chief secretary to the government, is tackling corruption and strengthening institutional integrity. Furthermore, Ng said, the Business Efficiency Task Force, led by Malaysia Productivity Corporation, is hard at work identifying bottlenecks and improving the ease of doing business across sectors. 'All these initiatives collectively create a more stable, efficient and forward-looking ecosystem for companies to operate and grow.' The inclusion of Samenta and SMEs in some of these efforts, including the Business Efficiency Task Force and various productivity initiatives, is indicative of the government's desire to drive the economic reform at all levels, including among their small and medium enterprises, said Ng. 'While we celebrate this progress, we must not become complacent. More needs to be done if we are to realize Ekonomi Madani's ambitious goal of breaking into the top 12 of the ranking by 2033. To further enhance our competitiveness and move up the ranking, we need to strengthen digital transformation, improve skills and education, cut bureaucracy, provide policy consistency and boost research and development initiatives. 'Providing greater incentives and support for companies, especially SMEs, to leverage technology and innovate is key. Ensuring policy stability and reducing red tape will help businesses operate more efficiently and respond faster to market opportunities,' he remarked. Ng said these efforts require a whole-of-nation approach as the government alone cannot affect these reforms. Businesses, he added, including SMEs, must move up the value chain in order for Malaysia to become even more competitive and to future-proof the economy for generations to come.
The Sun
3 days ago
- Business
- The Sun
WCR ranking rise reflects Anwar's reform success: Expert
KUALA LUMPUR: Malaysia's 11-spot leap in the World Competitiveness Ranking (WCR) 2025 serves as clear evidence of the effectiveness of the reform agenda spearheaded by Prime Minister Datuk Seri Anwar Ibrahim, says geostrategist Prof Dr Azmi Hassan. He said that although there were some parties still questioning the implementation of these reforms, international assessment bodies clearly indicated that the nation's transformation was heading in a positive direction, especially in combating corruption and strengthening economic policies. 'The government's core reform is focused on minimising corruption, as the Prime Minister has often stressed — if corruption is not curbed, it is the country that will suffer. 'Anti-graft efforts are not limited to high-profile cases like 1MDB, but also include various forms of corruption in both the public and private sectors. These are among the key reform elements being closely observed by the international community,' said the Senior Fellow at the Nusantara Academy for Strategic Research (NASR). Malaysia is now ranked 23rd in the latest WCR report, up from 34th place the previous year — its best performance since 2020. However, Azmi expressed concern that the government's genuine reform efforts were not fully appreciated domestically due to political differences and the unwillingness of some quarters to view progress objectively. 'Some groups deliberately ignore the facts because they want to discredit the government, but I believe this is where agencies such as the Department of Statistics Malaysia (DOSM) must step up with data and statistics to reflect the government's reform achievements,' he said. At the same time, he urged that the Prime Minister's credibility and diplomatic acumen be fully leveraged to boost Malaysia's global image. 'Anwar is a respected and articulate leader, especially among ASEAN and Indo-Pacific nations. His ability to present arguments and perspectives on global issues is unmatched and should be used to the country's advantage,' he said. Meanwhile, University of Malaya (UM) lecturer Assoc Prof Dr Khoo Ying Hooi described the improved ranking as a reflection of progress in governance and institutional frameworks, including bureaucratic rationalisation and administrative efficiency. Dr Khoo, from the Department of International and Strategic Studies at UM's Faculty of Arts and Social Sciences, said initiatives such as the National Anti-Corruption Strategy 2024–2028 had made a significant impact on international perceptions, though the improved ranking should not lead to complacency. 'The improved ranking doesn't mean Malaysia has already achieved excellence in fighting corruption,' she said. 'As for the efficiency of government service delivery, there are clear signs of progress, but challenges remain in terms of the scale and consistency of impact across all administrative levels,' she added. The WCR is published annually by the Switzerland-based Institute for Management Development (IMD). It is a comprehensive report that evaluates an economy's ability to generate and sustain a business-friendly environment conducive to long-term prosperity.
The Sun
3 days ago
- Business
- The Sun
WCR ranking boost reflects success of Anwar's reform agenda
KUALA LUMPUR: Malaysia's 11-spot leap in the World Competitiveness Ranking (WCR) 2025 serves as clear evidence of the effectiveness of the reform agenda spearheaded by Prime Minister Datuk Seri Anwar Ibrahim, says geostrategist Prof Dr Azmi Hassan. He said that although there were some parties still questioning the implementation of these reforms, international assessment bodies clearly indicated that the nation's transformation was heading in a positive direction, especially in combating corruption and strengthening economic policies. 'The government's core reform is focused on minimising corruption, as the Prime Minister has often stressed — if corruption is not curbed, it is the country that will suffer. 'Anti-graft efforts are not limited to high-profile cases like 1MDB, but also include various forms of corruption in both the public and private sectors. These are among the key reform elements being closely observed by the international community,' said the Senior Fellow at the Nusantara Academy for Strategic Research (NASR). Malaysia is now ranked 23rd in the latest WCR report, up from 34th place the previous year — its best performance since 2020. However, Azmi expressed concern that the government's genuine reform efforts were not fully appreciated domestically due to political differences and the unwillingness of some quarters to view progress objectively. 'Some groups deliberately ignore the facts because they want to discredit the government, but I believe this is where agencies such as the Department of Statistics Malaysia (DOSM) must step up with data and statistics to reflect the government's reform achievements,' he said. At the same time, he urged that the Prime Minister's credibility and diplomatic acumen be fully leveraged to boost Malaysia's global image. 'Anwar is a respected and articulate leader, especially among ASEAN and Indo-Pacific nations. His ability to present arguments and perspectives on global issues is unmatched and should be used to the country's advantage,' he said. Meanwhile, University of Malaya (UM) lecturer Assoc Prof Dr Khoo Ying Hooi described the improved ranking as a reflection of progress in governance and institutional frameworks, including bureaucratic rationalisation and administrative efficiency. Dr Khoo, from the Department of International and Strategic Studies at UM's Faculty of Arts and Social Sciences, said initiatives such as the National Anti-Corruption Strategy 2024–2028 had made a significant impact on international perceptions, though the improved ranking should not lead to complacency. 'The improved ranking doesn't mean Malaysia has already achieved excellence in fighting corruption,' she said. 'As for the efficiency of government service delivery, there are clear signs of progress, but challenges remain in terms of the scale and consistency of impact across all administrative levels,' she added. The WCR is published annually by the Switzerland-based Institute for Management Development (IMD). It is a comprehensive report that evaluates an economy's ability to generate and sustain a business-friendly environment conducive to long-term prosperity.
