Kuala lumpur: Malaysia's rise to 15th place in the 2026 International Institute for Management Development (IMD) World Competitiveness Ranking reflects sustained reform efforts and closer coordination between the public and private sectors, the Federation of Malaysian Manufacturing (FMM) said.
According to BERNAMA News Agency, FMM stated its contribution to this process through its engagement in the Special Task Force to Facilitate Business (PEMUDAH) and other government-industry platforms. FMM emphasized its role in advocating improvements in regulatory processes, trade facilitation, tax administration, logistics efficiency, port operations, and reducing compliance burdens on businesses.
The federation highlighted enhancements in business licensing, customs procedures, digitalization of government services, and stakeholder consultation mechanisms as key factors in creating a more conducive business environment. The improvements in both government and business efficiency underline the impact of reform efforts and collaboration between public and private sectors.
FMM noted that the improved ranking boosts Malaysia's attractiveness as a foreign direct investment destination and enhances its integration into regional and global supply chains. It also supports investor confidence amidst geopolitical and trade uncertainties.
The federation asserted that the result aligns with the government's objective to position Malaysia among the world's top 12 competitive economies by 2033. Continued advancements in infrastructure, logistics efficiency, workforce readiness, and reducing the overall cost of doing business are essential to achieve this target.
FMM acknowledged the need for further improvements in transport connectivity, port performance, digital infrastructure, energy reliability, regulatory predictability, and project approval speed to maintain competitiveness and attract higher-value investments.
The federation reiterated its commitment to working with the government to sustain momentum and strengthen Malaysia's competitiveness. Through PEMUDAH and its own industry platforms, FMM plans to provide data-driven industry feedback and policy recommendations on business competitiveness issues, including trade facilitation, logistics efficiency, tax administration, and Industry 4.0 adoption.
Yesterday, it was reported that Malaysia climbed eight spots in the IMD World Competitiveness Ranking for 2026 to 15th among 70 countries, marking a significant improvement from 23rd in 2025 and 34th in 2024, representing Malaysia's highest ranking in the annual index to date.