‘Malaysia Named Second Most Dynamic’

(BT) – Malaysia has been ranked the second most dynamic country in Asean after Singapore by the Grand Thornton Global Dynamism index (GDI) 2013, after scoring best in key areas such as business operating and financing environment for growing business.

Datuk N.K. Jasani, the independent assurance tax and advisory firm’s managing partner, said Malaysia also provides good financing environment as it scored the highest in Asean for access to medium-term capital.

The GDI, now in its second year, ranks 60 of the world’s largest economies on their dynamism, drawing on both economic and business survey data. It marks each economy across five key areas of dynamism to produce an overall score.

The index ranks economies by how much their business growth environment improved in 2012. The 2013 index evaluates where countries stand in relation to one another with regards to their dynamismlevel.

According to Grant Thornton, dynamism is defined as a combination of factors that highlight countries’ growth potential. It refers to the changes in an economy over the past 12 months which are likely to lead a fast rate of future growth.

In the GDI 2013, Singapore scored 61.9, the highest in Asean, followed by Malaysia with 59.5 and Thailand, 56.4.

Jasani said Malaysia is ranked 13th globally by the GDI in terms of global position, which is a major improvement of 11 places from the year before. Australia is at the top position, followed by Chile and China.

He added that Malaysia is performing strongly in key areas such as economics and growth (eighth spot), labour and human capital (11th) and financing environment (16th), compared with the other countries.

“We have climbed to rank eighth on economics and growth, boosted by higher gross domestic product (GDP) and consumption growth. Our real GDP growth is ranked ninth in the world,” Jasani said, adding that Malaysia’s position in labour and human capital has gained 13 places and ranked 11th globally.

He said the country has moved up seven spots in the financing environment ranking to 16, thanks to improvements in the corporate tax burden and access of firms to medium-term capital.

Meanwhile, Malaysia’s labour productivity growth has risen six notches to 12th spot in the world, Jasani said in a statement.