World Bank to M'sia: Focus less on stock market, more on fundamentals

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Economist Richard Record calls on M'sian gov't to strengthen human capital development and reduce reliance on oil revenue.

The World Bank has advised Malaysia not to be too preoccupied by its stock market, which has been placed among the worst performing in the world.

"It has a favourable geographic location at the heart of a fast-growing region, and solid foundations in terms of physical infrastructure and human capital," Record said at a press conference in Kuala Lumpur. Despite the lacklustre stock market performance, the World Bank has maintained its 2019 growth forecast for Malaysia at 4.7 percent, which is the same as last year.Record said there were areas Malaysia could improve on, such as strengthening its human capital development, which, while on par with upper middle income countries, does not meet the high-income nation standards Malaysia aspires to.

"Diversifying agriculture income, or even agriculture and non-agriculture income for farming families is a good strategy," he said.

 

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Yes! Fundamentals of the economy.

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