Bureaucracy & corruption top grouses of Malaysia investors

Inefficient government bureaucracy, corruption, inadequately educated workforce, poor work ethic and restrictive labour regulations.

The above five top a list of most problematic factors for doing business in Malaysia, according to a survey published in the latest Global Competitiveness Report (2012-2013) by the World Economic Forum.

Other than the top five, inflation, tax rates and crime also appear highly in the list ranked by respondents.

The WEF publishes the Global Competitiveness Report every year and it is considered the most comprehensive in assessing strengths and weaknesses of national economies to aid decision-making by governments, academics and business leaders.

This year's report made available to Harakahdaily also shows Malaysia retaining its score, but dropping four places as other economies move ahead.

The report states that the country has advantages in goods and services, placing it at the 11th spot in this sector, while praising its efforts to do away with problems of transparency and red tape.

However, it notes that its technological readiness, a field which the report places Malaysia at number 51 out of 144 countries, does not commensurate its achievements in information technology.

"Its low level of technological readiness ... is surprising, especially given its achievements in other areas of innovation and business sophistication and the country’s focus on promoting the use of ICT.

"Lack of progress in this area will significantly undermine Malaysia’s efforts to become a knowledge-based economy by the end of the decade," the report warns.

This year's report findings show Switzerland ahead of 143 other countries for the fourth consecutive year, followed by Singapore retaining its second, and Finland third.

-Harakahdaily