SlideShare a Scribd company logo
Malaysia Economic Futures
Advancing Complexity
Noor Azlan Ghazali
MINDA - UKM
LSE SEAC – Khazanah Research Institute (KRI)
Malaysia Futures Forum 2023
31 May, 2023
1
ECI summarizes how “complex” a country’s export basket is
i.e. how much “productive knowledge” it holds
Source: Hausmann, Hidalgo et al. (2012)
The Economic
Complexity Index (ECI)
reflects:
• The level of diversification
of a country’s export
basket
• The ubiquity of its
products
• And the characteristics of
the export baskets of
other countries in the
world that export similar
products
Diversity of capabilities affects a country’s wealth and growth rate
2
Source: The Atlas of Economic Complexity, Growth Lab, Center for International Development (CID), Harvard Kennedy School.
Source: Hausmann, Hidalgo et al. (2012)
Palm Oil
Tropical
Agriculture
Integrated Circuits
Electronics
Lubricating Products
Chemicals
Lifting Machinery
Machinery
Different products have different levels of connectedness and therefore have
different opportunities to move within the product space
3
Economic Complexity Overtime: South Korea – Malaysia – Vietnam
4
Product
exported with
RCA >1
Product not
exported with
RCA >1
Node size is
proportional
to world trade
2020 (Export:$596 bil)
1995 (Exports:$150 bil) South Korea | Product Space
South Korea experienced a massive expansion in sophisticated categories and a
winnowing in low sophistication categories
Winnowing in sparse-low sophistication-
low value products (e.g. garments)
E&E remains Korea’s
major segment
A classic case of a successful industry transformation. Growth is sustainable with Korea now shifted into the ‘dense’ and ‘high
value’ space depicting a complex economy.
Massive expansion into dense-sophisticated,
high-value products (e.g. chemicals, automotive, machinery)
5
Product
exported with
RCA >1
Product not
exported with
RCA >1
Node size is
proportional
to world trade
Minimal expansion in dense-high sophistication-
high value products (e.g. chemical)
Similar to Korea, Malaysia winnowing in sparse-low
sophistication, low value products (e.g. garments)
2020 (Exports: $207 bil)
1995 (Exports: $80 bil) Malaysia | Product Space
E&E remains Malaysia’s
major segment
Malaysia experienced a slight expansion in high sophistication and a winnowing in
low sophistication categories but yet to firmly shift to complex-high-value segment
6
Localisation of growth process - promoting regional/locational strengths via effective
engagement and attention to creating Density; shortening Distance; removing Division
(3D for growth).
Focusing on micro-elements of competitiveness that reflects real activities, i.e.
complexity and sophistication of activities, enhancing firms’ productivity and operational
strategy.
Firming cluster strength by focusing on cluster-wide development, readiness of effective
ecosystem (strengthening the entire value chain) and creation of growth within dense
product space.
1
2
3
Re-setting for Malaysia Futures: Key Paradigms for Advancing Complexity
7
Sekian, Terima Kasih.
8

More Related Content

Similar to Session 1- Economic Futures_Tan Sri Azlan

Understanding global value chains
Understanding global value chains Understanding global value chains
Understanding global value chains
ChiomaLindaEkeneOkwu
 
Malaysia & its economic pattern
Malaysia & its economic patternMalaysia & its economic pattern
Malaysia & its economic pattern
M. Mezbah Ul Hasan
 
Dr. Andrea Goldstein - Industrial Cluster in the Global Economy
Dr. Andrea Goldstein -  Industrial Cluster in the Global EconomyDr. Andrea Goldstein -  Industrial Cluster in the Global Economy
Dr. Andrea Goldstein - Industrial Cluster in the Global Economy
Ira Tobing
 
Cluster development final
Cluster development finalCluster development final
Cluster development final
Hareesh M
 
Supply chain management in indian automotive industry complexities, challeng...
Supply chain management in indian automotive industry  complexities, challeng...Supply chain management in indian automotive industry  complexities, challeng...
Supply chain management in indian automotive industry complexities, challeng...
ijmvsc
 
SUPPLY CHAIN MANAGEMENT IN INDIAN AUTOMOTIVE INDUSTRY : COMPLEXITIES, CHALLEN...
SUPPLY CHAIN MANAGEMENT IN INDIAN AUTOMOTIVE INDUSTRY : COMPLEXITIES, CHALLEN...SUPPLY CHAIN MANAGEMENT IN INDIAN AUTOMOTIVE INDUSTRY : COMPLEXITIES, CHALLEN...
SUPPLY CHAIN MANAGEMENT IN INDIAN AUTOMOTIVE INDUSTRY : COMPLEXITIES, CHALLEN...
ijmvsc
 
Clusters in ICT Development Policy
Clusters in ICT Development PolicyClusters in ICT Development Policy
Clusters in ICT Development Policy
Tarek Salah
 
Nordin Malaysia
Nordin MalaysiaNordin Malaysia
Nordin Malaysiaecommerce
 
Module 4 - SCM Notes_DNR.pdf
Module 4 - SCM Notes_DNR.pdfModule 4 - SCM Notes_DNR.pdf
Module 4 - SCM Notes_DNR.pdf
RoopaDNDandally
 
Emerging Markets Decoded: the Four Domains of Development for Growth
Emerging Markets Decoded: the Four Domains of Development for GrowthEmerging Markets Decoded: the Four Domains of Development for Growth
Emerging Markets Decoded: the Four Domains of Development for Growth
Andrey Shapenko
 
IAF605 Week 5 International trade and factor mobility theory
IAF605 Week 5 International trade and factor mobility theoryIAF605 Week 5 International trade and factor mobility theory
IAF605 Week 5 International trade and factor mobility theory
IAF605
 
6 session 6_global sc cfvg 2012
6 session 6_global sc cfvg 20126 session 6_global sc cfvg 2012
6 session 6_global sc cfvg 2012kimsach
 
Cluster basics: Effective Engagement of the Private Sector
Cluster basics: Effective Engagement of the Private SectorCluster basics: Effective Engagement of the Private Sector
Cluster basics: Effective Engagement of the Private Sector
TCI Network
 
Developing an Outsourcing Industry
Developing an Outsourcing IndustryDeveloping an Outsourcing Industry
Developing an Outsourcing Industry
Rob Cayzer
 
SOAP WORKING PAPER. Research....docx
SOAP WORKING PAPER. Research....docxSOAP WORKING PAPER. Research....docx
SOAP WORKING PAPER. Research....docx
MWIRU HOLDINGS SMC LTD
 
Global value chains (GVCs) and India
Global value chains (GVCs) and IndiaGlobal value chains (GVCs) and India
Global value chains (GVCs) and India
DR. ASHIS DASH
 
Leading the Change in Emerging Markets: Corporate Real Estate trends in Techn...
Leading the Change in Emerging Markets: Corporate Real Estate trends in Techn...Leading the Change in Emerging Markets: Corporate Real Estate trends in Techn...
Leading the Change in Emerging Markets: Corporate Real Estate trends in Techn...
JLL
 
International Strategy: Creating Value in Global Markets
International Strategy: Creating Value in Global MarketsInternational Strategy: Creating Value in Global Markets
International Strategy: Creating Value in Global MarketsAngelica Angelo Ocon
 

Similar to Session 1- Economic Futures_Tan Sri Azlan (20)

Understanding global value chains
Understanding global value chains Understanding global value chains
Understanding global value chains
 
2011.02.cesa ib 02
2011.02.cesa ib 022011.02.cesa ib 02
2011.02.cesa ib 02
 
Malaysia & its economic pattern
Malaysia & its economic patternMalaysia & its economic pattern
Malaysia & its economic pattern
 
Dr. Andrea Goldstein - Industrial Cluster in the Global Economy
Dr. Andrea Goldstein -  Industrial Cluster in the Global EconomyDr. Andrea Goldstein -  Industrial Cluster in the Global Economy
Dr. Andrea Goldstein - Industrial Cluster in the Global Economy
 
Cluster development final
Cluster development finalCluster development final
Cluster development final
 
Supply chain management in indian automotive industry complexities, challeng...
Supply chain management in indian automotive industry  complexities, challeng...Supply chain management in indian automotive industry  complexities, challeng...
Supply chain management in indian automotive industry complexities, challeng...
 
SUPPLY CHAIN MANAGEMENT IN INDIAN AUTOMOTIVE INDUSTRY : COMPLEXITIES, CHALLEN...
SUPPLY CHAIN MANAGEMENT IN INDIAN AUTOMOTIVE INDUSTRY : COMPLEXITIES, CHALLEN...SUPPLY CHAIN MANAGEMENT IN INDIAN AUTOMOTIVE INDUSTRY : COMPLEXITIES, CHALLEN...
SUPPLY CHAIN MANAGEMENT IN INDIAN AUTOMOTIVE INDUSTRY : COMPLEXITIES, CHALLEN...
 
Clusters in ICT Development Policy
Clusters in ICT Development PolicyClusters in ICT Development Policy
Clusters in ICT Development Policy
 
Nordin Malaysia
Nordin MalaysiaNordin Malaysia
Nordin Malaysia
 
Nordin Malaysia
Nordin MalaysiaNordin Malaysia
Nordin Malaysia
 
Module 4 - SCM Notes_DNR.pdf
Module 4 - SCM Notes_DNR.pdfModule 4 - SCM Notes_DNR.pdf
Module 4 - SCM Notes_DNR.pdf
 
Emerging Markets Decoded: the Four Domains of Development for Growth
Emerging Markets Decoded: the Four Domains of Development for GrowthEmerging Markets Decoded: the Four Domains of Development for Growth
Emerging Markets Decoded: the Four Domains of Development for Growth
 
IAF605 Week 5 International trade and factor mobility theory
IAF605 Week 5 International trade and factor mobility theoryIAF605 Week 5 International trade and factor mobility theory
IAF605 Week 5 International trade and factor mobility theory
 
6 session 6_global sc cfvg 2012
6 session 6_global sc cfvg 20126 session 6_global sc cfvg 2012
6 session 6_global sc cfvg 2012
 
Cluster basics: Effective Engagement of the Private Sector
Cluster basics: Effective Engagement of the Private SectorCluster basics: Effective Engagement of the Private Sector
Cluster basics: Effective Engagement of the Private Sector
 
Developing an Outsourcing Industry
Developing an Outsourcing IndustryDeveloping an Outsourcing Industry
Developing an Outsourcing Industry
 
SOAP WORKING PAPER. Research....docx
SOAP WORKING PAPER. Research....docxSOAP WORKING PAPER. Research....docx
SOAP WORKING PAPER. Research....docx
 
Global value chains (GVCs) and India
Global value chains (GVCs) and IndiaGlobal value chains (GVCs) and India
Global value chains (GVCs) and India
 
Leading the Change in Emerging Markets: Corporate Real Estate trends in Techn...
Leading the Change in Emerging Markets: Corporate Real Estate trends in Techn...Leading the Change in Emerging Markets: Corporate Real Estate trends in Techn...
Leading the Change in Emerging Markets: Corporate Real Estate trends in Techn...
 
International Strategy: Creating Value in Global Markets
International Strategy: Creating Value in Global MarketsInternational Strategy: Creating Value in Global Markets
International Strategy: Creating Value in Global Markets
 

More from KhazanahResearchInstitute

Budget 2024 Focus Group Discussion: Food Security
Budget 2024 Focus Group Discussion: Food SecurityBudget 2024 Focus Group Discussion: Food Security
Budget 2024 Focus Group Discussion: Food Security
KhazanahResearchInstitute
 
Budget 2024 Discussion: The State of Households
Budget 2024 Discussion: The State of HouseholdsBudget 2024 Discussion: The State of Households
Budget 2024 Discussion: The State of Households
KhazanahResearchInstitute
 
KRI Webinar - Rich Places, Poor Places: Managing the realities of neighbourhoods
KRI Webinar - Rich Places, Poor Places: Managing the realities of neighbourhoodsKRI Webinar - Rich Places, Poor Places: Managing the realities of neighbourhoods
KRI Webinar - Rich Places, Poor Places: Managing the realities of neighbourhoods
KhazanahResearchInstitute
 
Webinar - Preventing Urban Slums in Malaysia.pdf
Webinar - Preventing Urban Slums in Malaysia.pdfWebinar - Preventing Urban Slums in Malaysia.pdf
Webinar - Preventing Urban Slums in Malaysia.pdf
KhazanahResearchInstitute
 
Session 5 - Socio-Economic Futures_Datuk Abdul Rasheed Ghaffour_
Session 5 - Socio-Economic Futures_Datuk Abdul Rasheed Ghaffour_Session 5 - Socio-Economic Futures_Datuk Abdul Rasheed Ghaffour_
Session 5 - Socio-Economic Futures_Datuk Abdul Rasheed Ghaffour_
KhazanahResearchInstitute
 
Session 5 - Socio-economic Futures_Ye Junjia
Session 5 - Socio-economic Futures_Ye JunjiaSession 5 - Socio-economic Futures_Ye Junjia
Session 5 - Socio-economic Futures_Ye Junjia
KhazanahResearchInstitute
 
Session 3 - Institutional Futures_Dr Kim Dong Soo
Session 3 - Institutional Futures_Dr Kim Dong SooSession 3 - Institutional Futures_Dr Kim Dong Soo
Session 3 - Institutional Futures_Dr Kim Dong Soo
KhazanahResearchInstitute
 
Session 1 - Economic Futures_Prof Tham Siew Yean
Session 1 - Economic Futures_Prof Tham Siew YeanSession 1 - Economic Futures_Prof Tham Siew Yean
Session 1 - Economic Futures_Prof Tham Siew Yean
KhazanahResearchInstitute
 
Session 1 - Economic Futures_Dr Guanie Lim
Session 1 - Economic Futures_Dr Guanie LimSession 1 - Economic Futures_Dr Guanie Lim
Session 1 - Economic Futures_Dr Guanie Lim
KhazanahResearchInstitute
 
Special Address - Recent World Trends and Threats and to Malaysia Prospects
Special Address - Recent World Trends and Threats and  to Malaysia ProspectsSpecial Address - Recent World Trends and Threats and  to Malaysia Prospects
Special Address - Recent World Trends and Threats and to Malaysia Prospects
KhazanahResearchInstitute
 
The Paddy and Rice Industry of Sabah and Sarawak: Status and Potential
The Paddy and Rice Industry of Sabah and Sarawak: Status and Potential The Paddy and Rice Industry of Sabah and Sarawak: Status and Potential
The Paddy and Rice Industry of Sabah and Sarawak: Status and Potential
KhazanahResearchInstitute
 
Re-Configuring the Care Economy
Re-Configuring the Care EconomyRe-Configuring the Care Economy
Re-Configuring the Care Economy
KhazanahResearchInstitute
 
Tackling Micronutrient Deficiencies: Causes and Solutions Presentation
Tackling Micronutrient Deficiencies: Causes and Solutions PresentationTackling Micronutrient Deficiencies: Causes and Solutions Presentation
Tackling Micronutrient Deficiencies: Causes and Solutions Presentation
KhazanahResearchInstitute
 
Demarcation of Malaysian Households: An Integrated Income and Consumption Ana...
Demarcation of Malaysian Households: An Integrated Income and Consumption Ana...Demarcation of Malaysian Households: An Integrated Income and Consumption Ana...
Demarcation of Malaysian Households: An Integrated Income and Consumption Ana...
KhazanahResearchInstitute
 
Demarcating households an integrated income and consumption analysis
Demarcating households an integrated income and consumption analysisDemarcating households an integrated income and consumption analysis
Demarcating households an integrated income and consumption analysis
KhazanahResearchInstitute
 
The Crisis of Obesity, Diabetes and Other NCD's: The Crisis and How to Preven...
The Crisis of Obesity, Diabetes and Other NCD's: The Crisis and How to Preven...The Crisis of Obesity, Diabetes and Other NCD's: The Crisis and How to Preven...
The Crisis of Obesity, Diabetes and Other NCD's: The Crisis and How to Preven...
KhazanahResearchInstitute
 
KRI Brown Bag Seminar #10: 'Informal and Non-Standard Employment: Cross-natio...
KRI Brown Bag Seminar #10: 'Informal and Non-Standard Employment: Cross-natio...KRI Brown Bag Seminar #10: 'Informal and Non-Standard Employment: Cross-natio...
KRI Brown Bag Seminar #10: 'Informal and Non-Standard Employment: Cross-natio...
KhazanahResearchInstitute
 

More from KhazanahResearchInstitute (20)

Budget 2024 Focus Group Discussion: Food Security
Budget 2024 Focus Group Discussion: Food SecurityBudget 2024 Focus Group Discussion: Food Security
Budget 2024 Focus Group Discussion: Food Security
 
Budget 2024 Discussion: The State of Households
Budget 2024 Discussion: The State of HouseholdsBudget 2024 Discussion: The State of Households
Budget 2024 Discussion: The State of Households
 
KRI Webinar - Rich Places, Poor Places: Managing the realities of neighbourhoods
KRI Webinar - Rich Places, Poor Places: Managing the realities of neighbourhoodsKRI Webinar - Rich Places, Poor Places: Managing the realities of neighbourhoods
KRI Webinar - Rich Places, Poor Places: Managing the realities of neighbourhoods
 
Webinar - Preventing Urban Slums in Malaysia.pdf
Webinar - Preventing Urban Slums in Malaysia.pdfWebinar - Preventing Urban Slums in Malaysia.pdf
Webinar - Preventing Urban Slums in Malaysia.pdf
 
Session 5 - Socio-Economic Futures_Datuk Abdul Rasheed Ghaffour_
Session 5 - Socio-Economic Futures_Datuk Abdul Rasheed Ghaffour_Session 5 - Socio-Economic Futures_Datuk Abdul Rasheed Ghaffour_
Session 5 - Socio-Economic Futures_Datuk Abdul Rasheed Ghaffour_
 
Session 5 - Socio-economic Futures_Ye Junjia
Session 5 - Socio-economic Futures_Ye JunjiaSession 5 - Socio-economic Futures_Ye Junjia
Session 5 - Socio-economic Futures_Ye Junjia
 
Session 4 - Digital Futures_Jun-E Tan
Session 4 - Digital Futures_Jun-E TanSession 4 - Digital Futures_Jun-E Tan
Session 4 - Digital Futures_Jun-E Tan
 
Keynote Address- Prof Robert Wade
Keynote Address- Prof Robert WadeKeynote Address- Prof Robert Wade
Keynote Address- Prof Robert Wade
 
Session 3 - Institutional Futures_Dr Kim Dong Soo
Session 3 - Institutional Futures_Dr Kim Dong SooSession 3 - Institutional Futures_Dr Kim Dong Soo
Session 3 - Institutional Futures_Dr Kim Dong Soo
 
Session 1 - Economic Futures_Prof Tham Siew Yean
Session 1 - Economic Futures_Prof Tham Siew YeanSession 1 - Economic Futures_Prof Tham Siew Yean
Session 1 - Economic Futures_Prof Tham Siew Yean
 
Session 1 - Economic Futures_Dr Guanie Lim
Session 1 - Economic Futures_Dr Guanie LimSession 1 - Economic Futures_Dr Guanie Lim
Session 1 - Economic Futures_Dr Guanie Lim
 
Session 1 - Economic Futures_Prof Pavida
Session 1 - Economic Futures_Prof PavidaSession 1 - Economic Futures_Prof Pavida
Session 1 - Economic Futures_Prof Pavida
 
Special Address - Recent World Trends and Threats and to Malaysia Prospects
Special Address - Recent World Trends and Threats and  to Malaysia ProspectsSpecial Address - Recent World Trends and Threats and  to Malaysia Prospects
Special Address - Recent World Trends and Threats and to Malaysia Prospects
 
The Paddy and Rice Industry of Sabah and Sarawak: Status and Potential
The Paddy and Rice Industry of Sabah and Sarawak: Status and Potential The Paddy and Rice Industry of Sabah and Sarawak: Status and Potential
The Paddy and Rice Industry of Sabah and Sarawak: Status and Potential
 
Re-Configuring the Care Economy
Re-Configuring the Care EconomyRe-Configuring the Care Economy
Re-Configuring the Care Economy
 
Tackling Micronutrient Deficiencies: Causes and Solutions Presentation
Tackling Micronutrient Deficiencies: Causes and Solutions PresentationTackling Micronutrient Deficiencies: Causes and Solutions Presentation
Tackling Micronutrient Deficiencies: Causes and Solutions Presentation
 
Demarcation of Malaysian Households: An Integrated Income and Consumption Ana...
Demarcation of Malaysian Households: An Integrated Income and Consumption Ana...Demarcation of Malaysian Households: An Integrated Income and Consumption Ana...
Demarcation of Malaysian Households: An Integrated Income and Consumption Ana...
 
Demarcating households an integrated income and consumption analysis
Demarcating households an integrated income and consumption analysisDemarcating households an integrated income and consumption analysis
Demarcating households an integrated income and consumption analysis
 
The Crisis of Obesity, Diabetes and Other NCD's: The Crisis and How to Preven...
The Crisis of Obesity, Diabetes and Other NCD's: The Crisis and How to Preven...The Crisis of Obesity, Diabetes and Other NCD's: The Crisis and How to Preven...
The Crisis of Obesity, Diabetes and Other NCD's: The Crisis and How to Preven...
 
KRI Brown Bag Seminar #10: 'Informal and Non-Standard Employment: Cross-natio...
KRI Brown Bag Seminar #10: 'Informal and Non-Standard Employment: Cross-natio...KRI Brown Bag Seminar #10: 'Informal and Non-Standard Employment: Cross-natio...
KRI Brown Bag Seminar #10: 'Informal and Non-Standard Employment: Cross-natio...
 

Recently uploaded

Exploring Abhay Bhutada’s Views After Poonawalla Fincorp’s Collaboration With...
Exploring Abhay Bhutada’s Views After Poonawalla Fincorp’s Collaboration With...Exploring Abhay Bhutada’s Views After Poonawalla Fincorp’s Collaboration With...
Exploring Abhay Bhutada’s Views After Poonawalla Fincorp’s Collaboration With...
beulahfernandes8
 
The secret way to sell pi coins effortlessly.
The secret way to sell pi coins effortlessly.The secret way to sell pi coins effortlessly.
The secret way to sell pi coins effortlessly.
DOT TECH
 
This assessment plan proposal is to outline a structured approach to evaluati...
This assessment plan proposal is to outline a structured approach to evaluati...This assessment plan proposal is to outline a structured approach to evaluati...
This assessment plan proposal is to outline a structured approach to evaluati...
lamluanvan.net Viết thuê luận văn
 
What price will pi network be listed on exchanges
What price will pi network be listed on exchangesWhat price will pi network be listed on exchanges
What price will pi network be listed on exchanges
DOT TECH
 
Chương 6. Ancol - phenol - ether (1).pdf
Chương 6. Ancol - phenol - ether (1).pdfChương 6. Ancol - phenol - ether (1).pdf
Chương 6. Ancol - phenol - ether (1).pdf
va2132004
 
how to sell pi coins on Bitmart crypto exchange
how to sell pi coins on Bitmart crypto exchangehow to sell pi coins on Bitmart crypto exchange
how to sell pi coins on Bitmart crypto exchange
DOT TECH
 
What website can I sell pi coins securely.
What website can I sell pi coins securely.What website can I sell pi coins securely.
What website can I sell pi coins securely.
DOT TECH
 
what is a pi whale and how to access one.
what is a pi whale and how to access one.what is a pi whale and how to access one.
what is a pi whale and how to access one.
DOT TECH
 
how can i use my minded pi coins I need some funds.
how can i use my minded pi coins I need some funds.how can i use my minded pi coins I need some funds.
how can i use my minded pi coins I need some funds.
DOT TECH
 
The European Unemployment Puzzle: implications from population aging
The European Unemployment Puzzle: implications from population agingThe European Unemployment Puzzle: implications from population aging
The European Unemployment Puzzle: implications from population aging
GRAPE
 
how to sell pi coins effectively (from 50 - 100k pi)
how to sell pi coins effectively (from 50 - 100k  pi)how to sell pi coins effectively (from 50 - 100k  pi)
how to sell pi coins effectively (from 50 - 100k pi)
DOT TECH
 
managementaccountingunitiv-230422140105-dd17d80b.ppt
managementaccountingunitiv-230422140105-dd17d80b.pptmanagementaccountingunitiv-230422140105-dd17d80b.ppt
managementaccountingunitiv-230422140105-dd17d80b.ppt
SuseelaPalanimuthu
 
Financial Assets: Debit vs Equity Securities.pptx
Financial Assets: Debit vs Equity Securities.pptxFinancial Assets: Debit vs Equity Securities.pptx
Financial Assets: Debit vs Equity Securities.pptx
Writo-Finance
 
655264371-checkpoint-science-past-papers-april-2023.pdf
655264371-checkpoint-science-past-papers-april-2023.pdf655264371-checkpoint-science-past-papers-april-2023.pdf
655264371-checkpoint-science-past-papers-april-2023.pdf
morearsh02
 
how to sell pi coins in South Korea profitably.
how to sell pi coins in South Korea profitably.how to sell pi coins in South Korea profitably.
how to sell pi coins in South Korea profitably.
DOT TECH
 
USDA Loans in California: A Comprehensive Overview.pptx
USDA Loans in California: A Comprehensive Overview.pptxUSDA Loans in California: A Comprehensive Overview.pptx
USDA Loans in California: A Comprehensive Overview.pptx
marketing367770
 
GeM ppt in railway for presentation on gem
GeM ppt in railway  for presentation on gemGeM ppt in railway  for presentation on gem
GeM ppt in railway for presentation on gem
CwierAsn
 
when will pi network coin be available on crypto exchange.
when will pi network coin be available on crypto exchange.when will pi network coin be available on crypto exchange.
when will pi network coin be available on crypto exchange.
DOT TECH
 
how to sell pi coins in all Africa Countries.
how to sell pi coins in all Africa Countries.how to sell pi coins in all Africa Countries.
how to sell pi coins in all Africa Countries.
DOT TECH
 
US Economic Outlook - Being Decided - M Capital Group August 2021.pdf
US Economic Outlook - Being Decided - M Capital Group August 2021.pdfUS Economic Outlook - Being Decided - M Capital Group August 2021.pdf
US Economic Outlook - Being Decided - M Capital Group August 2021.pdf
pchutichetpong
 

Recently uploaded (20)

Exploring Abhay Bhutada’s Views After Poonawalla Fincorp’s Collaboration With...
Exploring Abhay Bhutada’s Views After Poonawalla Fincorp’s Collaboration With...Exploring Abhay Bhutada’s Views After Poonawalla Fincorp’s Collaboration With...
Exploring Abhay Bhutada’s Views After Poonawalla Fincorp’s Collaboration With...
 
The secret way to sell pi coins effortlessly.
The secret way to sell pi coins effortlessly.The secret way to sell pi coins effortlessly.
The secret way to sell pi coins effortlessly.
 
This assessment plan proposal is to outline a structured approach to evaluati...
This assessment plan proposal is to outline a structured approach to evaluati...This assessment plan proposal is to outline a structured approach to evaluati...
This assessment plan proposal is to outline a structured approach to evaluati...
 
What price will pi network be listed on exchanges
What price will pi network be listed on exchangesWhat price will pi network be listed on exchanges
What price will pi network be listed on exchanges
 
Chương 6. Ancol - phenol - ether (1).pdf
Chương 6. Ancol - phenol - ether (1).pdfChương 6. Ancol - phenol - ether (1).pdf
Chương 6. Ancol - phenol - ether (1).pdf
 
how to sell pi coins on Bitmart crypto exchange
how to sell pi coins on Bitmart crypto exchangehow to sell pi coins on Bitmart crypto exchange
how to sell pi coins on Bitmart crypto exchange
 
What website can I sell pi coins securely.
What website can I sell pi coins securely.What website can I sell pi coins securely.
What website can I sell pi coins securely.
 
what is a pi whale and how to access one.
what is a pi whale and how to access one.what is a pi whale and how to access one.
what is a pi whale and how to access one.
 
how can i use my minded pi coins I need some funds.
how can i use my minded pi coins I need some funds.how can i use my minded pi coins I need some funds.
how can i use my minded pi coins I need some funds.
 
The European Unemployment Puzzle: implications from population aging
The European Unemployment Puzzle: implications from population agingThe European Unemployment Puzzle: implications from population aging
The European Unemployment Puzzle: implications from population aging
 
how to sell pi coins effectively (from 50 - 100k pi)
how to sell pi coins effectively (from 50 - 100k  pi)how to sell pi coins effectively (from 50 - 100k  pi)
how to sell pi coins effectively (from 50 - 100k pi)
 
managementaccountingunitiv-230422140105-dd17d80b.ppt
managementaccountingunitiv-230422140105-dd17d80b.pptmanagementaccountingunitiv-230422140105-dd17d80b.ppt
managementaccountingunitiv-230422140105-dd17d80b.ppt
 
Financial Assets: Debit vs Equity Securities.pptx
Financial Assets: Debit vs Equity Securities.pptxFinancial Assets: Debit vs Equity Securities.pptx
Financial Assets: Debit vs Equity Securities.pptx
 
655264371-checkpoint-science-past-papers-april-2023.pdf
655264371-checkpoint-science-past-papers-april-2023.pdf655264371-checkpoint-science-past-papers-april-2023.pdf
655264371-checkpoint-science-past-papers-april-2023.pdf
 
how to sell pi coins in South Korea profitably.
how to sell pi coins in South Korea profitably.how to sell pi coins in South Korea profitably.
how to sell pi coins in South Korea profitably.
 
USDA Loans in California: A Comprehensive Overview.pptx
USDA Loans in California: A Comprehensive Overview.pptxUSDA Loans in California: A Comprehensive Overview.pptx
USDA Loans in California: A Comprehensive Overview.pptx
 
GeM ppt in railway for presentation on gem
GeM ppt in railway  for presentation on gemGeM ppt in railway  for presentation on gem
GeM ppt in railway for presentation on gem
 
when will pi network coin be available on crypto exchange.
when will pi network coin be available on crypto exchange.when will pi network coin be available on crypto exchange.
when will pi network coin be available on crypto exchange.
 
how to sell pi coins in all Africa Countries.
how to sell pi coins in all Africa Countries.how to sell pi coins in all Africa Countries.
how to sell pi coins in all Africa Countries.
 
US Economic Outlook - Being Decided - M Capital Group August 2021.pdf
US Economic Outlook - Being Decided - M Capital Group August 2021.pdfUS Economic Outlook - Being Decided - M Capital Group August 2021.pdf
US Economic Outlook - Being Decided - M Capital Group August 2021.pdf
 

Session 1- Economic Futures_Tan Sri Azlan

  • 1. Malaysia Economic Futures Advancing Complexity Noor Azlan Ghazali MINDA - UKM LSE SEAC – Khazanah Research Institute (KRI) Malaysia Futures Forum 2023 31 May, 2023 1
  • 2. ECI summarizes how “complex” a country’s export basket is i.e. how much “productive knowledge” it holds Source: Hausmann, Hidalgo et al. (2012) The Economic Complexity Index (ECI) reflects: • The level of diversification of a country’s export basket • The ubiquity of its products • And the characteristics of the export baskets of other countries in the world that export similar products Diversity of capabilities affects a country’s wealth and growth rate 2 Source: The Atlas of Economic Complexity, Growth Lab, Center for International Development (CID), Harvard Kennedy School.
  • 3. Source: Hausmann, Hidalgo et al. (2012) Palm Oil Tropical Agriculture Integrated Circuits Electronics Lubricating Products Chemicals Lifting Machinery Machinery Different products have different levels of connectedness and therefore have different opportunities to move within the product space 3
  • 4. Economic Complexity Overtime: South Korea – Malaysia – Vietnam 4
  • 5. Product exported with RCA >1 Product not exported with RCA >1 Node size is proportional to world trade 2020 (Export:$596 bil) 1995 (Exports:$150 bil) South Korea | Product Space South Korea experienced a massive expansion in sophisticated categories and a winnowing in low sophistication categories Winnowing in sparse-low sophistication- low value products (e.g. garments) E&E remains Korea’s major segment A classic case of a successful industry transformation. Growth is sustainable with Korea now shifted into the ‘dense’ and ‘high value’ space depicting a complex economy. Massive expansion into dense-sophisticated, high-value products (e.g. chemicals, automotive, machinery) 5
  • 6. Product exported with RCA >1 Product not exported with RCA >1 Node size is proportional to world trade Minimal expansion in dense-high sophistication- high value products (e.g. chemical) Similar to Korea, Malaysia winnowing in sparse-low sophistication, low value products (e.g. garments) 2020 (Exports: $207 bil) 1995 (Exports: $80 bil) Malaysia | Product Space E&E remains Malaysia’s major segment Malaysia experienced a slight expansion in high sophistication and a winnowing in low sophistication categories but yet to firmly shift to complex-high-value segment 6
  • 7. Localisation of growth process - promoting regional/locational strengths via effective engagement and attention to creating Density; shortening Distance; removing Division (3D for growth). Focusing on micro-elements of competitiveness that reflects real activities, i.e. complexity and sophistication of activities, enhancing firms’ productivity and operational strategy. Firming cluster strength by focusing on cluster-wide development, readiness of effective ecosystem (strengthening the entire value chain) and creation of growth within dense product space. 1 2 3 Re-setting for Malaysia Futures: Key Paradigms for Advancing Complexity 7