The World Bank said Malaysia could reach high-income nation status as early as 2028 amid better-than-expected economic growth and a strengthening currency. Apurva Sanghi, lead economist for Malaysia, said that Malaysia is on track to hit the milestone after the Washington, DC-based lender raised the country’s 2024 growth forecast from 4.3 percent to 4.9 percent. He added that higher growth is translating to better living standards, which, paired with a stronger ringgit, have put higher-income status “within reach”.
Apurva pointed out that Malaysia’s economy is 12 percent larger than before the COVID-19 pandemic, putting it ahead of every Southeast Asian country apart from Singapore. “This also means M’sia could reach high-income status as early as 2028 – assuming continuing reforms – and luck,” Apurva wrote in a post on X. Apurva called on the Malaysian government to focus on reforms to ensure progress, including unwinding fuel subsidies and tackling the underemployment of some 2 million Malaysians working in jobs for which they are overqualified.
