The Economy of Malaysia
Mahathir's Industrialisation Drive
In the 1980s and 90s, Mahathir Mohamad pushed heavy industry, infrastructure and privatisation, aiming for developed status by 2020.
A leader with a big vision.
Look East
Mahathir encouraged learning from Japan and Korea.
Heavy industry
State projects included a national car company, Proton, and steel.
Privatisation
Public utilities and infrastructure were privatised, often to well-connected firms.
Vision 2020
The goal of reaching developed status by 2020 was not met.
A national car
Proton was built and protected by tariffs to give Malaysia its own auto brand.
Assuming national champions always succeed
Protection can shield inefficiency.
Key takeaways
- Mahathir led industrialisation.
- Proton was a national car.
- Privatisation favoured insiders.
- Vision 2020 was not met.
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