Malaysia's productivity grew by 2.4% in the third quarter of 2024, contributing to a Gross Domestic Product (GDP) growth of 5.3%, according to the Malaysia Productivity Corporation (MPC). This performance translates to a value-added figure of RM25,077 per worker, underscoring the private sector's critical role, which accounts for over 90% of the nation's economic output.

MPC Director-General Zahid Ismail emphasised the importance of higher productivity in driving Malaysia's economic competitiveness. "Higher productivity strengthens the nation's competitiveness by doubling the private sector's contribution to GDP. With close collaboration between the government and private sector, we can build an innovative and sustainable economic ecosystem," he said.

Strategic initiatives like Bureaucratic Red Tape Reforms (RKB), digitalisation, and automation have been implemented to enhance private sector efficiency. Zahid noted that these efforts not only bolster business resilience but also help control inflation through operational cost savings, ultimately benefiting consumers with more competitive product prices and improved purchasing power.

To address complex global challenges, MPC highlighted the need for proactive measures, including prioritised investments in research and development (R&D) to foster innovative solutions that can accelerate Malaysia's economic transformation.

Zahid also stressed the government's critical role as a facilitator and catalyst for private sector productivity efforts, describing this partnership as essential for long-term sustainable growth.

"With a holistic approach and strategic collaboration among the government, private sector, and citizens, Malaysia is on track to achieve sustainable economic growth. This collective effort will strengthen the country's position as an advanced economy by 2030 while improving the quality of life for its people," he added.