Malaysia

F

Energy

Malaysia is self-sufficient in energy. In 2003 annual production was 79 billion kilowatt-hours. Some 93 percent of the country’s production came from thermal plants burning fossil fuels (petroleum and natural gas), and 7 percent was from hydroelectric sources.

G

Transportation and Communications

The framework of West Malaysia’s system of roads and railroads was laid down during the British colonial period. A main highway in western Peninsular Malaysia extends over 800 km (500 mi) from Singapore to the Thai border in the north. The road system in Sabah and Sarawak is much less developed; a main road runs along Borneo’s northern coast but there are few good interior roads. The state-owned railroad system consists of 1,667 km (1,036 mi) of track, most of which is in West Malaysia and with a short stretch in Sabah. Malaysia Airlines, founded in 1971, offers both domestic and international flights. Other domestic carriers also offer local flights. Malaysia has a number of international airports, including the Kuala Lumpur International Airport, located south of the city at Sepang. Major seaports in West Malaysia are Port Kelang, George Town, and Melaka. Kuching and Labuan are the major seaports serving Sarawak and Sabah, respectively.

The government of Malaysia tightly controls and monitors most public communications. Government censorship, and the expectation of it, imposes restrictions on the news media. Malaysia has 35 daily newspapers publishing in four languages. A government agency, Radio Television Malaysia, controls and monitors radio and television broadcasting. The state-run Radio Malaysia operates six radio networks, and Television Malaysia operates two television networks; two private television networks also exist. The government has made it a policy to not censor the Internet, which as a consequence has become an important alternative source of information for the Malaysian public.

H

Foreign Trade

Export trade totaled $127 billion in 2004. Major exports include semiconductors and electrical equipment, palm oil, chemicals, petroleum, machinery appliances and parts, wood and wood products, and textiles. The chief buyers of exports are the United States, Singapore, Japan, China (including Hong Kong), and Thailand. Imports were valued at $104 billion in 2004. Major imports include electrical and electronic products, machinery and transportation equipment, chemicals, manufactures of metal, petroleum, and iron and steel products. The leading suppliers of imported goods are Japan, the United States, Singapore, China, Taiwan, and South Korea.

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Malaysia is a founding member of the Association of Southeast Asian Nations (ASEAN) and is a full participant in the ASEAN Free Trade Area (AFTA), established in 1992 with the goal of establishing nearly free trade among member nations. With the formal implementation of AFTA in 2002, member nations were to gradually reduce tariff barriers to 5 percent or less. Malaysia became a member of the World Trade Organization (WTO) in 1995.

I

Currency and Banking

The Malaysian unit of currency is the ringgit, consisting of 100 sen (3.70 ringgits equal U.S.$1; 2006 average). Malaysia’s central bank and bank of issue is the Bank Negara Malaysia, in Kuala Lumpur. There is a stock exchange in Kuala Lumpur.

VI

Government

Malaysia is a federal constitutional monarchy with a two-house legislature. The government is based on the 1957 constitution of the Federation of Malaya, which was an independent nation from 1957 to 1963 that occupied present-day West Malaysia. The Federation of Malaya joined with Singapore, Sarawak, and Sabah to form the Federation of Malaysia in 1963, although Singapore became an independent republic in 1965. All citizens of Malaysia who are at least 21 years old may vote.

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