Corruption perception index

Corruption increases cost of business and can tarnish a country’s image in the eyes of foreign investors
and can reduce FDI .

 According to corruption perception index Malaysia scores 53 out 100 (higher score indicates
lower corruption) which makes Malaysia 2 nd least corrupt country in South East Asia and is
ranked 50th out of the 175 countries evaluated.
 With a score of 53, Malaysia has a higher score than its neighboring countries like Thailand,
Philippines and Indonesia.
 Higher scores than the neighboring countries has attracted MNCs such as Intel and AMD to set
up plants in Malaysia.
 Lower corruption reduces business costs and this has increased FDI in Malaysia compared to the
neighboring countries.
 In 2019, Malaysia has been ranked 12 th out of 190 countries in ease of doing business index. This
means Malaysia has business friendly regulations that has attracted MNCs to invest in the
country.