Cite as https://mymun.com/ppdb/18465
Committee: World Bank
Topic: Debt burden
According to the Central Bank of Malaysia, it is reported that the debt-to-GDP ratio of Malaysia is equivalent to 80.3%. This could potentially be the problem since it may result in less capital for the flow of money for the daily-running businesses.
Nikkei Asian Review reported in 2018 that Six Southeast Asian countries have much higher external debt levels than the developing world average. Laos has the highest level of debt-to-GDP ratio at 93.1%, followed by Malaysia (80.3%), Cambodia and Vietnam.
The economy is able to pay-off the debts rapidly and honestly. However, Debt Collection Agency of Malaysia takes an action if there are any issues arising with undue or late payments throughout negotiation/arbitration and court.
As large amount of the debt is used for the poorest 40% of the population, a way to eliminate the ‘root’ of the debt is by narrowing the income inequalities of the population. They are partic...