The World Bank has partnered with Malaysia since its independence in 1957, providing development financing from the 1950s to the 1990s. Over time, this relationship shifted toward leveraging the World Bank’s global knowledge and research.

The partnership now focuses on sharing Malaysia’s development experiences, conducting original economic research, and supporting national development priorities through global expertise. To strengthen the relationship, the World Bank Group established an office in Kuala Lumpur in 2015, at the invitation of the Malaysian government.

Since 2020, the World Bank has operated the Inclusive Growth and Sustainable Finance Hub in Malaysia—a knowledge center that aligns with Malaysia’s aspirations for inclusive growth, shared prosperity, and developed nation status, while reinforcing its global leadership in sustainable finance.

The partnership between Malaysia and the World Bank Group is based on three pillars:

• Supporting economic growth: The World Bank supports policies that ensure sustainable and inclusive development, partly by providing research and advisory work on economic inclusion, private sector competitiveness, and human capital development.
• Promoting sustainable and Islamic finance: The World Bank collaborates with stakeholders to build a resilient financial sector that supports Malaysia’s sustainability goals, partly by providing technical assistance and research to advance sustainable and Islamic finance frameworks.
• Strengthening governance: The World Bank supports governance reforms and institutional strengthening to enhance public sector performance, economic diversification, and productivity, especially amid tightening fiscal conditions.

In 2023, at the request of the Government of Malaysia, IFC established a presence in Malaysia to support sustainable, private sector-led growth. The office in Malaysia is now led by a World Bank Group Country Manager, enabling streamlined access to the full suite of World Bank Group services.