In a note today, it said the country needs policies that will encourage business and also bring back investor confidence as well as people’s confidence in government institutions.

“The government needs to bring prosperity into the country’s economic system.

“We are at a crossroads and time is of the essence; without thorough and bold reforms, we could fall by the wayside,” it said, commenting on Malaysia’s position in the 2022 International Institute for Management Development (IMD) World Competitiveness Ranking (WCR).

Malaysia has fallen to the 32nd spot, down by seven positions from the 25th spot in 2021.

Meanwhile, Thailand and Indonesia also tumbled from their previous rankings of 28th and 37th to the 33rd and 44th place, respectively, due to the slow re-opening of the economy post-Covid-19.

However, Singapore rose to rank number three on the list, up from the fifth position in 2021.

The 2022 WCR assessed 63 economies, applying 333 competitiveness criteria selected through comprehensive research using economic literature, international, national and regional sources and feedback from business communities, government agencies, academics and survey responses.