Wayzata World Factbook 1994/World Factbook - 1994 Edition - Wayzata Technology (1994).iso/pc/text/txtfiles/malaysia.bkg

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#CARD:Malaysia:Background Notes
US DEPARTMENT OF STATE BACKGROUND NOTES:  MALAYSIA

February 1992
Official Name:  Malaysia

PROFILE
Geography
Area:  329,749 sq. km. (127,316 sq. mi.); slightly larger than New
Mexico.  Cities: Capital--Kuala Lumpur (pop. 1 million).  Other
cities--Penang, Petaling Jaya, Ipoh, Malacca, Johore Bahru, Kuching,
Kota Kinabalu.  Terrain:  Coastal plains and interior, jungle-covered
mountains; Peninsular Malaysia is separated from East Malaysia in Borneo
by 644 km. (400 mi.) of the South China Sea.  Climate: Tropical;
temperatures average 270C (800F) year round with high humidity.

People
Nationality:  Noun and adjective-- Malaysian(s).  Population (1990): 18
million.  Annual growth rate (1990): 2.5%.  Ethnic groups:  Malay and
other indigenous 61%, Chinese 30%, Indian 8%, Others 1%.  Religions:
Muslim, Hindu, Buddhist, Taoist, Christian, traditional.   Languages:
Malay, Chinese dialects, English, Tamil, other indigenous.  Education:
Years compulsory--9.  Attendance--99% (primary), 65% (secondary).
Literacy--80% in Peninsular Malaysia, 60% in Sabah and Sarawak.  Health:
 Infant mortality rate--20/1,000.  Life expectancy--71 yrs.  Work force:
7.2 million.  GDP by industrial origin, 1991 est.:  Manufacturing--28%.

Agriculture--18%.  Government--10%.  Mining and petroleum--9%.  Local
trade and tourism--11%.  Transportation and communications--7%.
Finance--10%.

Government
Type:  Federal parliamentary democracy on the Westminster model with a
constitutional monarch.  Independence: August 31, 1957.  Constitution:
1957.
Branches: Executive--Yang di-Pertuan Agong (head of state, with
ceremonial duties), prime minister (head of government), cabinet.
Legislative--bicameral parliament, comprising 69-member Senate (26
elected by the 13 state assemblies, 43 appointed by the king) and
180-member House of Representatives (elected from single-member
districts).  Judicial--Supreme Court, high courts.
Subdivisions:  13 states and the federal territory (capital).  Each
state has an assembly and government headed by a chief minister.  Nine
of these states have hereditary rulers, generally titled "sultan," while
the remaining four have appointed governors in counterpart positions.
Political parties: Barisan Nasional (National Front)--a broad coalition
comprising the United Malays National Organization (UMNO) and 12 other
parties, most of which are ethnically based; Democratic Action Party
(DAP); Parti Se-Islam Malaysia (PAS); Parti Bersatu Sabah (PBS);
Semangat 46.  There are more than 30 registered political parties,
including the foregoing, 13 of which are  represented in the federal
parliament.  Suffrage: Universal adult.
Central government budget (1988): $11 billion.
Defense (1987 est.):  4% of GNP.
Flag:  14 horizontal red and white stripes with a yellow crescent and a
star on a dark blue field in the upper left corner.

Economy
GNP (1990):  $41 billion.  Annual real growth rate (1991 est.): 8%.  Per
capita nominal growth rate (1990): 11%.  Avg. inflation rate (1990):
3%.
Natural resources:  Petroleum, liquefied natural gas (LNG), tin,
minerals.
Agriculture:  Products--palm oil, rubber, timber, cocoa, rice, pepper,
pineapples.
Industry:  Types--electronics, electrical products, rubber products,
automobile assembly, textiles.
Trade (1990):  Exports--$29 billion: electronic components, petroleum,
timber and logs, palm oil, natural rubber, LNG, electrical products,
textiles.  Major markets--Singapore 23%, US 17%, Japan 15%, EC 15%.
Imports--$27 billion: intermediate goods, machinery, metal products,
food products, consumer durables, transport equipment.  Major
suppliers--Japan 24%, US 17%, Singapore 15%, EC 15%.
Fiscal year:  Calendar year.
Exchange rate:  2.75 Malaysian ringgit (M$)=US$1.
US aid received (1990):  Military program grants--$946,000.   Narcotics
suppression--$105,000.

International Affiliations
 UN and some of its specialized and related agencies, including the
World Bank, International Monetary Fund (IMF), UNESCO, International
Atomic Energy Agency (IAEA); General Agreement on Tariffs and Trade
(GATT);  Association of South East Asian Nations (ASEAN); Asian
Development Bank (ADB); Five-Power Defense Arrangement (FPDA);
South-South Commission (G-15); Asia Pacific Economic Cooperation (APEC);
Commonwealth; Nonaligned Movement; Organization of the Islamic
Conference (OIC); INTELSAT.

PEOPLE
 Malaysia's population continues to grow at a rate of more than 2% a
year; about 37% are under 15 years of age. Population distribution is
uneven, with some 15 million residents concentrated on the Peninsular
Malaysia lowlands, an area slightly smaller than the state of Michigan.
 Malaysia's population comprises many ethnic groups;  the Malays are a
slight majority.  The politically dominant Malays are indigenous and, by
constitutional definition, all Muslim.
 Nearly one-third of the Malaysians are Chinese. They are mainly urban
and, by virtue of their important role in trade, business, and finance,
possess considerable economic power.  The majority are Buddhists,
Taoists, or Christians.
 Malaysians of Indian descent comprise just over 8% of the population.
About 85% of the Indian community are Tamils.  They are divided among
Hindus, Buddhists, and Muslims.  Malaysian Indians are well represented
in the professions as well as in agriculture and the service trades.
 Non-Malay indigenous groups make up more than 50% of Sarawak's
population and about 66% of Sabah's. They are divided into dozens of
distinct ethnic groups but they share some general patterns of living
and culture.  Until the 20th century, most practiced traditional
beliefs, but many have become Christians or Muslims.
 About 85% of Malaysia's population speak Malay, the "national
language."  English is used widely in government and business.

HISTORY
 In the first century AD, two far-flung but related events helped
stimulate Malaysia's emergence in international trade in the ancient
world.  At that time, India had two principal sources of gold and other
metals: the Roman Empire and China.  The overland route from China was
cut by marauding Huns, and about the same time, the Roman Emperor
Vespasian cut off shipments of gold to India.  As a result, the Indians
sent large and seaworthy ships, with crews reported to have numbered in
the hundreds, to Southeast Asia, including the Malayan Peninsula, to
seek alternative sources.  In the centuries that followed, rich
Malaysian tin deposits assumed great significance in Indian Ocean trade,
and the region prospered.  As maritime trade among Middle Eastern,
Indian, and Chinese ports flourished, the peninsula benefited from its
location as well as from development of its diverse resources, including
tropical woods and spices.  Malay ships became prominent in that trade,
and Malay ports served as transshipment centers.  Indian trade brought
Indian culture, economy, religion, and politics, with historic results
for what eventually became Malaysia.
 The early Buddhist Malay kingdom of Srivijaya, based at what is now
Palembang, Sumatra, dominated much of the Malay Peninsula from the 9th
to the 13th centuries AD.  The powerful Hindu kingdom of Majapahit,
based on Java, gained control of the Malay Peninsula in the 14th
century.  Conversion of the Malays to Islam, beginning in the early 14th
century, accelerated with the rise of the state of Malacca under the
rule of a Muslim prince in the 15th century.
 Malacca was a major regional entrepot, where Chinese, Arab, Malay, and
Indian merchants traded precious goods.  Drawn by this rich trade, a
Portuguese fleet conquered Malacca in 1511, marking the beginning of
European expansion in Southeast Asia.  The Dutch ousted the Portuguese
from Malacca in 1641 and, in 1795, were replaced by the British, who had
occupied Penang in 1786.
 In 1826, the British settlements of Malacca, Penang, and Singapore were
combined to form the Colony of the Straits Settlements.  From these
strong points, in the 19th and early 20th centuries, the British
established protectorates over the Malay sultanates on the peninsula.
Four of these states were consolidated in 1895 as the Federated Malay
States.
 During British control, a well-ordered system of public administration
was established, public services were extended, and large-scale rubber
and tin production was developed.  This control was interrupted by the
Japanese invasion and occupation from 1942 to 1945.
 Popular sentiment for independence swelled during and after the war,
and, in 1957, the Federation of Malaya, established from the
British-ruled territories of Peninsular Malaysia in 1948, negotiated
independence from the United Kingdom under the leadership of Tunku Abdul
Rahman, who became prime minister.  The British colonies of Singapore,
Sarawak, and Sabah (called North Borneo) joined the Federation of Malaya
to form Malaysia on September 16, 1963.  Singapore withdrew, however, on
August 9, 1965, and became an independent republic.  Neighboring
Indonesia objected to the formation of Malaysia and pursued a program of
economic, political, diplomatic, and military "confrontation" against
the new country.  This "confrontation" policy ended only after the fall
of Indonesia's President Sukarno in 1966, after which cordial
Malaysian-Indonesian relations were established.
 Following World War II, local communists, nearly all Chinese, launched
a long, bitter insurgency, prompting the imposition of a state of
emergency in 1948 which was lifted in 1960.  Small bands of guerrillas
remained in bases along the rugged border with southern Thailand,
occasionally entering northern Malaysia.  These guerrillas finally
signed a peace accord with the Malaysian Government in December 1989.  A
separate small-scale communist insurgency that began in the mid-1960s in
Sarawak also ended with the signing of a peace accord in October 1990.

GOVERNMENT
 Malaysia is a constitutional monarchy, nominally headed by the Yang
di-Pertuan Agong (paramount ruler), customarily referred to as the king.
 Kings are elected for 5-year terms from among the nine sultans of the
peninsular Malaysian states.  The king also is the leader of the Islamic
faith in Malaysia.
 Executive power is vested in the cabinet led by the prime minister; the
Malaysian constitution stipulates that the prime minister must be a
member of the lower house of parliament who, in the opinion of the Yang
di-Pertuan Agong, commands a majority in parliament.  The cabinet is
chosen from among members of both houses of parliament and is
responsible to that body.
 The bicameral parliament consists of the Senate (Dewan Negara) and the
House of Representatives (Dewan Rakyat).  All members sit for 6-year
terms.  Representatives of the House are elected in single-member
districts by universal adult suffrage.  The 180 members of the House of
Representatives are elected to maximum terms of 5 years.  Legislative
power is divided between federal and state legislatures.
 The Malaysian legal system is based on English common law.  The Supreme
Court reviews decisions referred from the high courts; it has original
jurisdiction in constitutional matters and in disputes between states or
between the federal government and a state.  Peninsular Malaysia and
East Malaysia in Borneo each have a high court.
 The federal government has authority over external affairs, defense,
internal security, justice (except civil law cases among Malays and
other indigenous peoples, adjudicated under Islamic and traditional
law), federal citizenship, finance, commerce, industry, communications,
transportation, and other matters.  The states of East Malaysia enjoy
guarantees of state rights with regard to immigration, civil service,
and customs matters.  Control over oil and timber, and the distribution
of revenues from taxes from these resources, as well as state autonomy
in areas such as education and information, remain sources of
controversy between the federal government and the states of East
Malaysia, particularly Sabah.

Principal Government Officials
Prime Minister and Minister of Home Affairs--Datuk Seri Dr. Mahathir bin
Mohamad
Foreign Minister--Datuk Abdullah bin Haji Ahmad Badawi
Ambassador to the US--Abdul Majid bin Mohamed
Ambassador to the UN--Razali bin Ismail

 Malaysia maintains an embassy in the US at 2401 Massachusetts Ave. NW,
Washington, DC  20008 (tel. [phone]); a consulate general in the
World Trade Center, 350 South Figueroa Street, Los Angeles, CA (tel. 213
-621-2991); and a consulate general at 140 E 45th Street, New York, NY
10017 (tel. [phone]).

POLITICAL CONDITIONS
 The principal political force in Malaysia from the struggle for
independence until 1973 was the Alliance, a coalition of communally
based parties--the United Malays National Organization (UMNO), the
Malaysian Chinese Association (MCA), and the Malaysian Indian Congress.
Several opposition parties also date from this period. Communist parties
are illegal.
 During the transition to independence, the Alliance provided stable and
effective government for the former Federation of Malaya.  In May 1969,
however, this stability was threatened by the outbreak of communal riots
in Kuala Lumpur.  This violence, primarily pitting Chinese against
Malays, was fueled by underlying tensions that came to the surface when
the Chinese-dominated opposition registered impressive gains at the
polls.  As a result of these riots, parliament was suspended and a
National Operations Council (NOC) was created, composed of nine members,
headed by the deputy prime minister, and given full power to restore
order.  Normal parliamentary government was restored in February 1971,
and the passage of legislation against public or parliamentary debate on
certain sensitive communal topics soon followed.  In addition, the
Malaysian Government adopted the 20-year New Economic Policy (NEP), an
affirmative action program aimed at improving the socio-economic status
of ethnic Malays.  At the same time, Tunku Abdul Rahman stepped down as
Prime Minister and was replaced by Tun Abdul Razak.
 In 1973, the Alliance was replaced with a broader coalition, the
Barisan Nasional, composed of 13 parties.  In the August 1974 elections,
Barisan garnered more than 70% of the popular vote, winning 135 of the
154 seats in the House of Representatives, and capturing control of all
the state assemblies.
 With the death of Tun Abdul Razak in January 1976, Deputy Prime
Minister Hussein Onn became Prime Minister, continuing the development
programs begun by his predecessor.  Hussein Onn retired in July 1981 and
was succeeded by his deputy, Datuk Seri Dr. Mahathir Mohamad, as leader
of the UMNO and as Prime Minister.  In April 1982, Dr. Mahathir called
elections, which Barisan won by a landslide, securing 140 of the 154
seats in the lower house of parliament.  In state assembly elections,
Barisan swept 282 of 312 seats, thereby retaining control of all state
assemblies.  In its next electoral test, August 1986, Barisan won 148 of
the 177 parliamentary districts and again retained control of all 11
peninsular state assemblies.

 Malaysia's predominant political party, UMNO, held party elections in
April 1987; Dr. Mahathir successfully defended the presidency against
his challenger, Tengku Razaleigh Hamzah.  In February 1988, the high
court, in dismissing a case brought by 11 members of the group that
supported Tengku Razaleigh in the party elections, held that because of
irregularities in the registration of a number of its branches, UMNO was
not a legally registered party at the time of the party elections.  A
new party (UMNO Baru) was formed under Dr. Mahathir, who remained Prime
Minister.
 In October 1990, Barisan turned back an unprecedented opposition
challenge spearheaded by Tengku Razaleigh's new party, Semangat 46.
Razaleigh had brought together a loose opposition front composed of
ideologically diverse parties, including Parti Bersatu Sabah (PBS) which
had bolted from the Barisan coalition on the eve of elections.  Barisan
won 127 out of 180 parliamentary districts, but lost control of two
states: the Islamic opposition party (PAS) captured control of Kelantan,
while PBS retained control of Sabah.
 Since their entry into Malaysia in 1963, the East Malaysian states of
Sabah and Sarawak have been largely controlled by the ruling coalition.
During a brief period in the mid-1960s, Sarawak was ruled by a renegade
chief minister.  Also, prior to the recent PBS defection from Barisan,
Sabah was ruled by PBS as an opposition party from April 1985 until June
1986, when PBS was admitted to Barisan.

ECONOMY
 At independence, Malaysia inherited an economy dominated by two
commodities--rubber and tin.  In the  35 years since, Malaysia's
economic record has been one of the most successful in Asia.  From 1965
to 1990, the economy experienced a period of broad diversification and
sustained rapid growth averaging between 7% and 8%.  Per capita gross
national product (GNP) reached nearly $2,000 in 1984.  By 1990, the
figure was $2,300.  Palm oil, timber, cocoa, and pepper were added to
Malaysia's export crops.  Malaysia is the world's leading producer of
rubber and palm oil, the number four producer of tin, and the largest
exporter of tropical timber.  The petroleum sector expanded rapidly
after 1980, making Malaysia a significant exporter of oil and liquefied
natural gas (LNG).  New foreign and domestic investment in
manufacturing, much of it from the United States, Japan, Taiwan, and
Singapore, led to increasing exports of electronic components,
electrical consumer goods, textile products, and other manufactures.
Manufacturing grew from 13% of gross domestic product (GDP) in 1970 to
an estimated 27% in 1990.
 The worldwide recession in 1981-82 hurt the Malaysian economy by
depressing the prices of Malaysia's traditional commodity exports;
growth slackened, and investment fell.  The government sought to
stimulate the economy and speed up the growth of industry through
increased spending on a number of heavy industry and infrastructure
projects.  Public entities and government-owned companies also spent
heavily to acquire majority control of most of the large foreign-owned
plantation companies.  Much of the increased public spending was
financed by foreign borrowing, pushing Malaysia's foreign debt from $4
billion in 1980 to $15 billion in 1984.
 Malaysia's long period of high growth came to an abrupt halt in
1985-86.  The sharp fall in world commodity prices (oil and palm oil
prices were halved) sent Malaysia's economy into recession.  Real output
was stagnant during 1985-86, but the worsening of Malaysia's terms of
trade (the prices of the country's exports compared to the prices of
imports) caused nominal GNP to fall by a combined 12% in 1985 and 1986.
Per capita GNP fell from $2,000 in 1984 to $1,600 in 1986.
 Malaysia's recovery from its recession began in late 1986 and gained
strength during 1987.  Improved commodity prices and strong growth in
exports of manufactured goods led the recovery.  The government
estimated that real GNP grew 10% in 1988, 10% in 1989, and 11% in 1990.
Growth was expected to decline to 8% in 1991.  The economic expansion
since 1987 has been led by foreign demand for Malaysia's exports, with
net exports accounting for more than three-quarters of growth.  Domestic
consumer spending and private investment have also picked up, and
unemployment fell to 6% in 1990 from 9% in 1987.
 In 1988, the strong export performance resulted in Malaysia's first
current account surplus since 1979, hitting $1.7 billion.  Increased
imports of manufactured items (especially intermediate goods) and
services, however, have since driven the current account into an
estimated deficit of $3 billion for 1991.  Despite this deficit and the
rise in the dollar value of loans denominated in yen and European
currencies, Malaysia has reduced its foreign debt from $20 billion in
1986 to an estimated $15 billion in 1991.  Net foreign exchange reserves
stood at $10 billion at the end of 1990, equal to four and a half months
of merchandise imports.
 Malaysia's prospects for continuing growth and prosperity are excellent
with growth rates in the 6%-8% range at least through the early 1990s.
Malaysia possesses abundant resources and land, a well-educated work
force, good infrastructure, and a stable political environment.  Strong
domestic savings provide adequate funds for investment, and Malaysia
remains attractive to foreign investors.  Rising costs of production in
Taiwan, Japan, Singapore, and South Korea have heightened Malaysia's
competitive position in the region.  The economy, however, remains
vulnerable to external shocks.  Exports account for roughly 70% of GNP,
and a recession in the industrial economies could have severe
repercussions for the country.
 Manufacturing is now the Malaysian economy's largest sector, accounting
for an estimated 27% of GDP in 1990.  Major products include electronic
components (Malaysia is the world's largest exporter of semiconductor
devices), electrical goods, air conditioners, and textiles and apparel.
 Agriculture is the economy's second largest sector, accounting for an
estimated 19% GDP in 1990 and 30% of employment.  Agricultural products
(including forest products) account for an estimated 31% of exports.
Malaysia is the world's largest producer of natural rubber, accounting
for 25% of world production.
 In the 1980s, palm oil began to overshadow rubber as the "golden" crop.
 Palm oil is a vegetable oil used for a variety of purposes, such as
cooking oil, soap, and as an ingredient in margarine.  Malaysia produces
60% of the world's palm oil (6.6 million metric tons in 1990), and
production will continue to increase as new acreage is developed and
trees mature.
 Timber and timber products account for 17% of all exports in 1990.
Malaysia is the world's largest exporter of tropical hardwood.  Most of
the raw timber exported from Malaysia comes from Sabah and Sarawak.
Peninsular Malaysia exports plywood, moldings, and other wood products.
 Malaysia is now the world's fourth largest producer of cocoa.  It also
exports pepper (from Sarawak), coconut products, and fresh fruits.  It
is a net exporter of pork and chicken but relies on imports of beef,
dairy, vegetable, wheat, and some fruit products.
 The petroleum sector became increasingly important during the 1980s as
periodically high prices and rising production volumes boosted
Malaysia's export revenues.  In 1990, oil, LNG, and petroleum products
accounted for 18% of total exports.  Oil production in 1990 averaged
626,400 barrels per day and is expected to be over 600,000 barrels per
day in 1991.  Major customers for Malaysian crude oil are Singapore,
Japan, and South Korea.  Some of the oil exported to Singapore is then
imported back into Malaysia as refined products.  All of Malaysia's LNG
exports are shipped from Sarawak to Japan,  although Malaysia expects to
expand LNG exports to include Taiwan and South Korea.  Oil production is
roughly split between fields in the South China Sea off Borneo and those
off  Peninsular Malaysia.  Gas reserves off of Peninsular Malaysia are
currently being developed to fuel power stations and to supply
industries in Peninsular Malaysia and Singapore.  All exploration is
conducted under production-sharing contracts between the national oil
company, PETRONAS, and foreign oil companies.  The only foreign oil
companies currently producing oil and gas are Exxon and Shell.
 Malaysia is no longer the world's leading tin producer.  The collapse
of the International Tin Council in 1985 depressed prices and forced
many of Malaysia's smaller mines to close.  In 1990, production fell 11%
from the previous year to 28,468 metric tons.
 The government encourages foreign investment and participation.  The
1986 Promotion of Investment Act and the Free Trade Zone Act of 1972
provide substantial incentives to foreign investors.  Total US
investment alone is about $6 billion, two thirds of which is in
petroleum development and electronic component production.  Japan,
Taiwan and Singapore also have substantial investments.
 The NEP of 1971 was established to eradicate poverty in Malaysia and to
restructure the economy to end the identification of economic function
with race.  In particular, it was designed to enhance the economic
standing of the ethnic Malays and indigenous peoples (collectively known
as "bumiputras" in Malay).  Rapid growth during the 1970s and early
1980s made it possible to expand the share of the economy for bumiputras
without reducing the economic attainments of the other groups.
 The most controversial NEP goal was to alter the pattern of ownership
of corporate equity in Malaysia.  The NEP sought to ensure that by 1990,
at least 30% of corporate equity was held by bumiputras, 40% by other
Malaysians (primarily Chinese and Indian Malaysians), and no more than
30% by non-Malaysians.  To this end, the government provided funds to
purchase foreign-owned shareholdings on behalf of the bumiputra
population.  Foreign firms were urged to restructure their equity (often
100% foreign-owned) in line with the NEP guidelines.  By the time the
NEP expired at the end of 1990, the bumiputra equity share had risen to
20%.  In June 1991, the government unveiled its National Development
Policy, which is expected to continue many of the NEP's policies,
although specific equity targets and time tables have been dropped.

DEFENSE
 From the late 1940s until recently, Malaysia's defense forces were
oriented toward counter-insurgency.  With the demise of the communist
insurgency, however, Malaysia has launched a major program to expand and
modernize its armed forces in order to meet potential external threats.
Although budgetary constraints have obliged the government to defer some
of its procurement, the army is being reorganized and its equipment
upgraded as Malaysia moves toward development of a more conventional
defense posture.
 While relying primarily on its own armed forces, Malaysia is a member
of the Five-Power Defense Arrangement with the United Kingdom,
Australia, New Zealand, and Singapore.  The arrangement provides a
framework for consultations among the parties in the event of an
external threat to Malaysia or Singapore.

FOREIGN RELATIONS
 As a founding member of the Association of South East Asian Nations
(ASEAN)) established in 1967 Malaysia views regional cooperation as the
cornerstone of its foreign policy.  Malaysia supported its ASEAN
partners--Indonesia, the Philippines, Singapore, Thailand, and
Brunei--in seeking a negotiated settlement of the Cambodian civil war
which would provide self-determination for the Cambodian people.
 In world affairs, Malaysia maintains close, cordial relations with the
United States, Japan, and the European Community.  Malaysia is a member
of the Commonwealth, the UN, the Organization of the Islamic Conference
and the Non-Aligned Movement.  Malaysia maintains diplomatic relations
with North Korea, China, and Vietnam.  It hopes that changes in the
affected region will permit closer economic and political integration
with Vietnam, Laos, and Cambodia, perhaps including eventual membership
in ASEAN.
 Prime Minister Mahathir emphasizes enhanced relations with Islamic
countries and Asian neighbors, espousing a "Look East" policy, which
views Japan and South Korea as models for economic development.

US-MALAYSIAN RELATIONS
 The United States has maintained friendly relations with Malaysia since
its independence in 1957.  Malaysia's contribution to stability in
Southeast Asia, the growth of US-Malaysian economic and cultural ties,
Malaysia's role in ASEAN, its self-reliant drive to develop its economy
and preserve its independence, its participation in the Five-Power
Defense Arrangement, and its strong commitment to the suppression of
narcotics trafficking are in harmony with US policy and form a solid
basis for US-Malaysian friendship.
 US support for Malaysia has been demonstrated by cooperation in many
areas, including narcotics enforcement, cultural exchanges, and a
Fulbright educational exchange program initiated in 1963.  Malaysians,
at about 14,000, represent one of the largest foreign student groups
enrolled in American colleges and universities.  Over more than 20
years, the cumulative total of Peace Corps volunteers serving there was
3,500, but as Malaysia's economy developed, the program was reduced and
then phased out completely in 1983.  The United States also has
supported Malaysia's defense efforts by providing for Malaysian
participation in US military education training programs and purchases
of equipment under the foreign military sales program.  The United
States also actively promotes American trade and investment in Malaysia.


Principal US Officials
Ambassador--Paul M. Cleveland
Deputy Chief of Mission--W. Scott Butcher
Political Counselor--Gene B. Christy
Economic Counselor--Douglas A. Hartwick
Commercial Attache--Paul T. Walters
Public Affairs Officer (USIS)--James C. Pollock
Agricultural Attache--Jeffrey A. Hesse
Consul--Peter G. Kaestner
Defense Attache--Col. Michael McDermott

 The US Embassy in Malaysia is located at 376 Jalan Tun Razak, 50400
Kuala Lumpur  (tel. [phone]).

Additional Information
 The following are available from the Superintendent of Documents, US
Government Printing Office, Washington, DC  20402:
Area Handbook for Malaysia.
Country Reports on Human Rights Practices.
 For information on foreign economic trends, commercial development,
production, trade regulations, and tariff rates, contact the
International Trade Administration, US Department of Commerce,
Washington, DC 20230.

Travel Notes
 Customs: Visas are not required of US citizens arriving as tourists or
for business for up to 3 months.  Business travelers who will be
residing in Malaysia and visitors for purposes other than business or
tourism should arrange in advance for visas with the Malaysian Embassy.
Vaccination certificates for cholera and yellow fever are required only
of visitors arriving from infected areas.

 Climate and clothing: Lightweight clothing is suitable for the tropical
climate except in the highland resort areas.
 Health: Kuala Lumpur and other major cities are generally free from
most diseases commonly associated with the Far East.  Tapwater from the
municipal water systems is considered safe.  The use of malaria
suppressants is recommended in rural areas.
 Telecommunications: Telephone and telegraph service to the US is
available 24 hours daily.  Kuala Lumpur is 13 hours ahead of eastern
standard time.
 Transportation: The modern Subang International Airport is 19
kilometers (12 mi.) from Kuala Lumpur.  Many daily flights connect the
capital with most major cities in the region, Europe, the Middle East,
and North America.  Daily train service connects Kuala Lumpur with
Penang, Singapore, and Bangkok.  Traffic moves on the left. (###)


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