Malaysian Construction Sector and Malaysia Vision 2020: Developed Nation Status

Malaysian economy has to perform efficiently and to play effective role in making true the dream of developed nation status. This study examines the role and performance of construction sector of Malaysia during the last two decades of Vision 2020 i.e. 1991 to 2010. The time series data over the period 1991-2010 for construction sector and economic growth of Malaysia is obtained from statistic department Government of Malaysia. The results exhibit that there is a strong correlation between construction sector and economic growth of Malaysia. The construction sector has been playing a significant role in aggregate economy of the country in term of its contribution to revenue generation, capital formation and employment creation which ultimately support the gross domestic product (GDP) and the socio-economic development of Malaysia. Considering the substantial role of construction sector in economic development of Malaysia, it is necessary for Malaysia government to give due attention and focus on construction sector for qualifying the title of developed nation.