Eastern growth 'set to boost Malaysian property'

The economic and population growth of Asia is set to drive property values upwards in Malaysia in the years ahead, it has been predicted.

Writing in the Kuala Lumpur-based Star Online, chairman of Regroup Associates Christopher Boyd stated that in view of the large increases in both people and economic output to come from India and China, Malaysia will benefit from its geographical proximity.

"Malaysia, as an under-populated resource-rich country, will become increasingly attractive", he suggested, arguing that property prices will rise as large-scale immigration comes in the form of increasingly educated and affluent workers from other Asian countries.

A three-bedroom bungalow within one hour's drive of Kuala Lumpur can be bought for RM250,000 (GBP46,000), Mr Boyd stated, while plots in rural areas are also available at bargain prices.

In August of this year, developers Eastern & Oriental said the market was holding up well in the country, despite the world economic climate.