Bilateral Trades between Egypt and Malaysia: Issues and Opportunities for Further Development

Abstract

Egypt and Malaysia are both belong to the Organization of Islamic Conference (OIC), have a similar historical background that both have been under the British colony and have enjoyed independence at almost within the same period. However, trades between the two countries are relatively small, and if based on the socio-economic background the magnitude of trades between the two countries can be further improved. This paper traces the historical development of bilateral trade relationship between Egypt and Malaysia to understand the strength and weaknesses. The aim is to develop possible proposals for further enhancement of the relationship. The main objective of this paper is to investigate factors that may enhance integration and cooperation between Egypt and Malaysia. The research used qualitative analysis approach by looking at the trade sectors and volumes over the period of 2000-2012, based on the phenomenological case study method. It is found that Egypt and Malaysia enjoyed significant bilateral trade relations since the independence of Malaysia in 1957, especially in the fields of culture and education. Because of the appreciation of the Malaysian citizens to the Islamic-based education such as Islamic studies, medicine, and pharmacy particularly the world-renowned institution of Al-Azhar University, thousands of Malaysians have enrolled and graduated from this university and other related institutions. On the other hand, Malaysia is falling behind Argentina, Brazil and India regarding export to Egypt. However recently, Malaysia has been becoming popular for the Egyptian tourists. The paper explores a proposal for further improvement regarding bilateral trades based on Islamic approach.