Malaysia faces the problem of disinformation and inaccurate perception amongst foreign investors and as a result, the economy is still susceptible to manipulation, Deputy Prime Minister Abdullah Ahmad Badawi today said.

Abdullah said that there are still big challenges ahead, but with the same grit and will that saw Malaysia weather the financial crisis in 1997, Malaysians will survive the new challenges.

"It is unfortunate that biased and inaccurate coverage in the international media has led to negative perception about Malaysia," he said when addressing the Business Times -American Express "CEO of the Year Award" presentation in Kuala Lumpur.

Abdullah said that the government will continue with its pro-business policies and try its best to ensure that the nation's interests are safeguarded.

In the last three years, CEOs of both Malaysian companies and multinationals operating in Malaysia contributed to the country's recovery, he added.

"It is my hope that you continue giving this support to the government and the country by telling your overseas associates, partners and counterparts the real Malaysian story," Abdullah told the 100 guests present.

Not true

He said that in his dealings with foreign leaders and businessmen who visited the country, many expressed surprise to find that what they read was not true. Instead, the foreigners were surprised by the rapid development of Malaysia, he added.

"They are surprised that there is no turmoil. They are amazed and appreciative of the programmes in place to uplift the living standards of the people," he said.

"It is my hope that you, too, will relate your own experiences to others who may have jaundiced views and try to correct the perceptions that have been formed through the inaccurate reporting in some segments of the international media," he added.

Abdullah admitted that there are shortcomings and there are changes that needed to be made. He said that evolution of good business practices and policies is something which the government believes in.

He also warned that the slowdown in the United States, Malaysia's major trading partner, will affect the country.

He said that whether the US will go through a soft or hard landing, Malaysians have to brace themselves and prepare for any eventuality.

"Whilst we accept globalisation, we also see the uncertainties and inequities which favour developed nations and will adversely affect developing economies like ours," he added.

This year's award was presented to Tengku Mahalil Tengku Ariff, Proton's CEO, based on his performance, past track record and personality, amongst other criteria.