The patterns and determinants of private saving

The objective of this chapter is to examine the determinants of private saving in Malaysia. As was outlined in Chapter 3, the saving record in Malaysia has been very impressive over the past few decades. Hence, the focus in this chapter is on what key macroeconomic and financial determinants are driving the high saving record in Malaysia. Understanding saving behaviour will allow a critical insight into how financial development is linked to economic growth, the central issue examined in this book.