Abstract
Malaysia is facing hurdles in knowledge economy transformation. To discover the knowledge based transformation solution, a quantitative, descriptive research design was used in which twenty nine economic performance determinant variables were tested for mediation with public/civil society. Two hundred and eighty two questionnaires were distributed to collect the data. The study validated the public/civil society mediation using regression analysis. Mediation was further validated using the Sobel Test. The study confirmed that the performance determinant variables have a strong and positive role in determining economy competitiveness. The results also confirm that strong civil society mediation is necessary; which is missing in Malaysia’s economy. It is therefore, concluded that for successful knowledge based transformation, role of civil society sector is vital. It is thus recommended that a strong civil society supported innovation should be the focus and tool for knowledge based economic transformation to strengthen the economic performance and competitiveness of Malaysia.

Muhammad Jawad Iqbal (Corresponding author), Amran Rasli. (2014) Role of Civil Society in Economic Transformation in Malaysia, Pakistan Journal of Commerce and Social Sciences, volume 8, issue 1.
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