Elderly Dependency Hits New High in 2022

Population • Ageing

Report & Data Visualisation: Shaza Al Muzayen

Editor: Sakina Mohamed

Apr 11, 2023

Report & Data Visualisation: Shaza Al Muzayen

Editor: Sakina Mohamed

KUALA LUMPUR, Apr 11 (Bernama) -- Malaysia’s elderly community has just gotten bigger.

Data gathered from the United Nations World Population Prospects showed that Malaysia’s old-age dependency ratio has steadily increased from 7.4 percent in 2010 to 10.3 percent in 2022.

The old-age dependency ratio is a measure that compares the number of older people (usually those aged 65 and above) who are likely to be retired and not working, to the number of working-age people (typically aged 15-64).

Simply put, it indicates how many elderly individuals rely on the working population for financial and social support.

Although Malaysia’s old-age dependency ratio in 2022 remains lower than the global average (15 percent) and neighbouring countries like Thailand (20 percent) and Singapore (16.8 percent), the rise indicates that Malaysia's population is gradually ageing.

This means the proportion of elderly people relative to the working-age population is growing, which could lead to higher economic and social pressure in the future as more resources will be required for elderly care and social services.

According to the Organisation for Economic Co-operation and Development, mortality rates, fertility rates and migration are all factors that have an influence over a country’s old-age to working-age ratios.

Countries with longer life expectancies also tend to experience higher old-age dependency ratios, as they have more pensioners and elderly individuals.

-- BERNAMA