The article presents the economic outlook for Malaysia from 2007 to 2010. Islamic financial services products are expected to increase by 73% in 2007 and are projected to strengthen in coming years. The country is forecast to maintain its position as the world's leader in Islamic banking and finance. The country introduced a number of tax exemptions and incentives to all Islamic banking and takaful (Islamic acceptable insurance) companies to help in an increasingly competitive industry.  Source: Asia Monitor: South East Asia Monitor Volume 2; May2008, Vol. 19 Issue 5, p6-6, 2/3p. Author: Asia Monitor: South East Asia Monitor.