Malaysia is a federal constitutional monarchy located in Southeast Asia. It is a relatively state-oriented and newly industrialised market economy. The state plays a significant but declining role in guiding economic activity through macroeconomic plans. In 2014, Malaysia's economy grew 6%, the second highest growth in ASEAN behind Philippines' growth of 6.1%. The economy of Malaysia (GDP PPP) in 2014 was $746.821 billion, the third largest in ASEAN behind Indonesia and Thailand and the 28th largest in the world.