One current global trend in educational reformis the decentralization of national education systems. Decentralization has been promoted by UNESCO, the World Bank, and other multilateral and bilateral assistance agencies for a number of years (McGinn, 1997). The growing interest in decentralization arises from the realization that many education systems, particularly those in the Third World, have expanded rapidly, making it increasingly difficult to plan and administer all education activities effectively and efficiently from the center. Support for decentralization has become so widespread that even highly centralized countries like Malaysia and Singapore have endorsed initiatives that aim to decentralize aspects of their education systems. This chapter analyzes the most prominent decentralization measures that have been undertaken in Malaysia over the past two decades. These initiatives include the establishment of District Education Offices, reforms calling for the decentralization of the national curriculum, and the privatization of higher education. Malaysia provides an interesting case because although the central government has publicly supported numerous decentralization programs, it has been reluctant to relinquish its authority over the schools. In short, the form is there but not the substance.