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Although the first Malay sultanate started in Malacca, the state has no Sultan today. Instead, the head of state is the Governor or Yang Di-Pertuan Negeri.
 

The tourism and manufacturing sectors are the two most important sectors in the state economy. Malacca has adopted as its slogan, "Visiting Malacca Means Visiting Malaysia" ("Melawat Melaka Bererti Melawati Malaysia"). It is rich in cultural heritage and bears several places of historical interest.

Malacca is well-known for its food. Most notable of all is the Nyonya-Baba cuisine which is a mixture of Chinese and Malay cooking with most dishes being spicy in nature.

Even to this very day, many of the ancient traditions passed down since the Portuguese occupation are still practised, i.e. "Intrudu" (water festival that marks the beginning of the Catholics fasting season, the season of Lent), "branyu" (traditional dance), "santa cruz" (a yearly fiesta of street celebrations).

Apart from tourism, Malacca is also a manufacturing centre for products ranging from food and consumer products, through high-tech weaponry and automotive components to electronic and computer parts. There are at least 23 industrial estates that houses some 500 factories from the United States, Germany, Japan, Taiwan, and Singapore.

Malacca's private healthcare services are becoming increasingly sought after by patients from as far away as Indonesia and Singapore. Mahkota Medical Centre, Hospital Pantai Ayer Keroh, Hospital Melaka, and Southern Hospital are the four major private hospitals that are providing services on par with those of developed countries. The State government is the majority shareholder of Southern Hospital.

• Fort A Famosa: Constructed by the Portuguese in 1511, it suffered severe structural damage during the Dutch invasion. The plan by the British to destroy it was aborted as a result of the intervention of Sir Stamford Raffles in 1808.
• St. John's Fort: Reconstructed by the Dutch in the third quarter of the 18th century, the cannons in this fort point inwards towards the mainland because at that time, the threat to Malacca was mainly from inland rather than the sea.
• St. Peter's Church: Constructed in 1710 under the Dutch administration, the church is the oldest Catholic church in Malaysia. Its facade and decorative embellishment is a mix of both eastern and western architecture. Its bell was delivered from Goa in 1608.
• St. Paul's Church: Constructed by the Portuguese captain, Duarte Coelho, this church was named "Our Lady of The Hill", but was later turned into a burial ground by the Dutch for their noble dead, and renamed "St. Paul's Church".
• Christ Church: Constructed in 1753, the structure reflects original Dutch architecture. The building houses hand-crafted church benches, jointless ceiling skylights, a copper replica of the Bible, a headstone written in the Armenian language, and a replica of "The Last Supper".
• Francis Xavier Church: This Gothic church was built by the French priest, Father Paderi Fabre, in 1849, to commemorate St. Francis Xavier who is also known as the "Apostle of the East". St. Francis Xavier is credited for his Catholic missionary work in Southeast Asia during the 16th century.
• Stadhuys Building: Constructed in 1650 as the residence of the Dutch Governor and his deputy, the structure reflects Dutch architecture. It is today the "Museum of History and Ethnography". The museum exhibits traditional wedding clothes and artifacts of Melaka, dating back to its days of glory.
• Jonker Street (Jalan Hang Jebat): This street is famous for its antique goods.

In order to attract more tourists to Malacca, the State government has built a number of museums to house its rich cultural heritage.