Malaysia to achieve GDP growth of 5.3% to 6.3% this year

KUALA LUMPUR: Malaysia is on course to achieve a major domestic product (GDP) growth of among 5. 3 percent and 6. a few per cent in 2022, said Finance Ressortchef (umgangssprachlich) Tengku Datuk Seri Zafrul Aziz today.

“I feel very optimistic that we can achieve the GROSS DOMESTIC PRODUCT forecast of between 5. 3 % and 6. a few per cent, ” this individual said during an interview with CNBC this morning.

Tengku Zafrul said Malaysia’s financial growth is expected to accelerate in the third quarter of 2022 (Q3 2022), continuing the positive economic energy in the first half the year, driven by private consumption pursuing the resumption of financial activities in the country.

Malaysia’s GDP extended by 8. 9 per cent in Q3 2022, aided with a boom in abroad trade with both export and import values hitting record levels in June.

However , the country’s economic outlook going into 2023 is anticipated to be challenging due to concerns over a worldwide economic slowdown, China’s stumbling growth as well as the United States Federal Reserve’s aggressive monetary tightening up.

“Even the International Monetary Fund and the World Bank have revised their particular global growth prediction, (due to activities such as) the particular Ukraine-Russia conflict.

“China, which is Malaysia’s largest trading partner, has also implemented a very conservative COVID-19 plan, and this has damaged the supply chain between Malaysia plus China, ” he or she added.

In the meantime, Tengku Zafrul mentioned Malaysia’s budget deficit is expected to stay at 6. 0 per cent in 2022, noting that the debt-to-GDP ratio currently appears at 60 percent — well below the ceiling associated with 65 per cent.

“We will have to stay with that 6. 0 per cent deficit. We need to make sure that the income is as per budget or at least matches what we should need to do to cover the greater expenses due to financial assistance, ” he mentioned. – Bernama