Malaysia is far from going into recession despite 40 percent of the world economies already in stagflation, experts say
New Straits Times reported that MIDF Research projects the Malaysian economy to reach an average of six percent this year. “As long as average headline inflation does not surpass 3.0 percent year-on-year (YoY), we believe domestic spending will stay on an upward trajectory for this year and 2023,” said experts from the firm.
The steady recovery will be backed by strong exports, high commodity costs, and domestic demand as an aftermath of the economy reopening.
Dr. Apurva Sanghi, lead economist for Malaysia at World Bank Group, said that despite numerous global challenges, the Malaysian economy is “doing reasonably well.” He also mentioned that the World Bank expects the country’s economy to go up 5.5 percent this year, which is a huge jump from the projected global growth of 2.9 percent and regional growth of 4.4 percent, according to Malay Mail.
Shan Saeed, global chief economist at Juwai IQI, emphasised that Malaysia is far from going into recession despite two-fifths (or 40 percent) of the world economies are already in stagflation.
He told The Star, the country is currently experiencing positive consumer sentiment and macroeconomic stability, instilling economic confidence in local investors. Global investors looking to invest wherever economic stability exists will be encouraged by this development.
Woon Khai Jhek, senior economist at RAM Rating Services Bhd, also expressed the same sentiment, saying, “Malaysia’s current economic recovery looks to be on a firmer path this year. Domestic demand will be the key economic driver this year, benefiting from robust vaccination and booster coverage, continued improvement in the labour market, and ongoing policy support measures.
For the economy to remain stable and for it to attract investors, however, Datuk K Yogeesvaran, former deputy DG (Macro) of the Economic Planning Unit at the Prime Minister’s Department, noted that political stability is a must, as it guarantees consistent and integrated policymaking, reported The Malaysian Reserve.
The Property Report editors wrote this article. For more information, email: [email protected].
Meet the dynamic duo putting waste to work in Indonesia
Indonesian entrepreneurs Ovy Sabrina and Novita Tan have made a meaningful mark with their firm Rebricks
Wind power: The Philippines spearheads Asia’s clean energy revolution
The Philippines has set aside its history of rejecting renewables and is setting its sights on becoming the region’s top green power producer
Singapore explores electric avenues
The pace of installation and consumer sentiment are still lagging as Singapore aims to meet its 2030 EV ambitions
Arkitek MAA shapes the nation
The firm's knack for crafting landmark transport hubs and socially sustainable developments has established it as one of Malaysia’s foremost practices