AmBank maintains Malaysia’s 2019 GDP growth at 4.5%

KUALA LUMPUR: AmBank Research has reiterated Malaysia’s 2019 full-year gross domestic product (GDP) to grow around 4.5%.

In a note today, AmBank group chief economist and head of research Dr Anthony Dass said the average index of industrial production growth for the first two months of the fourth quarter of 2019 4Q19 at 1.2% year-on-year (yoy) implies that the 4Q19 GDP could be around 4.5%.

He said in November, industrial production rose 2% yoy, surpassing market consensus of 1%, supported by the turnaround in mining output, up 0.5% yoy from -5.6% yoy in October, added with improved output from both manufacturing (+2.5% yoy) and electricity (+1.6% yoy).

Meanwhile, the mining output reported its first positive growth after four months in contraction. Natural gas output rebounded by expanding by 3.7% yoy in November from -6.3% yoy in October.

“For 2020, the GDP is expected to grow around 4.6% supported by private consumption, gross fixed capital formation from the mild expansionary Budget 2020 and complemented by exports,” Dass said. – Jan 13, 2020, Bernama

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