PUTRAJAYA, Sept 1 ― The newly set up Special Economic Committee tasked to steer the country out of its current economic predicament said today it is confident that Malaysia could sustain its  growth momentum this year.

Minister in the Prime Minister’s Department Datuk Seri Wahid Omar told reporters after the panel held its maiden meeting here that Putrajaya projected a 4.5 to 5.5 per cent growth rate for 2015.

He said the panel has already deliberated on several proposed measures and policy options that could help strengthen Malaysia's economic fundamentals.

“The discussion today revolved around issues on the decline of the ringgit, stability of financial market, strengthen confidence in the markets and the impact to the general public,” Wahid said.

“Certain proposed measures and policy options were explored, which will be further validated before submitting those to YAB Prime Minister… the committee would like to further stress that the growth momentum of the Malaysian economy is expected to continue in 2015 of between 4.5 per cent to 5.5 per cent”.

Market data, however, is less optimistic.

Malaysia's manufacturing sector recorded a sharp decline in activity in August, with new orders contracting at the fastest rate since September 2012, according to the Nikkei Malaysia Manufacturing Purchasing Managers' Index (PMI).

The headline PMI dropped to 47.2 ― down from 47.7 in July ― which the index rated as the “strongest deterioration in operating conditions” for Malaysian manufacturers in nearly three years.

“New orders at Malaysian goods producers contracted for the sixth month in a row. Moreover, the rate of decline was the second-sharpest in the series history.

“Poor demand, unfavourable exchange rates and challenging economic conditions were cited as the main factors behind the latest fall,” Nikkei said.

Job hiring have posted a 26 per cent decline this year Monster Employment Index said today, pointing to the slowdown in the manufacturing sector as a primary reason behind the stunted growth.

The Malaysian equity index fell 15 per cent from its July 2014 high through Friday and the currency is Asia’s worst performer this year as political uncertainty clouded the outlook amid an emerging-market selloff. Prospects that the US will soon raise interest rates are also weighing on the ringgit.