KUALA LUMPUR, Dec 5 — RHB Research Institute has forecast real gross domestic product (GDP) growth of 5.2 per cent for Malaysia in 2018 and an estimated 5.6 per cent growth for this year.
In a statement today, it said Malaysia’s exports in nominal value was expected to register a slower growth of 6.5 per cent in 2018 after an estimated growth of 17.6 per cent in 2017.
In real terms, exports was projected to slow to 5.6 per cent in 2018 from an estimated 8.8 per cent in 2017.
“This is on account of a slightly weaker global trade outlook due partly to a higher base in 2017 and a slowdown in China’s demand for Malaysia’s exports,” it said.
The research firm also said the country’s real GDP growth for next year would remain supported by resilient domestic demand, backed by relatively strong consumer spending and private investments.
Looking ahead, private consumption was expected to maintain its strong pace with a growth of 6.3 per cent in 2018, albeit, moderating from +6.7 per cent in 2017.
“This is expected to be mainly driven by stable income growth and improving labour market conditions.
“At the same time, consumer sentiment will likely continue to improve amid a lower inflation,” it added.
On private investment, the firm predicted a healthy growth of 8.6 per cent for next year (estimated expansion of +9.1 per cent in 2017) as infrastructure projects under the government’s various economic programmes were being implemented. — Bernama
