JANUARY 9 — Earlier last year, 22 economists projected Malaysia’s gross domestic product (GDP) to be 4.3 per cent. By the second quarter, our GDP hit 4.9 per cent, surprising the market and outperforming economist expectation.

For the overall 2019 economic gain, RAM Ratings fixed its estimation at 4.6 per cent, corresponding to the projection by Malaysian Institute of Economic Research and the World Bank. This number still outperformed the 4.3 per cent projected by said 22 economists.

For 2020, several readings indicate that Malaysia’s GDP will be in the realm of 4.3 per cent to 4.8 per cent. Will Malaysia under Pakatan Harapan be able to pull through another economic surprise in 2020, outperforming expectation?

Global economy is currently affected by the escalated tension in the Middle Eeast. Coupled with the uncertainty of US-China trade war, the market remains volatile and investors are cautious. Political instability stemmed from local racial unrest and rising extremist threat will further erode traders’ confidence in Malaysia market. Along with the rise of regional competition, it'll be a very challenging year for Penang and Malaysia.

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Nevertheless, studies from the AllianceDBS Research show that the various upcoming infrastructural projects such as Penang Transport Master Plan, East Coast Rail Link, and Pan Borneo Highway will boost the country’s economy to a projected growth of 4.5 per cent.

Despite criticism from anti-development NGOs, these projects will generate dynamism in the market to ensure that graduates get employed, parents can put their children in school, and working adults can provide for their elderly parents.

Anti-development NGOs say that it's the government's responsibility to manage the economy. However, when development plans such as the Penang South Islands and Penang Hills cable car services were unveiled, these NGOs object and demand for their cancellation without providing better alternative.  

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The world doesn't stop for us. If we continue to waste time with those anti-development NGOs, Malaysia will regress from being a developing nation to an underdeveloped wasteland.

True, each project must be examined. However, there is a huge difference between constructive critique that fine-tune development plans and idly complaint.

Malaysia’s GDP growth will likely be sustained above 4 per cent in 2020, given the various initiatives introduced in Budget 2020. Whether will it surpass economist expectation again is still an open question, depending on how those upcoming infrastructure projects pan out.

* Joshua Woo is a former councillor with Seberang Perai Council.

** This is the personal opinion of the writer or publication and does not necessarily represent the views of Malay Mail