KUALA LUMPUR, Feb 9 — Malaysia's gross domestic product (GDP) for 2017 is set to reach an impressive 5.8 per cent, stronger than the 4.2 per cent recorded in 2016, said Moody's Analytics.
The financial services company said even though the GDP grew 6.2 per cent in the third quarter of 2017 (3Q17) — its fastest pace since mid-2014 — the growth was likely to taper to 5.8 per cent y/y in 4Q17.
“Malaysia did exceptionally well in 2017 and the fourth quarter will extend the trend.
“Household consumption is upbeat at the hand of low interest rates and spillovers from the sustained upswing in the global technology cycle, lifting manufacturing and exports,” said Moody's Analytics report.
Government consumption would make a relatively reasonable contribution to GDP growth in the first quarter of 2018, ahead of the general election, scheduled to occur before May, it said.
Bank Negara Malaysia will be releasing the 2017 fourth quarter GDP report on Feb 14. — Bernama