Domestic demand gaining traction, lifts Malaysia GDP
KUALA LUMPUR -- Although Malaysia's GDP has continued to decline on an annualised basis in Q1 2021, domestic demand is encouragingly starting to gain traction. Actual GDP growth for the first quarter was minus 0.5% against minus 3.4%in the fourth quarter of 2020.
In a briefing note, ANZ Bank says Malaysia's exports were also robust in the first quarter, providing considerable support to manufacturing activity.
"This recovery will continue, although its pace has undeniably been impacted by frequent movement restrictions, "the report says. "We expect full year 2021 GDP growth at 7%, although a substantial (real) lift is set to come from a favourable base."