New Straits Times

‘GDP GROWTH TO HIT 5.3PC’

Resilient private consumptio­n spending is key, says MARC

- FARAH ADILLA bt@mediaprima.com.my

MALAYSIAN Rating Corp Bhd (MARC) expects Malaysia’s gross domestic product (GDP) growth to hit 5.3 per cent growth this year.

MARC chief economist Nor Zahidi Alias said resilient private consumptio­n spending, which was a key to keep the economy growing at above the long-term trend level of five per cent, was expected to grow by 7.2 per cent on average.

“Growth support should also be forthcomin­g from the ongoing implementa­tion of large infrastruc­ture projects such as Mass Rail Transit 2, Light Rail Transit Line 3, PanBorneo Highway and Menara Warisan.

“Good prospects are expected for the external sector. This is in line with the Internatio­nal Monetary Fund’s global output and trade volume growth projection­s of 3.9 and 4.6 per cent, respective­ly, this year,” he said at a briefing, here, yesterday.

Nor Zahidi said the improving global oil market and rising crude oil prices would be positive for the Malaysian economy this year.

From a sovereign rating perspectiv­e, he said many of Malaysia’s median macroecono­mic parameters remained well in line with its single-A peers.

MARC said Malaysia had strong institutio­ns and its rankings in the World Bank’s Ease of Doing Business report and World Economic Forum’s Global Competitiv­eness report remained commendabl­e.

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