ID :
87827
Wed, 11/04/2009 - 13:45
Auther :
Shortlink :
https://oananews.org//node/87827
The shortlink copeid
MALAYSIA'S GDP TO CONTRACT 2.3 PCT IN 2009, GROW 4.1 PCT IN 2010
BY D. ARUL RAJOO
BANGKOK, Nov 4 (Bernama) -- Malaysia's near-term outlook shows a slow process of recovery, with real GDP projected to contract 2.3 per cent this year before growing by 4.1 per cent next year, the World Bank said in its latest update Wednesday.
In its half-yearly assessment of the economic health of East Asia and
Pacific region released today, it said the revised projection showed
lower growth compared to -1.0 forecast in April.
It said consumption and fixed investment growth would
remain relatively subdued due to uncertainties on the global outlook, efforts of
fiscal consolidation and still low levels of capacity utilisation.
The turnaround in the inventory cycle is expected to be the main growth
driver,
it said, adding that import growth would continue to outpace export
growth in the coming quarters, resulting in a smaller trade surplus.
The current account balance is expected to decline to 12.3 per cent of the
GDP
this year and further to 12.1 per cent next year.
The update titled " Transforming the Rebound into Recovery" said large and
timely fiscal stimulus spending in most East Asian and Pacific countries led
by China and South Korea, along with a powerful inventory restocking process
now underway, have driven the rebound in the region and contributed
significantly to confidence in a global pick-up.
Developments in the region remain strongly influenced by China as the
projected GDP increase this year will offset three quarters of decline in
the GDPs of the United States, the Eurozone and Japan.
With the projected 8.4 per cent growth in China this year and the country’s
domestic demand racing ahead global demand, countries exporting consumer
durables, electronic components and raw materials to China have felt the
positive flow-on effects.
As a result, the World Bank is projecting 6.7 per cent growth this year for
developing East Asia and the Pacific and 7.8 per cent next year.
Though Indonesia and Vietnam were performing well, East Asia, excluding
China, is expected to grow at around one per cent this year. more
slowly than South Asia, Middle East and North Africa and only slightly
stronger than Sub-Saharan Africa.
Some countries remain hard hit, with the GDP of Cambodia, Malaysia and
Thailand contracting and barely growing in Mongolia and some of the Pacific
Islands, the report said.
The World Bank said Thailand’s economy is expected to shrink by 2.7 per cent
this year before expanding by about 3.5 per cent next year if political
stability continues in the country.
-- BERNAMA
BANGKOK, Nov 4 (Bernama) -- Malaysia's near-term outlook shows a slow process of recovery, with real GDP projected to contract 2.3 per cent this year before growing by 4.1 per cent next year, the World Bank said in its latest update Wednesday.
In its half-yearly assessment of the economic health of East Asia and
Pacific region released today, it said the revised projection showed
lower growth compared to -1.0 forecast in April.
It said consumption and fixed investment growth would
remain relatively subdued due to uncertainties on the global outlook, efforts of
fiscal consolidation and still low levels of capacity utilisation.
The turnaround in the inventory cycle is expected to be the main growth
driver,
it said, adding that import growth would continue to outpace export
growth in the coming quarters, resulting in a smaller trade surplus.
The current account balance is expected to decline to 12.3 per cent of the
GDP
this year and further to 12.1 per cent next year.
The update titled " Transforming the Rebound into Recovery" said large and
timely fiscal stimulus spending in most East Asian and Pacific countries led
by China and South Korea, along with a powerful inventory restocking process
now underway, have driven the rebound in the region and contributed
significantly to confidence in a global pick-up.
Developments in the region remain strongly influenced by China as the
projected GDP increase this year will offset three quarters of decline in
the GDPs of the United States, the Eurozone and Japan.
With the projected 8.4 per cent growth in China this year and the country’s
domestic demand racing ahead global demand, countries exporting consumer
durables, electronic components and raw materials to China have felt the
positive flow-on effects.
As a result, the World Bank is projecting 6.7 per cent growth this year for
developing East Asia and the Pacific and 7.8 per cent next year.
Though Indonesia and Vietnam were performing well, East Asia, excluding
China, is expected to grow at around one per cent this year. more
slowly than South Asia, Middle East and North Africa and only slightly
stronger than Sub-Saharan Africa.
Some countries remain hard hit, with the GDP of Cambodia, Malaysia and
Thailand contracting and barely growing in Mongolia and some of the Pacific
Islands, the report said.
The World Bank said Thailand’s economy is expected to shrink by 2.7 per cent
this year before expanding by about 3.5 per cent next year if political
stability continues in the country.
-- BERNAMA
