KUALA LUMPUR, Nov 17 — Malaysia’s 2023 economic growth forecast remains at 4.0 per cent, rising to 4.5 per cent in 2024, said AmBank Group.
In a research note, it said the weak export sector is anticipated to recover in 2024 due to easing inflationary pressures in major economies.
On the domestic front, measures announced in Budget 2024, particularly those aimed at boosting consumption, are anticipated to support economic growth.
However, the impending subsidy rationalisation, which includes food and fuel in 2024, may lead to changes in consumer spending priorities.
Meanwhile, OCBC has forecast a 4.2 per cent GDP growth in 2024, supported by resilient wage growth, a continued focus on infrastructure spending, and the bottoming of the electronics export downcycle.
It expects the central bank to hold its policy rate unchanged at three per cent in 2024, given stable external balances, improving GDP growth momentum, and inflation remaining benign, although this is subject to energy subsidy policy changes in 2024.
The current account surplus was stable at RM9.1 billion in 3Q 2023.
— Bernama
