Malaysian Institute Economic Research executive director Professor Emeritus Dr Zakariah Abdul Rashid said the revision was primarily boosted by domestic demand.
KUALA LUMPUR: Malaysian Institute Economic Research (MIER) has revised upwards Malaysia’s gross domestic product (GDP) growth forecast this year to 5.6 per cent from 5.4 per cent previously.
Executive director Professor Emeritus Dr Zakariah Abdul Rashid said the revision was primarily boosted by domestic demand.
MIER maintained the GDP projection for 2018 at a range of 4.7 per cent to 5.3 per cent.
"The domestic demand is expected to continue to be the engine growth this year. We have revised the growth in domestic demand to 4.8 per cent due to better performance in the last three quarters," Zakariah said at a press conference of the Malaysian Institute of Economic Research’s (MIER) National Economic Outlook Conference 2018-2019 here today.
He said the recovery in manufacturing and trade was gaining momentum on stronger investments activities and buoyant financial markets.
MIER’s survey on business conditions index showed that it had eased from 114.1 points to 103.1 points and Zakariah expects exports sales and production to be higher in the fourth quarter of the year.
The consumers sentiments index, meanwhile, retreated 3.6 points quarter-on-quarter to 77.1, with the consumers still wary about jobs and incomes.
"For the consumer expectations in fourth quarter 2017, income forecast would be soft due to fewer job openings and price pressures expectations,” he said.
By New Straits Times
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