MIDF Sees Malaysia's Fourth Quarter GDP Growth At 4.8 Pct

KUALA LUMPUR, Feb 13 (Bernama) -- MIDF Amanah Investment Bank Bhd sees Malaysia’s gross domestic product (GDP) growth for the fourth quarter of 2024 (4Q 2024) at 4.8 per cent, similar to the government’s advance estimate.

It said “possible upside surprises could be a turnaround in net exports, increased manufacturing output towards the end of 2024, positive effects from stable inflation and still encouraging progress in the construction sector.”

“On the other hand, (Malaysia’s) GDP growth could be dragged down by weaker production of primary commodities, particularly crude petroleum and palm oil. This explains why we opine the full quarter data will not change much from the advance estimate,” the investment bank said in a note.

For 2025, MIDF Amanah has maintained its expectations that the country’s economic growth will continue to be driven by growing consumer and business spending and continued growth in external demand. However, “the pace of GDP would be normalised around 4.6 per cent” compared to last year’s estimation of 5.1 per cent, said MIDF Amanah.

“We keep a cautious view, however, surrounding several downside risks that could hurt Malaysia’s trade and growth outlook, mainly the escalation in trade tensions, possible disruptions to global supply and the renewed inflation risk. On the domestic front, we are also concerned that rising cost pressures could lead to building price pressures, while demand pressures remain under control,” it added.

The Department of Statistics Malaysia (DOSM) will announce Malaysia’s 4Q 2024 GDP tomorrow.

-- BERNAMA