Malaysia’s Economy Resilient Despite Floods, Cyclone Senyar - Moody's
KUALA LUMPUR, Dec 5 (Bernama) -- Malaysia’s economy is likely to remain largely protected from major disruption, as the country’s manufacturing base has been mostly unaffected by the recent floods and Cyclone Senyar, according to Moody’s Ratings.
Heavy rainfall from Cyclone Senyar caused severe flooding in Kedah, Kelantan, Perak, and Terengganu. However, the manufacturing sector, which is mainly concentrated in Selangor, Penang, and Johor, escaped significant disruption, said the agency in a statement today.
“As much of Malaysia’s manufacturing sector, located largely in Selangor, Penang, and Johor, was spared from disruption, we do not expect a material impact on economic growth, although agricultural output is likely to weaken in the worst-affected states,” it said.
Moody’s added that rehabilitation and reconstruction costs are expected to be covered within the existing Budget, allowing the government’s fiscal consolidation efforts to remain on track.
-- BERNAMA