In the second quarter, GDP expanded 5.4% over the same period last year, which was above the 4.9% rise tallied in the preceding period and overshot market expectations that had the economy growing 5.0%. Economic growth was fuelled by buoyant domestic demand, which expanded 12.0% in the second quarter (Q1 2012: +9.3% year-on-year). Private consumption continued to gain some momentum and rose 8.8% (Q1: +7.4% yoy), while government spending increased 9.4% (Q1: +7.3% yoy). In addition, growth in gross fixed capital formation skyrocketed to an all-time record of 26.1% (Q1: +16.2% yoy), mainly due to government efforts to bolster investment, particularly infrastructures. On the external front, exports of goods and services continued to deteriorate, slowing from a 2.8% increase in the first quarter to a 2.1% rise in the second. On the other hand, imports accelerated to an 8.1% pace (Q1: +6.8% yoy). As a result, the external sector's net contribution to overall growth deteriorated from minus 3.0 percentage points in the first quarter to minus 5.0 percentage points in the second.
Resilient domestic demand spurs economic growth in second quarter
August 15, 2012
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Malaysia Economic News
October 12, 2016
Industrial production increased 4.9% in August from the same month last year.
October 7, 2016
Exports in USD terms rose 3.3% annually in August, which was a sharp improvement over July’s 8.9% contraction (previously reported: -8.7% year-on-year).
September 23, 2016
In August, consumer prices rose 0.43% over the previous month, which was slightly up from the 0.26% increase registered in July, according to the Department of Statistics Malaysia.
September 16, 2016
The ringgit has had a tumultuous week as a combination of factors, both domestic and external, have impacted the currency.
September 10, 2016
Industrial production increased 4.1% in July over the same month last year.