Malaysia: Growth in industrial production picks up again in June
August 10, 2016
Industrial production jumped 5.3% in June over the same month last year, which was the fastest growth rate since July 2015. The figure came in above the 2.8% increase tallied in May and beat market expectations of a 2.5% rise. According to the Department of Statistics Malaysia, the strong reading reflected a broad-based acceleration. The electricity generation component of the index saw the greatest gain in June and increased for the third month in a row. Some economists believe that June’s result suggests that the country’s economy remains resilient. In a note to the press, Irving Seah, Economist at DBS Group, stated that, “despite the challenging external environment, Malaysia’s economy is holding up fairly well” and that, “domestic demand remains the key support while the drag from external front may not turn out to be strong.”
On a monthly basis, industrial production rose 2.8% in June, which followed May’s 0.9% increase. Annual average growth in industrial production inched up to 3.6% in June from May’s 3.5%.
Author: Luis Lopez Vivas, Economist