Malaysia: Industrial production slows down in July
September 10, 2016
Industrial production increased 4.1% in July over the same month last year. The figure came in below the 5.2% increase registered in June and beat market expectations of a 4.5% rise. According to the Department of Statistics Malaysia, the subdued reading was mainly driven by a slowdown in the manufacturing and electronics sectors, while the mining and electricity sectors continued to grow at a relatively robust pace. Moreover, the Islamic festival of Eid al-Fitr and five weekends in the same month resulted in fewer working days in July, which could have negatively affected the figure.
On a monthly basis, industrial production decreased 0.6% in July in seasonally-adjusted terms, which contrasts June’s 2.8% increase. Annual average growth in industrial production inched down to 3.4% in July from June’s 3.6%.
Author: Luis Lopez Vivas, Economist