World Economy

Malaysia Needs More Reforms

Malaysia Needs More ReformsMalaysia Needs More Reforms

Malaysia’s decision to hike administered fuel prices is credit positive, but the country needs to take more measures to achieve its fiscal targets in time, International Business Times quoted Moody’s Investors Service as saying. Malaysia, rated “A3 positive” by Moody’s, raised the prices of subsidized motor gasoline and diesel for the second time in just over a year, ahead of the 2015 budget. “The move is credit positive for the sovereign, because it will help reduce the government’s subsidy bill and contribute to its fiscal consolidation. However, further reforms will be necessary if the government is to meet its goal of achieving a balanced budget by 2020,” Moody’s said.