Malaysia Growth Lowest Since 2009

Malaysia’s economy grew 4.5% in the fourth quarter from a year earlier, ending a year of tepid growth on a stronger note, helped by solid exports and resilient domestic demand, Reuters reported. The growth was driven by private sector spending and manufacturing and services sectors, the central bank said Thursday. Growth topped the third quarter’s 4.3%. But full-year growth slowed to 4.2%, compared with 5% the year before—the lowest annual figure since 2009. Malaysia “continued to gain momentum” in the final quarter, Capital Economics said, “but against a backdrop of lackluster external demand, high household debt and limited scope for additional policy support, we doubt growth will pick up further”. Bank Negara Malaysia said domestic demand will remain the key driver of growth. BNM said that Malaysia’s current account surplus widened to RM12.2 billion ($2.74 billion) in the fourth quarter, from RM6 billion in the third quarter.