Malaysia’s exports unexpectedly declined by 2% year-on-year in February, significantly below market expectations of an 8% growth, mainly due to a shorter working month and the high-base effect from February 2017, The Star online reported. Imports also declined by 2.8% during the period, against an expected 7.1% growth. The data marks the first decline in the country’s exports and imports since November 2016. While the trade surplus of RM9 billion ($2.35 billion) for the month under review was above market expectations of RM8.5 billion, it was still lower than the RM9.7 billion achieved in January. Despite the fall in exports and imports, Malaysian Industrial Development Finance Board Research expects the country’s external trade performance to rebound in the upcoming months. The research house said this would lead to an overall easing path in 2018 amid the upbeat momentum in global trade activities. “Underpinned by optimistic signs of key global indicators and gradual recovery in commodity prices, we foresee Malaysia’s exports to expand by 9.3% this year.”
