Malaysian economy projected to grow by 5.5-6.5 percent in 2022

In Kuala Lumpur, Malaysia (Photo: AFP)

Kuala Lumpur (VNA) – Bank Negara Malaysia (BNM) on February 4 forecast that the Malaysian economy will expand between 5.5 percent and 6.5 percent this year, underpinned by continued expansion in global demand and higher expenditure in private sector.

BNM Governor Nor Shamsiah told the local press that Malaysia is well positioned to gain as global growth and trade bounce back.

She pointed out that strong external demand for electrical and electronics (E&E) products and commodities, particularly from the country’s key trade partners including China, the US and the regional economies, would contribute to further expansion of the export-oriented sectors.

The Governor added that the continuation of major investment projects in key economic sectors, such as in E&E manufacturing and digital investments, would lift growth further.

Nevertheless, risks to the outlook for 2022 remain, arising from a weaker-than-expected global growth, worsening supply chain disruptions, and the emergence of severe and vaccine-resistant COVID-19 variants of concern, she said. 

She added that Malaysian banks are taking efforts to integrate environmental, social and governance considerations in their governance, business strategy, operations and risk management./.