People buy chicken meat at a market in Kuala Lumpur, Malaysia, on September 1, 2021. (File photo: AFP/VNA) Many major banks of Malaysia forecast that the country's economy will grow around 4% this year.
Hong LeongInvestment Bank Research said in a note that in view of the external headwindsand diminishing base effect, it maintained its expectation for Malaysia to growat a more moderate pace of 4 % this year.
China's reopening is anticipated to help push Malaysia’srecovery in tourist arrivals and lend some support to export growth. Domesticdemand is also expected to continue to assist growth, albeit at a more moderatepace, amid the continued gradual recovery in the labour market.
As for the Maybank Investment Bank, Malaysia's slower growth outlook primarilyreflects the effects of the high inflation and high interest rate on consumerspending and global economic downturn on external trade.
Public Investment Bank Research also maintained Malaysia'sGDP growth projection of 3.8% as it sees that external risks haveclearly risen following concerns on a global economic slowdown./.
VNA
