After quietly climbing back from the worst recession since the 1930s, Malaysia and its related exchange traded fund have now appeared to enter full-on growth mode. But can the Asian economy surpass the expectations?
Malaysia’s government has predicted a rebound in the country’s GDP this year, following a contraction last year. The economy is predicted to grow 3.7% this year and 5.7% next, according to a research institute. In particular, the government will be looking to the service sector to provide the necessary support for expansion, report Manirajan Ramasamy and Soraya Permatasari for Bloomberg.
For the first time in seven months, Malaysia’s consumer prices in food and housing costs have risen. Shamim Adam and Michael Munoz for Bloomerg report that consumer prices climbed 1.1% in December from a year earlier, after declining 0.1% the previous month.
Despite the price increases, Malaysia’s government doesn’t think inflation is much of a concern at this point. The central bank said it will keep rates where they are until at least the third quarter, just in case.
- iShares MSCI Malaysia Index (EWM)