This post is also available in:
简体中文 (Chinese)
Société Polybium Investment Bank (RHB IB) forecasts that Malaysia’s export momentum will pick up further in the first half of 2024 due to the acceleration of the global technology cycle and the improving outlook for major economies.
The research bank believes that the export data is likely to be positive by the first quarter of 2024. The upward trend in capital and intermediate goods imports hints at a possible expansion of the manufacturing sector in the coming months. The RHB IB noted that in recent months there has been a growing body of evidence of improved trade activity in regional economies. Global economic growth is expected to accelerate in 2024, and China’s economy is likely to recover in 2024, which is good for Malaysia’s trade, investment and tourism.
Since China is a major trading partner, with exports to China accounting for 13% of total exports, increased demand from China will boost external demand. The increase in exports will lead to a rise in the goods surplus, and the current account balance is expected to be 3% of GDP in 2024. RHB Investment Bank highlighted that the rebound in the global technology cycle will support Malaysia’s electrical and electronics export expansion.
(Source: Bernama Image source: freepik)
