Malaysian finance minister warns of risks to recovery
Malaysia is on the road to recovery in terms of headline economic numbers, but Finance Minister Zafrul Abdul Aziz has warned of risks to the recovery amid an uncertain global economic outlook.
Kuala Lumpur (VNA) - Malaysia is on theroad to recovery in terms of headline economic numbers, but Finance MinisterZafrul Abdul Aziz has warned of risks to the recovery amid anuncertain global economic outlook.
He said the numbers speak for themselves as Malaysiahad a strong first quarter this year, with gross domestic product (GDP) growthof 5%, and is on track to achieve a GDP growth rate of 5.3 to 6.3% in 2022.
Meanwhile, the unemployment rate dipped to 3.9% inboth May and June 2022, showing a declining trend for 14 consecutive monthsnow, he said in his opening keynote address at the Malaysian Student LeadersSummit XVI 2022 on August 8.
The minister said Malaysia’s trade performance hasalso remained resilient, maintaining its growth momentum as trade data showeddouble digit growth for 16 consecutive months since February 2021.
However, he said Malaysia is also facing risks andchallenges to recovery such as the rising global inflation as commodity pricescontinue to increase and supply chains disrupted due to the ongoingRussia-Ukraine conflict.
Malaysia's inflation rate climbed to a one-year high of3.4% in June 2022, with food inflation in June at 6.1%, he said, adding thatthe government has managed to cushion the impact through subsidies and pricecaps on certain key goods.
The finance minister noted that the US FederalReserve’s cumulative rate hike of 225 basis points in total thus far hasweakened numerous currencies, including the ringgit.
He also stressed that the risk of newCOVID-19 variants and sub-variants remains present and Malaysia, together withthe rest of the world, must be ready for the next global pandemic and may needto focus more on preventive rather than curative measures./.
Malaysia’s Finance Minister Zafrul Aziz has recently revealed that the country’s government debt amounted to 1.045 trillion RM (234.4 billion USD) or 63.8% of its gross domestic product (GDP), but does not include the contingent liabilities of entities such as 1Malaysia Development Bhd (1MDB), its subsidiaries, SRC International Sdn Bhd and Suria Strategic Energy Resources Sdn Bhd (SSER).
Malaysia has disbursed 20.92 billion RM (4.72 billion USD) of wage subsidies through its Wage Subsidy Programme (PSU) to 357,895 employers, Finance Minister Zafrul Aziz said in the 105th People’s Financial Report released on August 4.
The Malaysian government will stop building coal power plants starting in 2040, and shift its focus toward clean and renewable energy, according to Minister in the Prime Minister’s department in charge of economy Mustapa Mohamed.
The Republic of Korea (RoK), China and Japan agreed on May 3 to reinforce the regional financial safety net, along with members of the Association of Southeast Asian Nations (ASEAN), by launching a new financing facility programme meant to extend greater support in case of a financial crisis.
A technical issue combined with an extreme heatwave was blamed for a series of explosions at a military base that killed 20 soldiers and injured several others in Cambodia on April 27, the country’s Ministry of Defence said in a May 2 statement as reported by the Xinhua news agency.
The Customs Department of Thailand is scheduled to commence the collection of value-added tax (VAT) on imported goods sent via postal services, regardless of the goods value, starting in May.
A lecturer from Chulalongkorn University’s Faculty of Medicine has warned Thais to be more vigilant against COVID-19, saying infection rates appeare to be worsening with higher hospital admissions, deaths and severe cases.
Malaysia should harness the collective expertise and resources to drive sustainable growth and development of the halal industry, according to Minister of Investment, Trade and Industry Zafrul Abdul Aziz.
Laos has officially restored the 10% value-added tax (VAT) rate starting May 1, in a bid to support the country’s budget revenue and socio-economic development.
The ASEAN Future Forum 2024 (AFF 2024) entered its second plenary session in Hanoi on the afternoon of April 23, discussing ways to ensure comprehensive security for the people-centred ASEAN Community.
The first session of the ASEAN Future Forum 2024 (AFF 2024) in Hanoi on April 23 focused on fast and sustainable growth for the Association of Southeast Asian Nations (ASEAN).
The Canada-ASEAN Business Council (CABC) and the ASEAN Alliance on Carbon Markets (AACM) have signed a Memorandum of Understanding (MoU) to strengthen collaboration and accelerate the implementation of carbon crediting programmes across Southeast Asia.
ASEAN Secretary-General Kao Kim Hourn reaffirmed ASEAN leaders' commitment to empowering the youth to unleash their full potential when he had a dialogue with ASEAN youth in Hanoi on April 22 on the sidelines of the ASEAN Future Forum (AF 2024).
The Thai Government is being urged to increase the proportion of renewable power generation to more than the target of 50% set in the power development plan (PDP).
The Centre for Volcanology and Geological Hazard Mitigation (PVMBG) of Indonesia on April 21 lifted its tsunami advisory issued previously following the eruption of Mount Ruang in Sitaro district of North Sulawesi province.
Thailand expects to export about 1 million tonnes of durian, valued at an estimated 130 billion THB (3.53 billion USD) this year, with most of the shipments to China, according to Minister of Agriculture Thammanat Prompao.
The 72nd meeting of the ASEAN Working Group on Intellectual Property Cooperation (AWGIPC) and related meetings are being held by the Ministry of Science and Technology’s Intellectual Property Office (IPO) of Vietnam in the central city of Da Nang on April 22-26.
Enhancing regional food security and tackling the pressing challenges of climate change will be key agendas defining Malaysia’s ASEAN Chairmanship in 2025, Speaker of the Dewan Rakyat (lower house) Johari Abdul told the press on April 19.
Illustrative image (Source: Reuters)
