Going Forward, Export To Be Lifted By Semiconductor – BusinessToday
Maybank Investment Bank has noted that the latest indicators point towards sustained strength in economic activity in 2Q 2024, driven by resilient domestic expenditure and better export performance. Going forward, the house said exports are expected to be further lifted by the global tech upcycle given Malaysia’s position in the semiconductor supply chain, as well as continued strength in non-electrical and electronics goods.
Noting that tourist arrivals and spending are also poised to rise further, continued employment and wage growth, as well as policy measures, will continue to support household spending. Investment activity would be supported by the ongoing progress of multi-year projects in both the private and public sectors, the implementation of catalytic initiatives under the national master plans, as well as the higher realisation of approved investments.
Maybank in its domestic economic outlook highlighted that growth outlook is subject to downside risks from weaker-than-expected external demand and larger declines in commodity production. Meanwhile, it said the upside risks to growth mainly emanates from greater spillover from the tech upcycle, more robust tourism activity, and faster implementation of existing and new projects.