Photo taken on Aug. 14, 2020 shows the building of Malaysian Central Bank, Bank Negara, in Kuala Lumpur, Malaysia. (Photo by Chong Voon Chung/Xinhua)
KUALA LUMPUR, March 21 (Xinhua) -- The Malaysian economy is projected to grow between 4 percent and 5 percent in 2024, supported by the resilient domestic demand and improvement in external demand, Malaysian Central Bank said Wednesday.
The Bank Negara Malaysia said in its 2023 Economic and Monetary Review report that tourism is expected to improve further, while the implementation of new and ongoing multi-year projects by both the private and public sectors would support investment activity.
Nevertheless, the bank said domestic growth remains subject to downside risks from both external and domestic factors.
External factors include a weaker-than-expected global growth and further escalation of geopolitical conflict.
Domestically, it said more severe shocks on commodity production and the implementation of subsidy rationalization could also weigh on the growth outlook, although this could be partially offset by targeted cash assistance from the government.
"Greater spillover from the tech upcycle, stronger-than-expected tourism activity, and faster implementation of existing and new investment projects would provide upside risks to domestic growth," it added.
The Malaysian economy grew by 3.7 percent in 2023, mainly supported by resilient domestic demand and recovery in tourism activities. ■
