KUALA LUMPUR (Nov 20): TA Securities Research is optimistic about the Malaysian economy, predicting a Gross Domestic Product (GDP) growth trajectory of 5.0% in 2024. The research house attributes this positive outlook to the expectation of a sustained global economic recovery, particularly in China, which will drive increased external demand.
In the third quarter of 2023, Malaysia’s real GDP grew by 3.3% year-on-year (y-o-y), surpassing TA Securities’ revised expectations and the median forecast of analysts polled by Bloomberg. The Malaysian government’s commitment to pro-growth initiatives is expected to continue, supported by increased political stability. This has the potential to bolster confidence among foreign investors, leading to an influx of capital and portfolio investments.
Despite this positive outlook, TA Securities remains vigilant and open to adjustments. In its earlier GDP preview report, it had anticipated the possibility of growth dipping below 4.0%, citing a weaker third-quarter growth rate. However, it outperformed expectations and remains optimistic about the country’s economic trajectory moving forward.
Overall, TA Securities Research believes that with sustained global economic recovery and political stability in Malaysia, there is significant potential for further growth in the country’s economy in the coming years.