KUALA LUMPUR, Sept 19 — MIDF Amanah Investment Bank Bhd has maintained its projection that Malaysia’s goods exports and imports will recover and rebound to 5.2 per cent and 11.2 per cent growth, respectively, in 2024, following a more robust performance in August.
The investment bank said that Malaysia sustained double-digit growth in exports, rising by 12.1 per cent year-on-year (y-o-y) in August, while import growth accelerated to 26.2 per cent y-o-y.
“Given the stronger performance thus far, there is potential for upward revisions. In particular, the recovery in the electrical and electronics (E&E) sector appears to be gaining momentum, along with increased demand for other export commodities,” it said in a research note today.
MIDF Amanah added that robust domestic economic activities have contributed to continued strong growth in imports.
“With the encouraging outlook for the domestic economy, this growth could be sustained in the coming months,” it said.
E&E exports grew at a faster rate of 16.5 per cent y-o-y in August 2024, driven by increased exports of semiconductors, automatic data processing equipment, and office machines.
On the import side, growth was broad-based, with all major categories — intermediate, capital, and consumption goods — showing double-digit increases.
“The increase was largely driven by higher purchases of E&E products, including machinery, equipment, and parts, as well as chemicals and chemical products,” MIDF Amanah said.
However, it cautioned that geopolitical conflicts and weak final demand from major markets, like China and the United States, could negatively impact Malaysia’s external trade activity, especially if growth in these key economies slows.
— Bernama
