Malaysian economy grew 5.9% last year, slower pace seen this year

Key to growth: A file picture showing a view of the Kuala Lumpur skyline. Bank Negara expects growth to remain favourable this year, with domestic demand continuing to be the key driver of growth. — Reuters

PETALING JAYA: The Malaysian economy grew faster than had been forecast last year, but economists are looking at the high base effect, a slower pace of export growth and external conditions to impact Malaysia’s growth prospects this year.

Overall, economic growth as measured by gross domestic product (GDP) came in at 5.9% in the fourth quarter ended Dec 31, 2017 (4Q17) compared with the same quarter the previous year, and GDP also grew 5.9% for the full year in 2017.