Brokerage upgrades construction sector to overweight

Tunneling works on the ECRL route near Dungun. - Filepic

KUALA LUMPUR: Affin Hwang Capital Research has upgraded the construction sector from “neutral” to “overweight” as Malaysia Rail Link Sdn Bhd (MRL) will call for tenders for the RM44bil East Coast Rail Link (ECRL) project’s civil works in the fourth quarter of this year.

It said that more infrastructure projects are likely to be revived. It also expects infrastructure spending to accelerate in 2020 to support gross domestic product (GDP) growth.