Household debt under pressure

PETALING JAYA: Malaysia’s household debt-to-gross domestic product (GDP) ratio, which is the second highest in Asia, is expected to rise and be at the 88% to 90% range by year-end in anticipation of the country’s economic contraction.

The ratio denotes total household borrowings as a proportion of the size of the economy measured by the GDP, which is the total value of goods and services produced in the economy in a year.