KUALA LUMPUR: Datuk Seri Anwar Ibrahim has given an assurance to Malaysians that the country will not slip into a recession for now following the imposition of tariffs by the United States, as the country's economy remains resilient.
According to Bernama, the Prime Minister reiterated that Malaysia would not introduce retaliatory tariffs.
"If the 24 per cent tariff were implemented, from an economic perspective, the 2025 Gross Domestic Product (GDP) growth projection of 4.5 - 5.5 per cent will need to be reviewed.'’
"However, for now, let me reassure you that the government does not foresee a recession in Malaysia,” he said in a video addressing the US tariffs.
Anwar, who is also Finance Minister, said the country's macroeconomic foundations remain strong.
He said Malaysia's positive macroeconomic fundamentals were well supported by its robust household spending, strong domestic investment, healthy tourism receipts and the continued implementation of national masterplans.
"Our sound economic fundamentals, therefore, will enable us to weather this challenge from a position of strength and preparedness, the Prime Minister said, allaying concerns over President Donald Trump's tariffs imposed on 168 countries which has riled markets and started a global trade war after China retaliated.
Malaysia is among those affected by the tariffs whereby from April 5, every Malaysian product shipped to the US will face at least a 10 per cent duty; and from April 9, most products will face a 24 per cent rate, with some exemptions.
As an open trading nation, Malaysia deems the unilateral decision on reciprocal tariffs as a major threat to the current global trade and investment system, said Anwar.
