Malaysia GDP growth accelerates, rate rise looming?
KUALA LUMPUR - Malaysia’s GDP growth accelerated in Q3 to 6.2% y/y (1.8% q/q sa) from 5.8% y/y in the previous quarter. The strong expansion in the quarter was driven by exports and investment, with public consumption the only drag on growth.
Given that Bank Negara Malaysia’s (BNM) hawkish rhetoric in the recent monetary policy report is cognisant of the increasing strength in external and domestic demand conditions, the GDP data increases the risk of a rate hike sooner rather than later, ANZ Bank says in a research note. www.live.anz.com (ATI).