Malaysia stays in surplus with GDP growth stable

KUALA LUMPUR - Though growth disappointed, Malaysia has avoided joining the twin deficit club in the second quarter.  The current account surplus narrowed sharply from MYR8.7bn in Q1 to just MYR2.55bn in Q2.  ANZ Bank believes this will prove to be the trough in the current account balance, which it expects to rise in the second half of the year. GDP growth was relatively stable at 4.3% y/y (4.1% in the previous quarter)driven by domestic demand.