MALAYSIA 1Q GDP ESTIMATED TO EXPAND 3.9%, DRIVEN BY SERVICES SECTOR - DOSM

Malaysia's economy is forecast to have grown by 3.9% in the first quarter of 2024 (1Q 2024) based on advance estimates, compared to 3.0% in the previous quarter, spearheaded by the services sector, according to the Department of Statistics Malaysia (DOSM).

Chief statistician Datuk Seri Mohd Uzir Mahidin said the services sector increased by 4.4% (4Q 2023: 4.2%) in 1Q 2024, supported by the wholesale and retail trade, transport and storage and business services sub-sectors.

DOSM said the manufacturing sector rebounded 1.9% in the quarter after recording a contraction of 0.3% in 4Q 2023. The manufacturing of non-metallic mineral products, basic metal and fabricated metal products, transport equipment, other manufacturing and repair and petroleum, chemical, rubber and plastic products supported the growth in this sector.

It said the mining and quarrying sector expanded by 4.9% in the first quarter (4Q 2023: 3.8%) “and the expansion of this sector was driven across all activities, with the natural gas sub-sector being the main contributor.”

Mohd Uzir said the agriculture sector rose 1.3% in the quarter (4Q 2023: 1.9%), contributed by the production of palm oil and livestock.

The construction sector showed substantial growth at 9.8% against 3.6% in the previous quarter, mainly driven by the civil engineering sub-sector.