Malaysia’s economy will grow by 4.2% this year, aided by an improvement in exports, recovering commodity prices and robust domestic consumption.
OCBC Bank Economist, Wellian Wiranto, said the country’s exports were expected to grow by between three and four per cent this year, supported by commodities and electronics exports.
“Oil price is going to recover all the way up to US$65 (US$1 = RM4.43) per barrel this year, supported by the supply cut by the Organisation of the Petroleum Exporting Countries (OPEC) and non-OPEC,” he said at a briefing on the 2017 Economic Outlook in Kuala Lumpur today.
He said when the oil price recovered, all the commodity prices would benefit from that as well, as Malaysia is a net commodities export.
Brent Crude is now hovering at US$55 per barrel.– Bernama