Malaysia / Fiscal

Malaysia Budget 2020: Walking the tight rope

Irvin Seah / October 14, 2019
Budget 2020 was announced last week, with key focus on boosting economic growth and fostering inclusivity.
Key summary points
  • Malaysia budget 2020 has remained expansionary, with the fiscal deficit expected to register 3.2%
  • However, the budget may not be enough to help the economy achieve the target growth of 4.8%
  • There is marginal upside risk to the fiscal target amid potentially weaker than expected growth
  • Implication for our forecast – full year GDP growth for 2020 is projected to register 4.6%
  • Implications for investors – monetary easing is on the cards to provide added boost for the economy

Malaysia Budget 2020: Walking the tight rope

Photo credit: AFP Photo

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