KUALA LUMPUR: Department of Statistics Malaysia (DoSM) has reported that advance estimates indicate Malaysia’s economy grew by 5.3% in the third quarter (3Q) of 2024, following a robust 5.9% growth in the preceding quarter.
In its release of advance Gross Domestic Product (GDP) estimates today, the department noted that GDP increased by 5.1% for the period from January to September 2024, compared to 3.8% in the same period last year.
“The stable labour market, moderate inflationary pressures, accommodative fiscal and monetary policies, and ongoing recovery in tourism are expected to contribute to the expansionary momentum of the domestic economy,“ said chief statistician Datuk Seri Dr Mohd Uzir Mahidin in a statement.
According to the latest indicators released by DoSM, wholesale and retail trade sales rose by 6.7% in July before moderating to 4.7% in August 2024.
Furthermore, the Industrial Production Index increased by 5.3% in July and 4.1% in August 2024.
“On the external front, Malaysia’s trade demonstrated resilience, achieving quarterly growth of 7.8% in exports and 20.8% in imports,“ said Mohd Uzir.
He noted that this quarter’s economic expansion was driven by the services sector, which grew by 5.1% (compared to 5.9% in 2Q 2024), led by the wholesale and retail trade, transportation and storage, and business services sub-sectors.
Additionally, the manufacturing sector experienced improved growth of 5.7%, up from 4.7% in the preceding quarter, primarily supported by electrical, electronic, and optical products, as well as petroleum, chemical, rubber, and plastic products.
The construction sector continued its remarkable growth, expanding by 19.5%, up from 17.3%, driven by strong performance across all segments, particularly specialised construction activities and non-residential buildings.
In contrast, the agriculture sector grew at a slower rate of 4.0% compared to 7.2% in 2Q 2024, attributed to moderation in the oil palm sub-sector.
However, the mining and quarrying sector contracted by 3.4%, down from 2.7% growth in the previous quarter, due to declines in the natural gas and crude oil and condensate sub-sectors.
Following these advance estimates, the preliminary GDP report, which will provide a detailed and comprehensive analysis for 3Q 2024, is set to be released on Nov 15, 2024.
