PETALING JAYA: Businesses are expecting a favourable environment in the second quarter of 2024 (Q2’24), backed by a marginal positive confidence indicator of +0.7%, compared to +4.2% in the previous quarter, Chief Statistician Malaysia Datuk Seri Dr Mohd Uzir Mahidin said when disclosing the Business Tendency Statistics for Q2’24.
He said the industry sector continues to be optimistic about business performance, with a confidence indicator of +5.3% for the corresponding quarter, compared to +0.6% in the first quarter of 2024.
“The improved outlook in the industry sector is influenced by three sub-sectors: mining, manufacturing, and electricity and water, which predict encouraging business conditions in the reference quarter. However, the construction, wholesale and retail trade, and services sectors foresee challenging business conditions in the second quarter of 2024. Business confidence in the construction sector weakened, with the confidence indicator recording -14.8% in the reference quarter,” he added
Meanwhile, the wholesale and retail trade and services sectors turned pessimistic in the same quarter. Respondents within the wholesale and retail trade sector expect a less favourable business outlook, with a confidence indicator of -4.1% in the second quarter of 2024, compared to +4.7% in the last quarter.
The services sector also foresees a less desirable business situation in the second quarter of 2024, with a confidence indicator of -0.9%, as compared to +8.6% previously.
Looking ahead, Mohd Uzir said the business outlook for the period from April to September 2024 remains lively, with a net balance of +14.9%, compared to +10.0% recorded previously.
All sectors register positively, except wholesale and retail trade. Sentiments in the industry sector show a brighter business outlook, with a net balance of +19.0%, up from 0% recorded previously. For the next six months, the services sector anticipates a positive business environment, with a net balance of +9.5% from +24.0% in the first quarter of 2024,” he added.
The construction sector also foresees optimistic business prospects, with a net balance of +3.7% for the coming period. The wholesale and retail trade sector expects a challenging business outlook for the following six months, with a net balance of -1.5%, compared to +15.1% previously. Nevertheless, the wholesale trade sub-sector maintains a positive trajectory, recording +2.2%, as compared to +17.0% previously.
