MARKET DEVELOPMENT
Malaysia\'s Exports To Stay Weak, Says MIDF Research
Malaysia\'s Exports To Stay Weak, Says MIDF Research
10/05/2013 (Bernama) - MIDF Research Sdn Bhd expects the drag on Malaysia's exports to continue to remain weak in the coming months.
It said exports fell for the second month on weak earnings from palm oil and rubber and weak external demand for electrical and electronic (E&E) products.
"We expect weak commodity prices and soft demand for E&E products to continue in the first half of 2013," it said in a research note Thursday.
"In the case of Malaysia, we believe the increase in imports of intermediate and capital goods that exclude lumpy products are on a healthy trend, suggesting that the domestic economic growth is being driven by domestic activities, compensating for the shortfall in exports," it added.
It said exports fell for the second month on weak earnings from palm oil and rubber and weak external demand for electrical and electronic (E&E) products.
"We expect weak commodity prices and soft demand for E&E products to continue in the first half of 2013," it said in a research note Thursday.
"In the case of Malaysia, we believe the increase in imports of intermediate and capital goods that exclude lumpy products are on a healthy trend, suggesting that the domestic economic growth is being driven by domestic activities, compensating for the shortfall in exports," it added.