Key Highlights:

• 3Q22 saw 14.2% y-o-y growth in GDP driven by robust domestic spending and export demand and higher capital expenditure. Malaysian economy expanded by 9.3% in 1st three quarters of 2022.
• Private final consumption up 15.1% supported by Transport, Restaurants & hotels, and Recreation services & culture.
• Services sector grew stronger at 16.7% driven by Wholesale & retail trade sub-sector (+24.4%) and better performance across all other subsectors.
• Manufacturing sector expanded by 13.2% propelled by Electrical and Electronics (E&E) cluster with double-digit growth of 17.3%.
• Construction sector recorded double-digit growth of 15.3% due to resumption of activities and improvement in labor market.
• Commodities-related sectors rebounded positively with Mining and Agriculture growth of 9.2% and 1.2%, respectively.
• Unemployment rate improved to 3.7% and headline inflation rose to 4.5% driven by continued improvement in demand.
• Business Conditions Index (BCI) and Consumer Sentiment Index (CSI) improved but remained below the optimism level of 100.