Malaysia economic growth

Finance Minister Zafrul Aziz has said Malaysia 's inflation may reach around 11%. (Photo: theedgemarkets.com) Kuala Lumpur (VNA) – Finance Minister Zafrul Aziz has said Malaysia's inflation may reach around 11% if the government does not implement subsidies for essential items like fuel. The minister told the press that Malaysia's inflation is forecast to be 2.2%-3.2%. In fact, for the first six months of the year, inflation was around 2.5%, and that was largely due to the large size of subsidies that the government introduced. Malaysia's inflation, as measured by the consumer price index, increased 3.4% year-on-year in June, led by costlier food, the Department of Statistics Malaysia said on July 22. Nonetheless, Tengku Zafrul acknowledged that the current blanket subsidy policy is not sustainable for the country, but it is necessary for economic recovery in the short term. The government is managing the economy cautiously, and the monetary policy has been … [Read more...] about Malaysia’s inflation may hit double digits: Finance Minister

Malaysian Prime Minister Ismail Sabri Yaako. (Photo: VNA) Kuala Lumpur (VNA) – Malaysia wishes to explore new cooperation related to environmental, social and governance (ESG) with Japan under the Look East Policy (LEP), according to Prime Minister Ismail Sabri Yaakob. The Malaysian government adopted LEP in 1982, and targeted social and economic development in the country through learning from Japan. The World Economic Forum's Global Risks Report (WEF) 2022 noted that issues such as climate change, social impact due to aging population and social polarisation after the COVID-19 pandemic are expected to seriously impact the economy and livelihood of most countries in the next 10 years, he said in his keynote address at an event to commemorate the 40th anniversary of the LEP. He urged that new areas of cooperation related to the ESG can be explored by both countries through projects and programmes implemented under LEP. This includes diversifying cooperation in … [Read more...] about Malaysia keen on strengthen ties with Japan under Look East Policy

A positive economic outlook gives employers in Vietnam confidence to increase recruitment in the second half of 2022, though not as high as the previous six-month period. The hiring intentions of Vietnam’s employers are estimated to increase in the second half of 2022, as positive growth rates are reported in various sectors. Remarkable economic recovery drives hiring intentions in H2/2022. Photo: Nguyen Viet Thanh/ILO Vietnam This forecast was announced in the Vietnam Employment Outlook Survey Q3 & Q4 2022 by ManpowerGroup Vietnam. About 88% of the surveyed enterprises plan to increase or at least maintain the current headcounts as compared to 95% of the equivalent index in the first half of 2022. The strongest recruitment intentions were reported in Manufacturing & Processing, Wholesale, Retail & Trading, Banking & Finance, Professional Consulting Services, Construction, Food & Beverage & Hospitality - Accommodation and Real Estate. … [Read more...] about Economic recovery drives hiring in H2/2022

ASEAN member states last week considered an initiative termed the ASEAN Green Deal, which is expected to enable the region to make a gradual transition toward a green future that is sustainable, resource-efficient, resilient, and competitive. ASEAN member states vowed to further tighten cooperation in economic recovery, with new actions advanced The deal will embrace many sectors such as infrastructure, energy, manufacturing, agriculture, transport, the environment, finance, and innovation. The member states reiterated their joint commitment to keeping their markets open for trade and investment, promoting and accelerating trade and investment facilitation initiatives, enhancing transparency, and refraining from imposing unnecessary non-tariff measures to ensure supply chain connectivity, particularly for food, medicines, medical supplies, and other essential products. “Together with efforts in recovery, ministers have underlined the urgent need to boost cooperation … [Read more...] about ASEAN ramps up sustainable initiatives to combat wider global uncertainties

Illustrative image (Source: Reuters) Kuala Lumpur (VNA) - Malaysia is on the road to recovery in terms of headline economic numbers, but Finance Minister Zafrul Abdul Aziz has warned of risks to the recovery amid an uncertain global economic outlook. He said the numbers speak for themselves as Malaysia had a strong first quarter this year, with gross domestic product ( GDP ) growth of 5%, and is on track to achieve a GDP growth rate of 5.3 to 6.3% in 2022. Meanwhile, the unemployment rate dipped to 3.9% in both May and June 2022, showing a declining trend for 14 consecutive months now, he said in his opening keynote address at the Malaysian Student Leaders Summit XVI 2022 on August 8. The minister said Malaysia’s trade performance has also remained resilient, maintaining its growth momentum as trade data showed double digit growth for 16 consecutive months since February 2021. However, he said Malaysia is also facing risks and challenges to recovery such as the … [Read more...] about Malaysian finance minister warns of risks to recovery

Illustrative photo However, the current regulations on family deduction of the Personal Income Tax Law 2009, which was amended in 2012 and supplemented in 2014, are not suitable for the current socio-economic situation and growth rate. Inadequacies in taxation Personal Income Tax (PIT) is one of two taxes that make the largest contribution to the annual state budget revenue with VND 110,000 bln, accounting for 10 percent of the total balance of the state budget in 2021. This is just after the two pillar taxes of the economy, which are Corporate Income Tax (CIT) and Value-Added Tax (VAT). Although wage earners account for 50 percent of the labor force and contribute up to 70 percent of revenue, tax policy for them has been slow to adjust after more than ten years of applying the PIT Law. This is currently very inadequate. The current income of the cadres, civil servants, and public employees' working salary plus additional incomes have all exceeded the threshold of … [Read more...] about Tax Law in Vietnam inconsistent with income

In February, Vietnamese State President Nguyen Xuan Phuc paid a state visit to Singapore, with both nations vowing to continue cementing economic ties. How has this cooperation been implemented so far? Singaporean Ambassador to Vietnam Jaya Ratnam Singapore and Vietnam’s strong economic, trade, and investment ties are underpinned by decades of consistent and meaningful engagement between our governments and peoples. During President Nguyen Xuan Phuc’s state visit to Singapore earlier this year, he and President Halimah Yacob reaffirmed these ties and committed to further collaboration. Our leaders also oversaw the signing of an MoU on economic and trade cooperation between our two countries. We are starting from a very strong base. Singapore has been the leading source of foreign direct investment into Vietnam for the past two years. Singapore is now Vietnam’s second largest foreign investor, with total registered capital of nearly $70 billion. This demonstrates the … [Read more...] about Singapore and Vietnam commit to further strong collaborations

Vietnam’s logistics industry is developing strongly thanks to the growth of the e-commerce industry, according to Savills Vietnam. Nam Hai Dinh Vu Port in Hai Phong city. (Photo: VNA) This is one of the factors that make the demand for logistics real estate increase sharply, it said. A survey by Savills Vietnam showed that Vietnam's logistics industry is enjoying significant growth due to the development of the national economy, and the manufacturing and e-commerce sectors. According to a report on the emerging market logistics index released earlier this year by Agility, a leading logistics and transportation service provider in 2022, Vietnam ranks 11th among the world’s top 50 emerging markets, only behind Indonesia, Malaysia and Thailand in the Association of Southeast Asia Nations. Vietnam's transport and logistics market is estimated to grow at a compound annual growth rate (CAGR) of 7% in the 2021-2026 period. The Vietnamese government … [Read more...] about Demand for logistics real estate increases sharply: Savills Vietnam

The study found that 61 per cent of the surveyed businesses plan to increase their headcounts, while 27 per cent will maintain their workforce. Manufacturing and processing to account for the strongest recruitment Manufacturing and processing toped the industries planning to increase recruitment within the next six months with 19 per cent, followed by wholesale, retail, and trading (12.7 per cent), professional consulting services (9.5 per cent), banking and finance (9.5 per cent), construction (6.4 per cent), food and beverage, hospitality, and leisure (6.4 per cent), and real estate (6.4 per cent). Vietnam's hiring intentions for H2/2022 The most in-demand job levels include executive and junior levels (49 per cent). The runners-up are blue-collar workers (24 per cent), senior management (18 per cent), C-suite (5 per cent), and fresh graduates without experience (4 per cent). The survey also reveals that over 70 per cent of the surveyed companies have … [Read more...] about Employers expect hiring to increase in H2