Malaysian growth expected to ease after robust Q1: AffinHwang

Kuala Lumpur

ECONOMIC activity in Malaysia is expected to taper off significantly in the second and third quarters, as consumers hunker down after frantic stocking in the lead-up to the new consumption tax, which plumped up the economy by 5.6 per cent in the first three months of this year.

High household indebtedness and considerable leverage at quasi-public and corporate levels are likely to compound the anticipated slowdown, economists say.