M'sia Q4 economy defies oil slump to grow 5.8%

Kuala Lumpur

MALAYSIA'S economy defied sliding oil and commodities prices to grow at its fastest pace in four years in 2014, underpinned by strong construction and manufacturing activity.

The net energy exporter, however, may start to feel the full brunt of weaker global oil and gas prices on its income in the months ahead, analysts said, and the authorities have few options to stimulate demand either with fiscal or monetary policy.

Strong economic growth could help dampen dissent over the imprisonment of opposition leader Anwar Ibrahim, who was jailed this week on a sodomy charge that many people believe was politically motivated. But the government also faces pressures over a heavily indebted investment fund 1MDB and the risk …