Malaysia's economy grows 5.6% in Q1 on strong domestic demand

Kuala Lumpur

MALAYSIA'S economy grew by a better-than-expected 5.6 per cent in the first quarter boosted by strong domestic demand and a rejuvenation of exports but is expected to taper in the coming quarters.

Robust private sector spending, improvements in the supply side driven by a rebound in crude palm oil and rubber prices and higher growth in manufacturing especially in electronics and electricals led to the strongest quarterly performance in two years, surpassing the consensus of 4.8 per cent.