Malaysia Economic Growth in 2011

It was undeniable that last year was a good year for stock investors. The report shown that our domestic economy expanded by the whopping rates of 10.1% and 8.9% in 1st quarter and 2nd quarter of 2010 respectively, even though it slowed down to 5.3% in 3rd quarter.

However, our Malaysian government is yet to release the official data on the Malaysia economic growth (GDP) for 2010. Many researchers said that the 4th quarter of 2010 is expected to range between 3.7% to 5.7% which making the year 2010 to potentially grow within the range 7% to 7.5%.

First quarter of year 2011 is quite challenging for those who invest in stork market. This is because the slower 4th quarter economic growth could bring to the first half of year 2011.

Many banks forecast for Malaysia’s 2011 GDP growth will be 5-6%. It is followed by the country’s 4th quarter GDP growth came in high which is above consensus expectations, while full-year growth of 6-7%

The expectation for year 2011 still remain good but some analysts said that investors should take more preventive approach provided that the long term structural problem in the Western economies have yet to be resolved. High debts and high unemployment are still pervasive in these economies. And, the problem may affect our Asian economies as well.