Uh-oh, the bottom’s fallen out Source: Statistics Department
Ringgit weakens against the US dollar and Yen
Buckle up, folks! We are in for some tough times.
Malaysia’s economy took a dive in the fourth quarter as GDP stood on the brink of negative territory, growing by just by 0.1 per cent, compared to 4.7 per cent in the third quarter.
This was largely due to a drop in manufacturing from 1.8 per cent growth in the third quarter to a shrinkage of 8.8 per cent in the fourth quarter, largely because of a contraction of 12.3 per cent in export-oriented industries.
Meanwhile, portfolio investments continued to flee the country. In the fourth quarter, RM25 billion flowed out of the country though that was lower than the RM38 billion that left the country in the previous quarter.
But the Bank Negara governor said we have nothing to worry and insists we will not slide into a recession. She was reported as saying that growth for 2009 would be 5.0 – 5.5% (oh, puh-leeease!).
Say no more.