malaysia

Najib: Moody’s affirmation of A3 rating confirms strong economy

Datuk Seri Najib Razak says Moody’s affirmation means that the efforts of the Barisan Nasional government was bearing fruit. — Reuters picDatuk Seri Najib Razak says Moody’s affirmation means that the efforts of the Barisan Nasional government was bearing fruit. — Reuters picKUALA LUMPUR, Dec 8 ― The affirmation by rating agency, Moody's Investors Service of the Government of Malaysia’s local and foreign currency issuer and senior unsecured bond ratings at A3 with stable outlook is proof of the country’s economy being on the right track.

“Moody's today affirmed Malaysia’s rating as stable under the A3 category, proof that our economy is on the right track,” Prime Minister Datuk Seri Najib Razak tweeted.

Also the Finance Minister, he said the affirmation means that the efforts of the Barisan Nasional government was bearing fruit.

Moody’s in a statement today said the key drivers underpinning the A3 rating and stable outlook was expectation that the government's debt burden would remain high, but broadly stable, the relatively high exposure of the economy and financial system to a tightening in external financing, as well as Malaysia's healthy and resilient growth prospects.

Moody's also said the government's commitment to fiscal consolidation had resulted in fiscal deficits narrowing in each of the past seven consecutive years.

“Between 2012-2021, we expect GDP growth to average 5.1 per cent, making Malaysia one of the fastest  growing A-rated sovereigns, surpassed only by China, Ireland, and on par with Malta,” it added.

Malaysia’s economy expanded at 6.2 per cent  in the third quarter (Q3) 2017 compared to 4.3 per cent in the same quarter of last year, spurred by domestic demand, particularly via private sector spending. ― Bernama

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