Tengku Zafrul claims that Malaysia may need to review its policies.
In order to withstand a potential economic crisis, Malaysia may need to reassess itself in the coming year, according to Finance Minister Datuk Seri Tengku Zafrul Abdul Aziz.
The country must be ready for a slowdown in the global economy, according to Tengku Zafrul, who expressed his confidence that Malaysia will have good economic growth at least through the third quarter of this year.
The subsidies in Malaysia, which have been credited with the country’s comparatively low inflation rates, may be harder to continue “in the long run,” according to Tengku Zafrul.
In a circular published last month, Bank Negara Malaysia predicted that this year’s inflation rates in the nation will range between 2.2 and 3.2%.
Inflation in the United States increased to 9.1% in June, according to CNBC, while comparable statistics were observed in Europe.
The president of the International Monetary Fund (IMF) stated this month that the prognosis for the world economy had “darkened markedly” since April and that, given the increased risks, she could not rule out a potential global recession in 2019.
For the third time this year, the IMF will lower its prediction for global economic growth in 2022 from 3.6% to 3.2%, according to Managing Director Kristalina Georgieva, who also said that IMF analysts were still finalising the revised statistics.
After cutting its projection by almost a full percentage point in April, the IMF is anticipated to disclose its updated forecast for 2022 and 2023 in the latter half of July.
6.1% growth was projected in the world economy in 2021.
