Economics
Malaysia Braces for First Recession Since Global Financial Crisis
- World Bank revises Malaysia GDP forecast to -0.1%, from 4.5%
- Economy also faces risks from political stability, oil prices
Members of the Malaysia Civil Defence Force wearing protective masks stand guard in the Bukit Bintang area of Kuala Lumpur, Malaysia, on March 22.
Photographer: Samsul Said/BloombergThis article is for subscribers only.
The ever-deepening coronavirus crisis is pushing Malaysia toward its first recession since the global financial crisis.
Malaysia’s gross domestic product is now expected to shrink 0.1% this year, down from an earlier forecast for 4.5% growth, the World Bank said in a report Monday. Analysts from RHB Bank Bhd. and Oversea-Chinese Banking Group Ltd. also warned of recession or even contraction this year as Malaysia weathers a four-week lockdown that has put its economy on pause.