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buy apple account:Economy to rebound 6% to 7.5% in 2021, says Bank Negara

admin2021-04-0116

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,KUALA LUMPUR: Bank Negara projects a domestic economic rebound of between 6% and 7.5% in 2021 as compared to a 5.6% contraction last year, driven mainly by higher domestic demand.However, the central bank noted that progress will be uneven and shaped by several factors including the Covid-19 pandemic and vaccine rollout, the extent of external spillovers, sector-specific developments and the degree of improvement in labour market conditions."Malaysia’s integration in fast growing segments of global value chains and diversified external trade structures, along with continued policy support and its effective execution would be the key factors in driving the rebound in economic growth in 2021," said Bank Negara governor Nur Shamsiah Yunus in her forward to the Economic and Monetary Review 2020 report.Bank Negara noted that despite the tightening of containment measures at the start of the year, the overall impact for the year will be less than in 2020 due to fewer restrictions and a more targeted approach in containing the pandemic.Domestic demand is expected to be the key driver for growth in 2021 with private consumption projected to rebound 8% due to a gradual improvement in overall income and employment growth as well as less stringent mobility restrictions compared to 2020."Consumer sentiment is also expected to improve gradually as the vaccination programme is rolled out, particularly towards the second half of the year," it said.Meanwhile, capital spending in the private and public sectors is expected to lead to a 7.8% rebound in gross fixed capital formation.The higher capital spending would be driven by the recovery in both structures and machinery and equipment (M&E) investments, amid improvement in global and domestic economic activity, said Bank Negara.Private investment growth is expected to improve to 5.4% following the gradual recovery in external demand as vaccines begin to roll-out on a wider scale.Public investment is projected to expand 15.2% due to improvement in both general government and public corporations spending and further progress in large-scale infrastructure projects.Public consumption growth is expected to continue expanding at 4.4% in line with continued expansion in Federal government spending.
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