Minister of Economy Rafizi Ramli has refuted claims that he was erroneous in a statement that touches on the country’s economic growth by quarter for the year 2023.
In reply to a statement made by academician Professor Tan Sri Nor Azlan Ghazali on Facebook yesterday (Nov 28) which gave the impression as if Rafizi had given wrong facts about the country’s economic growth by quarter, the minister wishes to clear the air to correct the public’s perception of the context of my statements on the quarterly economic growth.
The following is the growth data by quarter since 2016 as reported by the Department of Statistics Department (DOSM):
There are two different perspectives from this data, Rafizi explained in a statement today (Nov 29), in that, since 2016, the country’s economy has grown from quarter to quarter (unless there is a financial or global economic crisis).
“But this growth rate varies from quarter to quarter. Usually, if there is economic growth in the 1st quarter, even if the economy continues to grow in the 2nd or 3rd quarter, the growth rate is lower than the previous quarter.
For example, in 2016, the first quarter grew 0.9%, then the second quarter growth was better at 1.3%, but this increased quarterly growth momentum could not be maintained in the third quarter of 2016 (down to 1.1%).
Although the economy grew in all three quarters (as mentioned by Prof Tan Sri NorAzlan), but the growth momentum slowed down after two quarters.
Such is the state of our economic growth since 2016, until the year 2023.
The context of my statement is how economic growth is not only positive every quarter, but the next quarter has higher growth than the previous quarter.
The fact is that the growth from the first quarter of 2023 to the third quarter of 2023 is the first time since 2016 that the growth momentum from quarter to quarter remains strong (Q1: 0.9%, Q2: 1.5%, Q3: 2.6%)
“It’s a good sign that not only is the economy recovering, but that the recovery is happening with unprecedented quarter-on-quarter growth momentum. While I welcome the views and comments of all parties, I hope that the true context of the country’s economic growth is also shared with the people so that we can maintain positive economic sentiment.”
The country needs this positive economic sentiment as we face global economic uncertainty Rafizi added.
