Malaysia witnessed a decrease in the Leading Index (LI) by a negative 0.2 per cent to 109.8 points in November 2023 as compared to 110.0 points in the same month of the previous year.
This decline is owing to the unfavourable performance in the Number of Housing Units Approved (-25.8%) and Real Imports of Semiconductors (-18.3%).
However, the Bursa Malaysia Industrial Index showed a growth of 17.1 per cent and remained positive since May 2023.
The monthly performance of the LI rebounded by 0.5 per cent as compared to negative 0.1 per cent in the previous month, driven by a significant increase in Real Imports of Semi-Conductors (1.0%).
The Leading Index recorded 109.8 points in November 2023, reflecting a modest economic growth in the near future.
The Department of Statistics Malaysia (DOSM) released the Malaysian Economic Indicators: Leading, Coincident & Lagging Indexes for November 2023 today (Jan 24). The Leading Index (LI) is a tool utilised for predicting economic trends for an average of four to six months ahead.
Chief Statistician Malaysia Dato’ Sri Dr. Mohd Uzir Mahidin said, “Malaysia witnessed a decrease in the Leading Index by a negative 0.2 per cent to 109.8 points in November 2023 as compared to 110.0 points in the same month of the previous year.
This decline is owing to the unfavourable performance in the Number of Housing Units Approved (-25.8%) and Real Imports of Semiconductors (-18.3%). However, the Bursa Malaysia Industrial Index showed a growth of 17.1 per cent and remained positive since May 2023.
The monthly performance of the LI rebounded by 0.5 per cent as compared to negative 0.1 per cent in the previous month, driven by a significant increase in Real Imports of Semi Conductors (1.0%)”.
Looking at the smoothed long-term trend in November 2023, LI remained below the 100.0 point trend.
Accordingly, Malaysia’s economy is foreseen to maintain its moderate growth supported by the resilient performance of domestic-oriented industries despite continuing to face the uncertainty of the international market
Looking at the smoothed long-term trend in November 2023, LI remained below the 100.0 point trend.
Accordingly, Malaysia’s economy is foreseen to maintain its moderate growth supported by the resilient performance of domestic-oriented industries despite continuing to face the uncertainty of the international market.
As for the current economic position, the Coincident Index (CI) recorded 123.7 points, an increase of 2.6 per cent as compared to 120.3 points in the same month of the preceding year. This performance was contributed by all components, mainly the Real Contributions Value, EPF (13.7%).
In contrast to the annual performance, the monthly CI shrank by a negative 0.3 per cent, influenced by lackluster performances in all components except for Real Salaries & Wages in Manufacturing (0.1%).
The Diffusion Indexes for LI and CI showed a downward trend in November 2023, where both indices posted below 50.0 per cent. The Diffusion Index for LI at 42.9 per cent, while the Diffusion Index for CI at 33.3 per cent.
