KUALA LUMPUR, Feb 14 — Malaysia’s gross domestic product is projected to rebound by 3.0 percentage points to 6.1 per cent year-on-year in 2022 on the back of favourable external conditions, with the full economic reopening by major economies giving the growth momentum an added boost.
However, this could be tempered by the emergence of a more infectious COVID-19 variant which could cause rapid transmission and therefore, a loss in productivity and output. On the monetary policy, Public Investment Bank expects to see normalisation in the benchmark interest rate only in the second half of 2022, with the overnight policy rate likely to be adjusted by 50 basis points to 2.25 per cent.
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