: Malaysia’s labour market is projected to remain stable in 2024, with the average unemployment rate at 3.2 per cent, consistent with the 2023 rate of 3.4 per cent, according to Kenanga Investment Bank Bhd .“This is largely attributed to the expected steady expansion in economic activities driven by strong domestic demand. We project gross domestic product growth to reach 3.3 per cent in the first quarter of 2024 with an overall 2024 GDP growth forecast ranging from 4.5 to 5 per cent.
Nevertheless, Kenanga IB said structural issues in the labour market remain concerning, particularly the persistent youth unemployment rate , which remained at 10.6 per cent in February for the fourth consecutive month, affecting 306,600 people. Hong Leong Investment Bank Bhd stated that Malaysia’s labour market is expected to continue benefiting from a further rise in tourism activities and its positive spill-over effect on related sectors such as wholesale and retail trade, food and beverage, and accommodation, as well as the implementation of national projects.