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Gross Domestic Product (GDP) by State, 2010 (Updated: 17/10/2011)
GROSS DOMESTIC PRODUCT (GDP) BY STATE, 2010
1. Global economy rebounded in 2010 after the worldwide financial crisis and economic downturn in 2009. Favourable economic growth has been recorded in most of the countries including the Asian region. Malaysia also posted a strong growth of 7.2 per cent in 2010 (2009: -1.6 per cent). The growth was driven by the Services (6.8 per cent) and Manufacturing (11.4 per cent) sectors.
2. Upward trend of growth was reflected in the states' performances especially those that are highly dependent on Services and Manufacturing sector. As shown in Chart 1, Selangor recorded the highest growth of 10.8 per cent (2009: -1.0 per cent) supported mainly by Manufacturing sector which increased sturdily by 19.5 per cent as compared to -7.6 per cent in the previous year. Activities on the Manufacture of Motor Vehicles & Transport Equipment and Electrical & Electronic industrial products led the robust performance in Manufacturing sector.
Chart 1: GDP Growth (%) by State at Constant Price 2000 Year 2010
Similarly, GDP for Pulau Pinang and Johor showed a strong growth of 10.0 per cent (2009: -10.8 per cent) and 9.3 per cent (2009: -4.0 per cent) respectively mainly due to better performance in Manufacturing sector. Other states which rely on Manufacturing and Services sectors also registered a favourable growth. The growth momentum was seen in Perak (5.7 per cent), Melaka (5.6 per cent), Negeri Sembilan (5.3 per cent), Pahang (4.5 per cent), Sarawak (4.5 per cent), Kedah (4.4 per cent) and Terengganu (4.3 per cent).
3. As for Sabah, the growth moderated to 2.4 per cent as compared to 3.8 per cent recorded a year ago. This is due to a slower momentum in Mining and Quarrying sector. Meanwhile, higher growth in WP Kuala Lumpur (9.2 per cent) and WP Labuan (6.0 per cent) was attributed by the strong performance in the Services sector particularly in Finance & Insurance and Wholesale & Retail Trade sub sectors.
4. Dependency on certain economic activities created a unique economic structures and different focus areas. This scenario can be seen from the different characteristic and structure of economy in every state and thus resulted a disparity in state performance. The Services sector is a major contributor to the economy of WP Kuala Lumpur (89.3 per cent), WP Labuan (75.5 per cent), Kelantan (73.8 per cent), Perak (65.9 per cent), Perlis (58.3 per cent), Terengganu (58.3 per cent), Selangor (56.5 per cent) and Kedah (55.7 per cent). Pulau Pinang and Negeri Sembilan were dominated by Manufacturing sector with a share of 49.3 per cent and 48.6 per cent respectively to their GDP (Table 1). Melaka, on the other hand, had almost an equal contribution between Services and Manufacturing sectors in its economy. In addition, Mining and Agriculture sectors were amongst the important economic force for Sabah and Sarawak. Meanwhile, Agriculture sector was one of the main contributors to Pahang and Perlis economy.
Table 1: Percentage Distribution of Economic Activity by State at Constant Price 2000 Year 2010
5. In terms of sectoral perspective, WP Kuala Lumpur and Selangor remained as the main contributors in the Services sector with a share of 47.9 per cent to the national level (Table 2). Meanwhile, Johor and Pulau Pinang contributed 8.6 per cent and 6.9 per cent respectively. The growth in the Services sector was stimulated by Wholesale & Retail Trade and Finance & Insurance sub sectors.
Table 2: Percentage Share (%) by State at Constant Price 2000 Year 2010
6. In the Manufacturing sector, Selangor continued its dominance with a share of 30.0 per cent, followed by Pulau Pinang (15.6 per cent), Johor (12.3 per cent) and Sarawak (9.2 per cent). Total contribution of these four states accounted for 67.1 per cent (2009: 64.8 per cent). The main impetus in this sector were Electrical & Electronic and Motor Vehicle & Transport Equipment sub sectors. Furthermore, the double digit expansion in Chemicals & Chemical Product, Non-Metallic Mineral Products, Basic Metal Products and Rubber Products sub sectors also stimulated the better performance in Manufacturing.
7. Sabah and Sarawak remained as main players for Agriculture Sector in 2010 with a share of 37.5 per cent. The share however, is slightly lower as compared to 38.3 per cent recorded in 2009. The main agriculture activities in both states were Palm Oil and Forestry & Logging. Meanwhile, Johor, Pahang and Perak also contributed significantly to this sector especially from the Palm Oil activity.
8. As for the Construction sector, Selangor was the main contributor with a share of 36.8 per cent. However, this state experienced a lower growth of 2.3 per cent as compared to 4.6 per cent in the previous year. In addition, WP Kuala Lumpur and Johor contributed a share of 16.6 per cent and 10.8 per cent respectively to the Construction sector.
Revision to source data warranted revisions for the following compilations; data for 2008 and 2009. The revised data are appended in the respective tables.