Gross Domestic Product First Quarter 2013 (Updated : 15/05/2013)


ECONOMIC GROWTH

The Malaysia's economy remained on a steady path in this quarter by registering a growth of 4.1 per cent. On the supply side, all sectors posted positive growth except for Mining and Quarrying. The main catalysts for the economy were the Services and Construction sectors with a growth of 5.9 per cent and 14.7 per cent. In this quarter, Manufacturing recorded a marginal growth of 0.3 per cent.

Meanwhile, the Private Final Consumption Expenditure (7.5 per cent) and Gross Fixed Capital Formation (13.2 per cent) continued to be the main drivers on the demand side.


SERVICES

The Services sector expanded to 5.9 per cent supported by the sound performance of Wholesale & Retail Trade and Finance & Insurance sub-sectors. The growth of Wholesale & Retail Trade at 5.9 per cent underpinned by the Retail activities which stepped up 6.9 per cent. In addition, Finance & Insurance activities increased to 6.2 per cent boosted by a double-digit growth in Insurance activity (16.8 per cent), particularly in life insurance.

Meanwhile, Communication improved to 9.0 per cent largely backed by data communication services which was mostly fuelled by the growing broadband penetration rate.


CONSTRUCTION

For five consecutive quarters, the Construction sector continued to register impressive growth. The sector recorded a marked expansion of 14.7 per cent in this quarter. Civil Engineering remained as the main impetus with a growth of 36.2 per cent reinforced by infrastructure projects.

Moreover, Residential rose to 9.8 per cent stimulated by housing development projects mainly in Klang Valley and Pulau Pinang.
  

AGRICULTURE

The Agriculture sector recorded a growth of 6.0 per cent supported by Oil Palm, Other Agriculture and Fishing. Higher production of oil palm has attributed to the robust growth of value added in Oil Palm at 14.6 per cent in this quarter. The strong growth of vegetables and fruits has bolstered the momentum in Other Agriculture, which accounts for 19.4 per cent to total Agriculture. 


MANUFACTURING

Manufacturing sector grew at a slower pace of 0.3 per cent due to the decline in the sub-sector of Petroleum, Chemical, Rubber & Plastic products and the lacklustre momentum in other sub-sectors.

The Petroleum, Chemical, Rubber & Plastic products sub-sector plummeted to its worst performance at negative 2.3 per cent since second quarter of 2009. The subdued growth was due to the deceleration in production of refined petroleum. Nevertheless, favourable growth in Transport Equipment & Other Manufactures and Non-metallic Mineral products, Basic Metal & Fabricated Metal products supported to the positive growth of this sector.


MINING AND QUARRYING

The Mining and Quarrying sector declined to 1.9 per cent due to lower production of crude oil (-2.8 per cent) and condensate (-6.5 per cent). Moreover, the marginal positive growth of natural gas could not mitigate the downward performance in this sector.


FINAL CONSUMPTION EXPENDITURE

Final Consumption Expenditure posted a growth of 6.1 per cent from 4.9 per cent in the previous quarter.

Private Final Consumption Expenditure picked up to 7.5 per cent as compared to 6.2 per cent in the fourth quarter of 2012. The expansion was driven by better growth in most type of expenditures mainly in the transport & communication, housing & utilities and food & beverages.

Government Final Consumption Expenditure grew at a slower pace of 0.1 per cent against 1.2 per cent in the previous quarter. The milder growth was due to the decline in expenditure of supply and services.


GROSS FIXED CAPITAL FORMATION

The Gross Fixed Capital Formation (GFCF) remained sound at 13.2 per cent boosted by the expenditure on Structure and Machinery & Equipment. Private sector with a share of 62.4 per cent drove the GFCF to register a growth of 10.9 per cent. Meanwhile, the Public sector grew at 17.3 per cent.


EXPORTS AND IMPORTS

Exports declined to 0.6 per cent reflected by the sluggish performance in the exports of goods. Exports of goods contributed 84.8 per cent towards total Exports.

On the other hand, the Imports augmented to 3.6 per cent, impelled by higher imports of goods particularly in Machinery & Transport Equipment, Mineral Fuel & Lubricants and Manufactured Goods.

REVISION

The annual GDP estimates for year 2010 have been revised to include data from the Economic Census 2011 (reference year 2010) and other data sources.

For the year 2011, the following data have been incorporated: data from the Census of Petroleum and Natural Gas; annual accounts information for Utilities and Finance & Insurance sub-sectors; and annual information on livestock, fisheries, forestry and other agriculture; Balance of Payments Statistics for Exports & Imports; Private Final Consumption Expenditure; and GFCF.

The annual estimates for year 2012 remain as the sum of four quarters with the exception of government services & consumption, Exports & Imports and Private Final Consumption Expenditure.