ECONOMIC REPORT Malaysia’s national income as measured by nominal gross national income (GNI) is expected to expand by 10.2 percent to RM1,049 billion, and therefore surpass the trillion ringgit mark for the first time in 2014, said the Finance Ministry’s Economic Report 2014/2015.

Per capita income will rise by 8.9 percent to RM34,682 in 2014. In terms of purchasing power parity, per capita income will increase 2.2 percent to US$22,958 (RM74,315).

This comes on the back of better economic growth in 2014, with the first half of this year registering 6.3 percent growth. Economic growth in 2014 has been supported by resilient domestic demand and reinforced by higher exports, it added.

Growth is expected to extend in the second half of the year, although at a slower pace due to the high-base effect of export performance from the previous year, said the report.

Recovery in the United States, the United Kingdom, select European economies,and moderate growth in emerging economies helped drive the Malaysian export orientated industries and trade related services. Overall, gross exports expanded strongly by 10.7 percent for the first seven months of the year, versus a contraction of 2.8 percent in the corresponding quarter in 2013.

The report said that on the demand side, growth is expected to be underpinned by resilient consumer spending, strong private investment activity and improving global demand.

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