Wahid: M’sia growth prospects still bright, will be driven by Govt identified projects

By LIZ LEE
KUALA LUMPUR: Malaysia's growth prospects remain
bright, especially in the second-half of the year, driven by projects
identified by the Government.
Malayan Banking Bhd president and chief executive officer Datuk Seri Abdul Wahid Omar said the announced projects should be implemented, as uncertainties have dissipated following the general election (GE).
“The
gross domestic product (GDP) growth for the first quarter was a bit
slow, but that's reflective of the economic activities which are
typically slower (in this period),” Wahid said.
“But with the GE
over, we expect an acceleration of the various projects being
implemented. Therefore, we are confident that in the second half, in
particular, GDP will increase with more significant traction,” he said.
Last week, Bank Negara
announced a 4.1% GDP expansion in the first quarter of this year,
against the backdrop of a weaker global environment. It was weaker
compared with 5.1% in the same quarter last year and 6.5% in the
preceding quarter.
“We can expect more pick-up in economic
activity towards the second half of the year,” he told reporters after
delivering a keynote address at the Companies Commission Malaysia (CCM)
National Conference 2013.
“The Government expects 5% to 6% GDP growth this year, while Maybank Investment Bank foresees 5.3%. So, I believe we will achieve something around there,” he said.
On
a separate note, Wahid was bullish on the growth of Maybank Islamic,
foreseeing a growth inthe Islamic bank's contribution in the years to
come.
“By 2015, Maybank Islamic would likely contribute about
one-third of the group's earnings,” he said, noting that the Islamic
finance arm now made up 30% of the total profit.
Meanwhile, the
CCM conference emphasised the importance of corporate governance as a
universally accepted “language” of business.
In his keynote address, Wahid said “good corporate governance simply is good management”.
“While
following rules, regulations and codes is part of good corporate
governance, a strong belief is that good ethical governance counts for
a large part of a corporation's success,” he said.