'Malaysia GDP to expand 4.6pc in 2012'

The World Bank has forecast that Malaysia's Gross Domestic Product (GDP) will continue to expand healthily at about 4.6 per cent this year.

Senior Country Economist Frederico Gil Sander said the Malaysian economy expanded a robust 5.1 per cent last year as the government stepped up public consumption spending towards the year-end.

"We believe the main contributor would be private consumption and private investment is expected to grow faster than it did last year," he told reporters after the launch of "The Malaysia Economic Monitor:Modern Jobs" report by the Economic Planning Unit Director-General Datuk Dr Rahamat Bivi Yusoff today.

He expected investment growth to accelerate both public and private investment.

"In terms of public investment, we are actually looking at the My Rapid Transit to accelerate its implementation and also new private investment in areas such as oil and gas," he said.

He said the ultimate goal in becoming a high-income country is to support higher and more secure incomes for Malaysian households.

Meanwhile, Dr Rahamat Bivi said the EPU was currently studying the possibility of having unemployment insurance scheme to provide better social safety net for workers.

"We are still studying the scheme and we have yet to come out with any details but we are confident the study will be concluded next year," she said.

She also said the government has established a Minimum Wages Consultative Council, which would make recommendations on the implementation and minimum wage rates.

"Prime Minister Datuk Seri Najib Razak is expected to announce the government's decision on the minimum wage policy next month," she added. -- Bernama

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