Malaysia's economic growth expected to improve in H2

Malaysia's economic growth is expected to improve in the second half over the first half, spurred by the on-going Economic Transformation Programme (ETP) projects which will jack up other economic activities.

Minister in the Prime Minister's Department Datuk Seri Abdul Wahid Omar said the government is still sticking to a range of five to six per cent for gross domestic product (GDP) growth this year.

"For us to be able to achieve it, we need more than five per cent growth for the next two quarters," he told the media on the sidelines of the Economic Planning Unit's Innovation Day here Tuesday.

"If we can ensure all the ETP projects are implemented smoothly, we can sustain it (GDP growth)," he said, adding under certain favourable circumstances, the country can record better GDP growth in the second half over the first half.

On household debt, which surpassed 80 per cent of GDP in 2012, Wahid said people should start to live within their means.

"We should look at our income level, and make sure we don't overspend.

"It's all right to borrow from the bank and other financial institutions to buy basic necessities like a house or car, but people should avoid spending excessively for consumption purposes," he added.