Malaysia’s Q2 GDP figures are released on Wednesday and are likely to show that the economy continued to expand at a rapid pace in y/y terms, albeit not as fast as in Q1. Exports and industrial growth will slow, but domestic demand should remain healthy. We expect the economy to expand by an above-consensus 7.5% in 2010, and then 5-6% in 2011. Despite the slowdown, that would still be above Malaysia’s trend pace.
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