Without economic growth, let’s not talk about property. Perhaps stop talking about any investment because there’s nothing to talk about. in fact central banks including Bank Negara Malaysia may not need to do too many measures about the interest rate too. Just let it be perhaps? Haha.
China’s a very important trading partner to Malaysia and ASEAN too. In fact, ability to speak Mandarin is likely to be a great booster today because China is already the world’s second largest economy and in terms of actual comparison, China’s economy is bigger than the economy of Germany plus the UK plus India plus Japan and… more. That’s the size of China’s economy yeah. Do take a look at the chart below.
Anyway, despite the COVID-19’s effects, the world continues to grow yeah. It will be reaching US$104 trillion by the end of 2022. Where is Malaysia? Our GDP is at US$439 billion. We are projected to grow the economy by 5.7 percent for 2022 by OCBC and this is definitely a good number because the world’s growth is slowing down as per International Monetary Fund (IMF) Article here: Malaysia’s GDP growth in 2022
I am personally quite optimistic that 2022 will be a good year if we compare to 2021, 2020. If Bank Negara Malaysia continues to increase the interest rate, it definitely is showing a good sign that the economy is getting strong enough for a higher interest yeah. Else, they definitely will do best to keep the rates low in order to be accommodative to growth. Oh yeah, happy buying your new car! (even if there’s no more exemption in sales tax yeah)
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