MONTHLY NEWS SCAN
Tinjauan Berita Bulanan
Compiled by IDS
Vol. 18 Issue 3
1 – 31 March 2013
IDS Online http://www.ids.org.my
HIGHLIGHTS
FOKUS
• US Federal Reserve remains
cautious on economy recovery
• MEPs want renegotiation of EU
budget deal
• January exports up 3.5%
• Economy set for 5pc-6pc
expansion
• NKRA helps to improve water
supply to rural areas
• Alleviating poverty through
agropolitan projects in Sabah
INTERNATIONAL
ANTARABANGSA
US Federal Reserve remains
cautious on economic recovery:
The US Federal Reserve has said that
the economy has strengthened
“moderately” but still needs stimulus
measures to underpin recovery. In a
statement after a two-day meeting,
the Fed said it would keep its policy
of buying $85bn a month of Treasury
bonds
and
mortgage-backed
securities. The Fed said it wanted to
see signs of a long-term fall in
unemployment. The statement said
policymakers continued “to see
downside risks to the economic
outlook”. The forecast for US
economic growth this year was
lowered slightly, with the Fed saying
it expected the economy to grow by
2.3% to 2.8% this year, against its
December projection of 2.3% to 3%.
(20 March, BBC News)
MEPs want renegotiation of EU
budget
deal:
The
European
Parliament has demanded further
negotiations on the EU's multi-year
budget, after national leaders agreed
to a cut of 3.3%. Euro MPs adopted a
resolution saying they would only
accept the deal on certain conditions.
They want governments to settle
outstanding budget bills, to avoid the
risk of a shortfall. The MEPs also
want a flexible 2014-2020 budget, so
that money not spent in one area can
be used in another if needed. The
deal was reached by EU leaders in
February at their second attempt,
after a battle between countries
which wanted their EU contributions
to fall in line with national austerity
cuts, and others which wanted to see
EU spending maintained or boosted.
(13 March, BBC News)
The number of people claiming
Jobseeker’s Allowance in February
fell by 1,500 to 1.54 million, the
lowest level since June 2011, the
Office for National Statistics said.
Despite the unemployment rise, the
overall figure held at 7.8%. (20
March, BBC News)
Japan posts longest run of trade
deficits in three decades: Japan
posted its longest run of trade
deficits in three decades as exports
fell in February, underscoring
challenges for Bank of Japan (8301)
Governor Haruhiko Kuroda in
reviving the world’s third-biggest
economy. Shipments dropped 2.9
percent from a year earlier, the
Finance Ministry said in Tokyo
today. The median estimate of 22
economists surveyed by Bloomberg
News was for a 1.7 percent decrease.
Imports rose 11.9 percent, leaving a
trade shortfall of 777.5 billion yen
($8.1
billion).
(21
March,
Bloomberg)
China needs ‘renewed reform
momentum’, says OECD survey:
China needs a “renewed reform
momentum” to sustain long term
growth, the Organisation for
Economic
Co-operation
and
Development (OECD) has said. It
said
the
financial
sector,
urbanization, state ownership and
innovation were key areas for
reforms. But it added that China had
weathered the global financial crisis
better than other OECD member
countries. It said China was on track
to become the world’s biggest
economy by 2016, after allowing for
price differences. “It is well placed
to enjoy a fourth decade of rapid
catch-up,” the OECD said in a
survey. (22 March, BBC News)
South Korea pares fourth-quarter
growth estimate as yen weakens:
South Korea’s economy expanded
less than previously estimated in the
fourth quarter, boosting the case for
stimulus by the new government and
underscoring concern that a weaker
yen will curb exports. Gross
domestic product grew 0.3 percent
from the third quarter, compared
with January’s initial estimate of 0.4
percent expansion, the Bank of
Korea said today in Seoul. GDP rose
1.5 percent from a year ago, the
smallest gain since 2009. Slower
growth in Asia’s fourth-largest
economy strengthens the rationale
for a supplementary budget that
President Park Geun Hye may
announce this week. Finance
Minister Hyun Oh Seok said March
23 that the yen, down 19 percent
against the won in the past six
months, I s “flashing a red light” for
South Korean exports and urged the
Group of 20 nations to revisit the
issue. (25 March, Bloomberg)
N.Z. grows at fastest pace in 3
years on Christchurch work: New
Zealand’s economy grew at the
fastest pace in three years last
quarter, led by retailing and the
rebuilding of earthquake-damaged
Christchurch city, sending the local
dollar higher. Gross domestic
product rose 1.5 percent in the three
months ended Dec. 31 from the
previous quarter, when it expanded
0.2 percent, Statistics New Zealand
said in a report released today in
Wellington. Growth exceeded the 0.9
percent median estimate in a
Bloomberg News survey of 10
economists and was almost twice the
central bank’s 0.8 percent forecast.
(21 March, Bloomberg)
Germany sees imports rebound in
January:
German
imports
rebounded strongly in January,
suggesting that domestic demand in
the country may be set to recover
after an autumn downturn. Imports
rose by a seasonally adjusted 3.3%
from the month before, helping to
shrink Germany’s trade surplus.
Exports also rose, by 1.4%, driven
by robust demand in the US and
China. Germany’s economy shrank
0.6% in the last three months of
2012, thanks to recession in its main
eurozone export markets and tepid
domestic confidence. However, the
Ifo survey of business confidence
has pointed to a strong rebound in
expectations for growth since the
beginning of the year, although the
January trade data is the first solid
indication that economic activity in
Germany is picking up again. (11
March, BBC News)
Russia stocks climb most in week
as oil gains on Cyprus: Russian
equities climbed the most in two
weeks as Cyprus agreed on an
international bailout, boosting crude
oil, the country’s main export earner.
The Micex Index (INDEXCF)
gained as much as 1.2 percent, the
most since March 11, and traded 0.7
percent up at 1,450.82 by 2:37 p.m.
in Moscow. OAO Sberbank, the
nation’s largest lender, added 1.3
percent, while VTB Group increased
0.8 percent, snapping two days of
declines. The dollar-denominated
RTS Index (RTSI$) jumped 1.1
percent to 1,487.24. Cyprus agreed
to the outlines of an aid package,
paving the way for 10 billion euros
($13 billion) of emergency loans to
stave off the threat of default. Crude
traded up 0.5 percent at $94.16 per
barrel in New York. Oil and gas
contribute about 50 percent of
Russia’s state revenue. (25 March,
Bloomberg)
UK unemployment rises to 2.52m:
Unemployment rose by 7,000 to 2.52
million between November and
January, according to official figures.
The rise will put extra pressure on
Chancellor George Osborne in
advance of his lunchtime Budget.
1 – 31 March 2013
MONTHLY NEWS SCAN (Tinjauan Berita Bulanan)
1
NATIONAL
NASIONAL
January exports up 3.5%: Higher
shipments of electrical and electronic
(E&E) as well as refined petroleum
products boosted Malaysia’s exports
in January, according to the Statistics
Department. According to data
released by the department, exports
rose 3.5% year-on-year in January to
RM56.99bil while imports surged
16% to RM53.72bil on an increase in
capital and intermediate goods
imports. Trade data came in above
market consensus, with economists
expecting a 1.6% median growth for
exports and 2.6% median rise for
imports. The manufacturing sector’s
sales value rose 7.4% while
December's sales value was revised
upwards to 7.5% from 6%. (12
March, The Star)
Economy
set
for
5pc-6pc
expansion: The Malaysian economy
is expected to expand by five per
cent to six per cent in 2013, anchored
by domestic demand activities and
supported by a gradual improvement
in the external sector. The economy
performed better than expected in
2012, recording a strong growth of
5.6 per cent. The report said private
investment is expected to remain
robust this year, driven by capacity
expansion by domestic-oriented
firms
and
the
continued
implementation of projects with long
gestation periods. Investments by
external-oriented businesses are also
expected to be higher amid the
gradual improvement in external
demand, while private consumption
is projected to grow at a more
moderate rate in the second-half of
the year, supported by sustained
income growth and positive labour
market conditions.
(21 March,
Business Times)
launched by Works Ministry
secretary-general Datuk Himmat
Singh, yesterday. (26 March,
Business Times)
Malaysia’s January industrial
output
up
4.6%
on-year:
Malaysia’s industrial production
index (IPI) rose 4.6% in January
2013, boosted by manufacturing and
electricity, but lower than consensus
expectations
of
5.6%.
The
Department of Statistics said on
Monday the increase in the IPI was
due
to
the
increases
of
manufacturing (up 4.9%), mining (up
2.4%) and electricity (up 9.8%).
“The IPI in December 2012 has been
revised positive 3.5% year-on-year,”
it said. When compared with the
December 2012, the IPI fell 0.8%.
(11 March, The Star)
‘Efforts to bolster sukuk market
will continue’: Malaysia has done
well in developing its Islamic capital
market and will seek to bolster the
sector further. In its annual report
2012, the Securities Commission
(SC) said efforts to further innovate
and broaden the sukuk market will
continue via the introduction of a
frame-work for the issuance of
AgroSukuk for companies in the
agriculture sector. To improve the
availability of fund-raising avenues
for agriculture activities and agrobased in-dustries, the government
has also proposed in the 2013 Budget
that expenses for the issuance of
AgroSukuk will be entitled to a
double deduction for a period of
three
years,
effective
from
assessment year 2013 to 2015. (15
March, Business Times)
‘Liberalisation measures to boost
competitiveness’: Bank Negara
Malaysia
yesterday
announced
several liberalisation measures to
enhance economic competitiveness
and develop the domestic financial
market. The measures will include
allowing residents to invest in
onshore
foreign
currencydenominated assets and anticipatory
hedging for both residents and nonresidents involving ringgit with
onshore banks. Non-residents will
also be permitted to hedge ringgit
exposure arising from ringgit
investments acquired prior to April 1
2005 with onshore banks. This is in
addition to the current flexibility to
hedge ringgit investments acquired
from April 1 2005, said Bank Negara
governor Tan Sri Dr Zeti Akhtar
Aziz. (21 March, Business Times)
(UAE) maju setapak lagi melalui
pemeteraian dua perjanjian bernilai
RM39 bilion termasuk persetujuan
membina
sebuah
kemudahan
penyimpanan minyak di Tanjung
Piai, Johor. Perdana Menteri, Datuk
Seri Najib Tun Razak berkata,
kemudahan penyimpanan minyak
mentah dan petroleum berkapasiti 60
juta tong dan bernilai RM21 bilion
tersebut dijangka merancakkan lagi
pembangunan
ekonomi.
Selain
projek itu, Najib berkata, Abu Dhabi
turut melabur dalam Tun Razak
Exchange (TRX) dengan membentuk
kerjasama strategik antara Aabar
Investment
dengan
1Malaysia
Development Berhad (1MDB) yang
bernilai RM18 bilion. (13 Mac,
Utusan Malaysia)
MAFTA boost to trade with
Australia: Malaysia expects doubledigit growth in bilateral trade with
Australia this year from RM43.72
billion last year following the
extensive implementation of the
Malaysia-Australia
Free
Trade
Agreement (MAFTA). Malaysia
External
Trade
Development
Corporation (MATRADE) chief
executive officer Datuk Dr Wong
Lai Sum said Mafta, which came
into force in January, will further
boost bilateral trade between both
countries, which have been posting
double-digit growth since 2010.
“Malaysia and Australia have proven
their resilience despite the lingering
gloomy global economic climate.
MAFTA will thus further boost our
bilateral trade ties. (28 March,
Business Times)
Palm oil reserves in M’sia drop on
falling output: Palm oil stockpiles
in Malaysia, the world’s secondlargest producer, contracted for a
second month in February as
production declined more than
expected to a two-year low,
according
to
official
data.
Inventories shrank 5.2% to 2.44
million tonnes, the Malaysian Palm
Oil Board said yesterday, matching
the median estimate in a Bloomberg
survey published March 5 and 18%
higher than a year ago. Output fell
19% to 1.3 million tonnes, the lowest
level since February 2011 and more
than the 13% drop estimated in the
survey. Exports retreated 14% to 1.4
million tonnes, according to data
from the board. Prices in Kuala
Lumpur have dropped 26% over the
past year as stockpiles remain near
record levels on rising global oilseed
supplies and slowing demand. (12
March, The Star)
ETP projects to drive construction
growth by 11.2pc: The construction
industry is expected to grow by 11.2
per cent this year, driven by various
projects under the Economic
Transformation Programme (ETP)
initiated by the government last year.
Master
Builders’
Association
Malaysia
(MBAM)
president
Matthew Tee said the MY Rapid
Transit (MRT) project and other
Entry Point Projects (EPPs) will help
to boost growth. “We have all these
projects initiated by the government
and we reckon that if they are
implemented this year, we can
achieve the number,” he said at the
5th Malaysian Construction Summit Malaysia-UAE meterai perjanjian
themed “Challenges Facing the RM39 bilion: Hubungan Malaysia
Construction Industry”, which was dengan Emiriyah Arab Bersatu
1 – 31 March 2013
MONTHLY NEWS SCAN (Tinjauan Berita Bulanan)
2
LOCAL
TEMPATAN
NKRA helps to improve water
supply to rural areas: Deputy Chief
Minister Tan Sri Joseph Pairin
Kitingan said the National Key
Result Areas (NKRA) has helped
improve the supply of water in the
rural areas in Sabah from 56 per cent
in 2010 to 69 per cent by the end of
2012. He said the NKRA which was
introduced by Prime Minister Datuk
Seri Najib Tun Razak has benefited
the people in the state. “Since his
appointment
as
Minister
of
Infrastructure in 2009, I have
witnessed the rapid development of
water supply development in the
state, especially in the rural areas
which has increased rapidly and
beyond expectations. (3 March, New
Sabah Times)
Alleviating
poverty
through
agropolitan projects in Sabah:
Sabah
through
its
Sabah
Development
Corridor
(SDC)
development blueprint has identified
oil palm planting as a suitable
vehicle for the alleviation of poverty
in the state. The agropolitan model
of agriculture-based projects to be
developed
at
Beluran
and
Kemabong, which have a high
incidence of poverty, is aimed at
eradicating hardcore poverty in the
rural areas of Sabah. “The site for the
agropolitan projects (Beluran and
Kemabong) will be owned by the
poor by way of communal titles,” a
Sabah Economic Development and
Investment
Authority
(Sedia)
spokesperson told Bernama. (22
March, New Sabah Times)
Penduduk Pulau Sebatik terima
Karisma: Sebanyak 115 penduduk
luar bandar di Pulau Sebatik di sini,
menerima bantuan baucar Program
Kebajikan Rakyat 1Malaysia @ Hati
Rakyat (Karisma) bernilai RM34,500
yang disampaikan Ahli Parlimen
Kalabakan, Datuk Seri Abdul
Ghapur Salleh. Abdul Ghapur
berkata, pemberian baucar itu
menjadi satu lagi bukti keprihatinan
kerajaan terhadap rakyat yang
berpendapatan rendah, miskin serta
tidak bernasib baik di negara ini.
Beliau menyeru seluruh rakyat
mensyukuri segala nikmat yang
diperoleh sekaligus menghargai
keprihatinan
kerajaan
Barisan
Nasional (BN) terhadap rakyat di
negara ini. (29 Mac, Utusan
Malaysia)
‘Cocoa exports hit rm3.7 bln last
year’: The country’s exports of
cocoa and cocoa products last year
totalled about RM3.7 billion, says
1 – 31 March 2013
Plantation
Industries
and
Commodities Minister Tan Sri
Bernard Dompok. The main export
markets were the United States,
Japan and Europe, he said, adding
Malaysia is Asia Pacific’s largest
cocoa grinding nation and the
world’s fifth largest after the
Netherlands, Cote d’Ivoire, Germany
and the United States. Last year,
Malaysia’s cocoa industry ground
299,525 tonnes of cocoa seeds to
produce cocoa butter, cocoa paste,
cocoa powder and other cocoa
products, he said in his speech at the
launch of a cocoa cluster farming
course and annual general meeting of
the
Ranau
Cocoa
Growers
Association here in Ranau yesterday.
(1 March, The Borneo Post)
RM1.3 bln allocation for Sook
since 2008 – assemblyman: Sook
assemblyman Datuk Alfred Ellron
Angin said his constituency had
received more than RM1.3 billion in
development allocation from the
ruling Barisan Nasional (BN) since
2008. “Through the provision,
several mega projects have been
implemented, including the rural
electricity supply, upgrading of rural
roads, rural water supply and the
latest – the Keningau Livestock
Centre,” he said. “In addition, many
other special assistance schemes
have been received and enjoyed by
the people here that allowed them to
enjoy a better and comfortable life,”
he said when opening the meet-thepeople session at Kampung Rela,
Nandagan Sook, on Saturday. (11
March, The Borneo Post)
RM66 million to build three
schools in Sabah – Mohd Puad:
The Education Ministry has allocated
about RM66 million to build two
secondary schools and a primary
school in Sabah under the Tenth
Malaysia Plan (10th MP). Its deputy
minister, Dato’ Dr Haji Mohd Puad
Zarkashi, said the allocation would
be distributed to build SMK
Kabongan 1 in Semporna, SMK
Langkon in Kota Marudu and SK
Nanamon. He said SMK Kabongan
and SMK Langkon, previously
sharing with a primary school
building, would soon have their own
buildings while the old school
building of SK Nanamon would be
replaced with a new one. “Besides
the construction of SMK Desa
Wawasan in Tambunan costing
RM40 million which was announced
by Deputy Prime Minister and
Education
Minister
Tan
Sri
Muhyiddin Yassin recently would be
built as soon as the land problem can
be solved,” he told reporters after
visiting SK Ulu Senagang and SK
Gaulan here in Keningau yesterday.
(19 March, The Borneo Post)
MAPENS bantu majukan ekonomi
nelayan
secara
menyeluruh:
Persatuan Nelayan Negeri Sabah
(Pengasah)
bakal
mewujudkan
Majlis
Pembangunan
Ekonomi
Nelayan Sabah (MAPENS) bagi
membantu memajukan kehidupan
sosioekonomi golongan nelayan
secara menyeluruh di Sabah.
Pengerusi Pengasah, Jaini Ating
berkata, Mapens akan menumpukan
usaha program pemodenan nelayan,
kemahiran, usahasama dan pelaburan
serta tabung kewangan nelayan.
“Mapens dijangka mengundang
penyertaan pakar berkaitan teknologi
marin seperti Universiti Malaysia
Sabah (UMS), agensi perikanan
Lembaga Kemajuan Ikan Malaysia
(LKIM) dan beberapa lagi termasuk
mewakili Pengasah dan Persatuan
Nelayan Kawasan (PNK) Sabah,”
katanya semasa penyerahan bantuan
sara hidup nelayan dalam kawasan
PNK Beluran di Dewan Serbaguna
di Beluran semalam. (5 Mac, Utusan
Malaysia)
Naik taraf jalan bermula April:
Projek menaik taraf Jalan PutatanLok Kawi yang melibatkan kerja
pembesaran dan penambahan satu
lagi laluan akan dimulakan pada
awal bulan depan. Timbalan Ketua
Menteri, Datuk Seri Yahya Hussin
berkata, projek bernilai RM136.2
juta itu dijangka siap sepenuhnya
pada Oktober 2015. “Penambahan
satu lagi lorong sedia ada itu amat
penting bagi mengatasi masalah
kesesakan jalan raya serius yang
berlaku sekarang,” katanya dalam
majlis Pemimpin Bersama Rakyat
Daerah Mengundi Petagas di Dewan
Raya Petagas di Kota Kinabalu,
semalam. Menurut Yahya, kesesakan
yang berlaku di jalan berkenaan
terutama pada waktu puncak
disebabkan pengguna jalan raya yang
menuju ke bandar raya Kota
Kinabalu pada masa ini tidak
mempunyai jalan alternatif lain. (26
Mac, Utusan Malaysia)
Batu Sapi residents get 20
megawatts power boost: Residents
in Batu Sapi here will enjoy better
power supply with the addition of a
gas turbine generator that has a
capacity of 20 megawatts. The
generator was launched by Sabah
Electricity Sdn Bhd (SESB) with the
co-operation
of
Simebest
Corporation. Industrial Development
Minister, Datuk Raymond Tan Shu
Kiah said since it began operating
two weeks ago, the new generator
has boosted the previous 70
megawatts of electricity to 90
megawatts. He was speaking to
reporters yesterday while on a visit
to the Gas Turbine Power Station.
(28 March, New Sabah Times)
MONTHLY NEWS SCAN (Tinjauan Berita Bulanan)
3
SELECTED FACTS AND FIGURES
FAKTA MUTAKHIR
PRODUCT PRICE INDEX, MALAYSIA (2005=100)
Index
Percentage change
PPI
Feb 2012
Jan 2012
Feb 2013
126.1
Jan 2012Feb 2013
1.2
Feb 2012Feb 2013
-2.7
Domestic Economy
129.6
124.6
Local Production
137.6
130.6
132.8
1.7
-3.5
Import
113.7
112.9
112.8
-0.1
-0.8
(Source: 30 March, Department of Statistics Malaysia)
GROWTH BY SECTORS, MALAYSIA
Sectors
% share of GDP (2012)
54.6
24.9
8.4
7.3
3.4
100
Services
Manufacturing
Mining
Agriculture
Construction
Real GDP
Annual change (%)
2012p
2013f
6.4
5.5
4.8
4.9
1.4
5.0
0.8
4.0
18.5
15.9
5.6
5.0-6.0
p = preliminary f = forecast
(Source: 21 March, Business Times)
KEY ECONOMIC DATA, MALAYSIA
(% ANNUAL CHANGE)
2012 preliminary
2013 estimated
GDP
5.6
5-6
Headline inflation
1.6
2-3
Aggregate domestic demand
10.6
8.1
Private consumption
7.7
7.1
Private investment
22
15.6
Public consumption
5.0
3.6
Public investment
17.1
7.5
Exports
0.1
1.8
Imports
4.5
3.9
(Source: 21 March, The Star)
1 – 31 March 2013
MONTHLY NEWS SCAN (Tinjauan Berita Bulanan)
4
INDUSTRIAL PRODUCTION INDEX, MALAYSIA
JANUARY 2013
Sektor
IPI
Seasonally adjusted index
Index
% changes
Month-on-Month
113.6
-0.8
Original index
% changes
Year-on-Year
113.9
4.6
Mining index
89.6
-1.0
95.6
2.4
Manufacturing index
122.9
-1.5
120.8
4.9
Electricity index
137.7
9.3
135.3
9.8
Index
(Source: 11 March, Department of Statistics Malaysia)
PETRONAS total production
('000 BOE per day)
2007
2008
2009
2010
2011
2012
2,038
2,032
2,000
1,987
1,976
1,928
(Source: 8 March, Business Times)
1 – 31 March 2013
MONTHLY NEWS SCAN (Tinjauan Berita Bulanan)
5