Malaysia eked out a tiny current-account surplus in the second quarter, the smallest in at least over 26 years, as excess in goods account narrowed sharply, official data showed.
Current-account surplus came in at just RM0.3 billion in the second quarter, the Department of Statistics Malaysia (DOSM) said in a Friday statement. The surplus in goods account contracted to RM17.0 billion during the quarter, while the deficit in the services account was a tad slimmer at RM3.3 billion.
The deficit in secondary income accounts — transfers and payments between residents and non-residents — ballooned to RM4.6 billion, largely due to lower receipts into the country.
The financial account, meanwhile, recorded a smaller net outflow of RM2.2 billion in the second quarter compared to RM20.3 billion in the last quarter, mostly driven by interbank activities with financial institutions abroad.
Foreign direct investment saw a much smaller net inflow of RM1.6 billion in the second quarter compared to RM15.6 billion in the first quarter, as sustained equity injections and inflows in debt instruments were partially offset by higher income repatriation to parent companies abroad.
Direct investment abroad registered a net inflow of RM0.6 billion from a net outflow of RM3.5 billion in the previous quarter, amid equity liquidations and debt instruments mainly in the manufacturing and services sectors.
Source: theedgemalaysia