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RCEP, CPTPP to boost Malaysia’s external trade beyond 2023

Malaysia’s external trade activities is expected to expand steadily beyond 2023 amid the impact of new trade agreements, apart from elevated commodity prices and lower interest rates, according to a research released on February 2 by Malaysian Industrial Development Finance Berhad (MIDF).
RCEP, CPTPP to boost Malaysia’s external trade beyond 2023 ảnh 1Malaysia’s external trade activities are expected to expand steadily beyond 2023. (Photo: businesstoday.com.my)
Kuala Lumpur (VNA) – Malaysia’s externaltrade activities are expected to expand steadily beyond 2023 amid the impact ofnew trade agreements, apart from elevated commodity prices and lower interestrates, according to a research released on February 2 by Malaysian IndustrialDevelopment Finance Berhad (MIDF).

The research house said the Regional ComprehensiveEconomic Partnership (RCEP) and Comprehensive and Progressive Agreement forTrans-Pacific Partnership (CPTPP) were also expected to lift the externaltrade performances in 2024.

As of 2022, RCEP members contributed 58.1% ofMalaysia’s total trade while CPTPP members accounted for 27.5%, it noted.

Under those two free trade agreements (FTAs), Malaysianproducts are able to penetrate into wider markets while importedgoods become cheaper. Hence, Malaysia’s exports and imports growth rates would touch 12.1% and10.9% respectively in 2024, it added.

MIDF Research said the external front is still on achallenging path, with concerns of a global economic slowdown, inflationbiting, tightening monetary policy in many countries and geopolitical risks inEurope and Asia.

It has foreseen slight moderation in exports growthforecast from 25% year-on-year in 2022 to 9.2% year-on-year in 2023./.

VNA

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