A STRONG START FOR THE MALAYSIAN ECONOMY IN 2023
2022 has certainly been one of the most important years in global geopolitics for some time. The decreasing impact of the Covid-19 pandemic on the global economy – with most domestic restrictions lifted in Malaysia and worldwide by early 2022, and international travel restrictions lifted steadily over the course of the year – was matched in kind with many other problems, such as rising inflation and cost of living crises, global supply chain bottlenecks, geostrategic competition, and geopolitical issues, most importantly the Russia-Ukraine conflict. There was also the resulting impact on oil supply and prices to contend with. The last quarter has also seen high but moderating inflation worldwide, and in Malaysia a stable ‘unity government’ has been in place since November 2022, meaning that Q1 2023 is the first full quarter with the new coalition government in place. This is the first full quarter for three years with strengthened political stability at the federal government level.