Malaysia's economy dips 2.7% y/y in Q3

KUALA LUMPUR, Nov 13 (Reuters) - Malaysia’s economy shrank by less than expected in the third quarter from a year earlier as easing coronavirus restrictions helped boost domestic consumption and exports, the central bank said on Friday.

The economy fell 2.7% in the July-September period, by less than a 3.2% fall forecast in a Reuters poll. Gross domestic product (GDP) dropped 17.1% year-on-year in the second quarter, marking the country’s first economic contraction since the 2009 global financial crisis.

The economy improved significantly in the third quarter as businesses and employment picked up, providing a boost for domestic spending and activity across most sectors, Bank Negara Malaysia (BNM) said.

“Going into 2021, growth will rebound supported by a pick up in global demand and normalisation in domestic economic activities,” BNM governor Nor Shamsiah Mohd Yunus said during a virtual news conference. (Reporting by Joseph Sipalan and Rozanna Latiff; Editing by Ana Nicolaci da Costa)