11:50 | 18/08/2015 Global Economy
Malaysia's economy grew at its slowest pace in nearly two years in the second quarter amid its plummeting currency, the government said on August 13.
Illustrative image (Source: VNA)
According to the central bank, second-quarter growth was 4.9 percent, down from 6.5 percent year-on-year, given weakened exports and private consumption.
Future growth prospects for Southeast Asia's third-largest economy, which is heavily reliant on energy exports, have been gloomy due to the slump in world oil prices.
During the period, private consumption expenditures expanded 6.4 percent, compared to 8.8 percent in the first quarter.
The ringgit fell to a 17-year low this week after China devalued the yuan, sparking fears Asia's biggest economy could start a regional currency war where central banks race to devalue their units.
Central bank governor Zeti Akhtar Aziz, however, said the economy would remain resilient and there were no plans to peg the currency to the US dollar or adopt other capital controls./.