Chief Statistician Uzir Mahidin said the growth was underpinned significantly by good performances in the number of housing units approved, real imports of other basic precious and other non-ferrous metals, and the number of new companies registered.

“The trend is in line with the monthly change of the Leading Index which posted a growth of 2.9% in February 2023 against -1.5% in the previous month,” he said in a statement.

The Leading Index is a tool to anticipate economic upturns and downturns in an average of four to six months ahead.

Uzir said looking at the smooth long-term trend in February, the Leading Index recorded better index points than that of the previous month which was 99.41 points (January: 98.61 points).

“Although it remained below the trend of 100 points, the economic outlook is expected to improve in the near term supported by domestic demand and resilient policy measures under Budget 2023,” he said.

Meanwhile, Uzir said the Coincident Index, which reflects the current economic condition, showed better year-on-year growth by registering 121.6 points in February against 116.3 points in February 2022.