His comments came after credit rating agency Fitch Ratings affirmed Malaysia’s sovereign credit ratings at “BBB+” with a stable outlook for 2023.

“This affirmation reflects confidence in this government’s administration and the strength of Malaysia’s economic recovery as well as the country’s resilience amidst an uncertain and highly challenging global landscape,” he said in a statement.

He said Budget 2023, which would be tabled on Feb 24, would drive reforms in the country’s economic recovery, boost investment and improve public infrastructure.

Fitch expects Malaysia’s gross domestic product (GDP) growth to moderate to 4.0% in 2023 before rising to 4.8% in 2024, while deficit reductions will be gradual and fiscal deficit will decline to an average of 4.5% of the GDP in 2023-2025.

Anwar said moving forward, the government was determined to ensure that the country’s fiscal position would continue to strengthen through gradual consolidation of the fiscal deficit while balancing the need to support economic growth during these challenging times.

Yesterday, economy minister Rafizi Ramli said the unity government was aware of the need to prepare for a more challenging global economic environment in 2023, pointing out that the global economy is expected to slow down to 2.9% in 2023.