Malaysia’s Leading Index Rises in May 2020 Indicating the Start of Recovery: Department of Statistics

July 24, 2020

Data from Malaysia’s Department of Statistics showed that the Leading Index (LI) increased 4.9% month-on-month (MoM) in May 2020, from 0.2% in April 2020, with the number of new companies registered (up 1.8% MoM) serving as the largest contributor to the LI.

The LI provides an early signal as to the future direction of the economy. Year-over-year, the LI grew 0.6% in May 2020, an improvement from the 5.7% YoY decline in April 2020.

According to Malaysia’s Chief Statistician, Mohd Uzir Mahidin, this improvement was anticipated given the reopening of the economy under the conditional movement control order from the first week of May 2020.