Sky-high household debt puts Malaysia’s economic growth at risk
Consumer debt in Malaysia stood at 80.5% of its GDP as of 2012, higher than the government debt level of 53%.
As Malaysia’s economy experienced a boom in recent years, so has the domestic consumer debt levels, as Malaysians find themselves mired in debt. Consumer debt rate in Malaysia, as of end 2012, stood at 80.5% of its GDP ($288 billion as of 2011), higher than the country’s government debt level of 53%.
Driven by the demand for credit cards and personal loans, Malaysia’s household debt ratio remains one of the highest in the South East Asia region, with economists warning that growing consumer credit – where each ringgit of growth nearly matched an extra ringgit of consumer debt – could…
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, Consumer Finance
, Retail Banking
, Risk and Regulation
Keywords: World Bank
, Bank Negara Malaysia
, Renzo Viegas
, Consumer Debt