Malaysia will weather rising crude oil prices
Tuesday, 7 August 2007
KUALA LUMPUR, Aug 6 (AFP): Strong economic fundamentals would insulate Malaysia from the negative effects of rising oil prices in the world market, the central bank governor said today.
While inflation would likely expand slightly, the overall effect would be minimal, Bank Negara governor Zeti Akhtar Aziz was quoted by the official Bernama news agency as saying.
"Our economy has been able to absorb the increase in oil price and we expect that with stronger fundamentals now, we are well positioned to absorb these higher oil prices," she said on the sidelines of an anti-poverty summit.
Malaysia has been able to maintain a low level of inflation despite oil prices rising to new heights, she stressed.
World oil prices hit a record high last week when New York crude prices reached 78.77 dollars per barrel on news of sliding American crude reserves.
While inflation would likely expand slightly, the overall effect would be minimal, Bank Negara governor Zeti Akhtar Aziz was quoted by the official Bernama news agency as saying.
"Our economy has been able to absorb the increase in oil price and we expect that with stronger fundamentals now, we are well positioned to absorb these higher oil prices," she said on the sidelines of an anti-poverty summit.
Malaysia has been able to maintain a low level of inflation despite oil prices rising to new heights, she stressed.
World oil prices hit a record high last week when New York crude prices reached 78.77 dollars per barrel on news of sliding American crude reserves.