Malaysia's economy saw a robust 5.9% growth in the second quarter of 2024, marking its fastest expansion in 18 months, driven by increased household consumption, exports, and investment activities. This growth surpassed earlier estimates of 5.8% and followed a 4.2% increase in the previous quarter. Key contributors included a 6% rise in private consumption and an 11.5% increase in gross fixed capital formation. Despite a favorable outlook, analysts caution that external and domestic risks, along with a possible slowdown due to inflation and commodity price fluctuations, could impact future growth. The central bank forecasts full-year growth to be at the upper end of the 4%-5% range, supported by ongoing policy measures and a recovering labor market. The Malaysian ringgit has also shown signs of recovery against the US dollar, gaining 3.3% this year.