Morning Brief

Two key indicators that economists monitor to assess the strength of China’s economy are industrial production and domestic demand. With China approaching the August 12th deadline to renew its tariff truce with the US, how might this impact the outlook for the country’s manufacturing production and domestic consumption? For insights, we’ll be speaking with Ada Li, Senior Industry Analyst at Bloomberg Intelligence.

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As Parliament convenes for its second meeting of 2025, the Public Accounts Committee (PAC) has released multiple reports. Teresa Kok, Vice Chairman, Public Accounts Committee (PAC) & Member of Parliament for Seputeh reminds us about the critical role they play and how it is the best example of bipartisan politics at work.

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Last week, Prime Minister Datuk Seri Anwar Ibrahim during the tabling of the 13MP announced that the country is targeting MSMEs to contribute 50 per cent of the nation’s gross domestic product (GDP) by 2030, a significant increase from about 39 per cent in 2023. Datuk William Ng, Chairman, Small and Medium Enterprises Association (SAMENTA) tells if the 13MP initiatives can help MSMEs achieve this goal.

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Edmund Bon Tai Soon, Chair and Representative of Malaysia to the ASEAN Intergovernmental Commission on Human Rights (AICHR), shares an update on a proposed legally binding human rights resolution targeted for adoption within five years. He also discusses two key declarations on the environment and on peace that are expected to be adopted at the 47th ASEAN Summit.

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The U.S. has raised tariffs on a number of ASEAN countries, with rates ranging from 19% to as high as 40%. Could this hurt the region’s growth and push Southeast Asia to rethink its trade ties? We speak to Dr. Jayant Menon, Visiting Senior Fellow at ISEAS–Yusof Ishak Institute.

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Malaysia has officially made secondary education mandatory following passing of the Education (Amendment) Bill in Parliament. Meanwhile, plans to build vertical schools in the Klang Valley are progressing, with the Education Ministry announcing that development guidelines have been finalised. Joining us now is Chan Soon Seng, CEO of Teach For Malaysia, to help us unpack what these developments mean.

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Under this plan, the economy is projected to grow by 4.5-5.5% a year, with aspirations for Malaysia to be a high income nation by 2030 and one of the top 30 economies in the world. This plan is also supposed to have a sharper focus on domestic demand, good governance, digital transformation, and sustainable growth, Professor Tricia Yeoh, Associate Professor of Practice, University of Nottingham Malaysia's School of Politics & International Relations tells us if these goals are achievable.

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The tariff deadline for US tariffs has just passed and with many countries not having a trade deal, what impact does that have on Asia's economy? Tommy Xie, Head of Asia Macro Research, OCBC Bank gives us his perspective and what is the reason for the US dollar to appreciate of late.

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International support for Palestinian statehood has been gaining momentum with Canada and Britain lending their voices. Additionally, a group of 15 countries including Australia and New Zealand have signed a New York Call joint diplomatic appeal to revive momentum for a two-state solution. Amin Saikal, Emeritus Professor of Middle Eastern & Central Asian Studies at the Australian National University shares his views on these developments.

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Malaysia’s government debt could top the statutory ceiling of 65% debt-to-GDP ratio this year amid a moderating economy and sustained spending. Dr Cassey Lee, Senior Fellow and Coordinator, Regional Economic Studies Programme, ISEAS - Yusof Ishak Institute gives us his thoughts if this is cause for concern.

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