Malaysia's deficit drops

Malaysia's deficit drops

KUALA LUMPUR (AFP): Malaysia recorded a trade deficit of 900 million ringgit (US$300 million) in July, sharply lower than June's 2.8 billion ringgit, the statistics department said yesterday.

Exports rose 3.7 percent from last month to 17.150 billion ringgit while imports declined 6.9 percent to 18.006 billion ringgit, the department said in its monthly report released through Bernama news agency.

Malaysia imported 800 million ringgit worth of high-cost items in July such as ships and aircraft, of which 100 million ringgit was re-exported. The department noted that July's trade deficit would only be 200 million ringgit without the high-cost items.

Analysts said the release of the long-awaited trade figure was in line with expectations and would further boost the stock market, which soared Friday following the lifting of trade curbs and a change in government policies.