Commodities Buzz: BMI revises up Malaysia fiscal deficit to 4 pct

BMI Research is revising its 2018 fiscal deficit forecast for Malaysia to 4 percent of gross domestic product (GDP), from 2.8 percent previously, to reflect the impacts of the abolishment of Goods and Services Tax (GST) on Malaysian economy.The Fitch group unit said in a report issued Friday it had also adjusted its average deficit forecast for Malaysia for the period between 2018 and 2027, from 2.8 percent to 3.1 percent. Malaysian new Prime Minister Mohamad has announced the countrys fiscal reform already underway. To fulfill his pre-election promises, he had on Wednesday indicated he would lower the countrys GST to zero next month, and might replace it by a Sales and Services Tax (SST).