Second Finance Minister Tan Sri Nor Mohamed Yakcop said yesterday the government is maintaining its forecast of two to 2.5 per cent inflation rate for the next six months to a year.
This is despite the four per cent forecast by Standard Chartered Bank plc announced yesterday. "Everyone has its own view ... (we) don't see inflation rate going up to four per cent," he told reporters in Putrajaya yesterday. "Over the years, the government has been able to contain inflation and we have proven that our inflation rate has been very benign to support development and we will continue to monitor the situation to ensure it will not burden us," he said.

Economy performing below potential: Zeti

(source: The Sun, 16 January 2008)

Hong Kong: Malaysia’s economy is performing below its potential and is not a source of inflationary pressure, Bank Negara Malaysia governor Zeti Akhtar Aziz said yesterday. She said interest rates are at the right levels.
“The economy is performing below potential and, therefore, we do not see demand-driven infl ation,” Zeti told Reuters on the sidelines of an Islamic finance conference here. Several economists believe the Malaysian central bank may have to raise its overnight policy rate, pegged at 3.50% since April 2006, because of likely pick-up in inflation, currently at around 2%. “At this point of time, interest rates are at appropriate levels and still supportive of the economy. There is room for interest rates to remain at these levels,” Zeti said.

Alliance to take on ‘big four’

(source: The News Straits Times, 11 January 2008)

Eight mid-sized accounting firms, led by BDO Binder, SJ Grant Thornton and Monteiro & Heng, will form 'Group A' to improve the quality and standard of audit in Malaysia. A GROUP of eight mid-sized accounting firms are working to form a loose alliance to provide clients a clear alternative to the "Big Four" that dominate the industry, Business Times learnt. Led by BDO Binder, SJ Grant Thornton and Monteiro & Heng, the eight will form the so-called "Group A" of second-tier firms, mirroring a similar development that has already happened in the UK and Singapore. "It is also called 'Group A' in the UK. The 'A' signifies quality,
as we aim to improve the quality and standard of audit in Malaysia," a source familiar with the
development said.

Note: Anuarul Azizan Chew is listed amongst the 8 firms of “Group A”