20121016 1003 Local & Global Economy Related News.

The financial management of government agencies for 2011 recorded a  better performance compared with 2010, said  Auditor-General Tan Sri  Ambrin Buang. He said of all the government agencies that were evaluated,  111 agencies or 31.4% of them were rated 'very good' (four stars), compared with  77 agencies (21.6%) in 2010 and 48 agencies (12%) in 2009.  "This remarkable achievement shows implementation of the  accountability index has motivated the Controlling Officers to take  measures towards improving their financial management," he said. Auditor-General also said the government’s revenue collection had  grown to RM185.42bn, an increase of RM25.77bn from RM159.65bn in  2010. The increase in the world price of crude oil, strong domestic  economic growth, as well as continuous enforcement activities by the  Inland Revenue Board and the Customs Department contributed to the  increasing revenue. The government deficit dropped to 4.82% of GDP or RM42.51bn last  year from 5.64% in 2010. (Bernama, Malaysian Insider)

Malaysia has surpassed the overall  key performance index (KPI) target  under the Economic Transformation Programme  (ETP) for this year,  Minister in the Prime Minister's Department Datuk Seri Idris Jala  said yesterday. Overall, on aggregate, Malaysia achieved 69% of the target from  Jan to Aug this year, he said.  The private and public investments grew by 28% and 24% respectively  during the period.  Domestic consumption contributed about 69% to the national GDP and  it achieved 8% growth from Jan to Aug this year, he said.  Investments were also another important sector, contributing 20-22%  to the GDP, he added. (Bernama)

US retail sales  expanded 1.1% mom in Sep (a revised 1.2% in Aug), beating  consensus of 0.7%. Excluding autos and gas, the measure gained 0.9% mom  (a revised 0.3% in Aug), again overshooting consensus of 0.5%. (Bloomberg)

US business inventories  rose 0.6% mom in Aug (a revised 0.8% in Jul),  higher than consensus of 0.5%. (Bloomberg)

China's foreign exchange reserves rose slightly to US$3.29tr by the end of  Sep from US$3.24tr at the end of Jun, amid continuing trade surplus and  resumption of yuan appreciation. (Global Times)

Consumer prices in  China rose 1.9% yoy in Sep, slightly below Aug‟s 2%  pace. Meanwhile, the producer price index declined 3.6% yoy in Sep, a little  lower than Aug‟s 3.5% fall. (FT)

Japan’s factory output fell a revised 1.6% mom in Aug (-1.3% in the  preliminary estimate), whilst capacity utilisation slipped 2.6% mom in Aug,  reversing the earlier estimate‟s 0.5% growth. (AFP, RTTNews)

India’s wholesale-price index rose 7.81% yoy in Sep, a 10-month high, after  climbing 7.55% in Aug. Economists were expecting a reading of 7.7%. (Bloomberg)

Retail sales in Singapore increased a subdued 0.9% mom in Aug (0.4% in  Jul), boosted by sales of recreational goods and clothes. This was below  expectations of a 1.5% mom increase. Excluding motor vehicles, retail sales rose  0.4%. (Bloomberg, Straits Times)

A total of 2,621 new private-residential units were sold in Singapore in  Sep, 84% mom more than a revised 1,427 units in Aug, when sales were down  27%. (WSJ)

Overseas remittances to the Philippines rose 7.6% yoy to US$1.8bn in Aug  (5.4% in Jul), ahead of forecasts of a 5% increase. (Bloomberg)

Indonesia‟s Sep auto sales were 102,111 vehicles, up 28% yoy and 34% mom  from August, according to data from the Indonesia Automotive Industry  Association. (Reuters)

The  Stock Exchange of Thailand became the third member after Bursa  Malaysia and Singapore  Exchange to connect to the  ASEAN Trading Link.  (AFP)

Bank of Thailand Governor Prasarn Trairatvorakul said Thailand‟s exports  are coming down but domestic demand is still very strong to compensate. He  said the central bank will consider the magnitude of the impact of the global  slowdown on the Thai economy and credit growth when deciding to cut interest rates. (Bloomberg)