Monetary policy shocks negatively impact key sectors in Malaysia's economy.
The article examines how changes in interest rates affect different sectors in Malaysia. They looked at sectors like finance, manufacturing, and mining to see how they respond to these changes. The study found that when interest rates go up, it has a negative impact on all sectors studied. Manufacturing and finance sectors are the most affected because they rely heavily on bank loans. The researchers also found that there is a clear link between monetary policy changes and sectoral output in Malaysia.