KUALA LUMPUR, Oct. 2 (Xinhua) -- BMI, a FitchSolutions company said Monday that it sees Malaysia on track for fiscal consolidation.

The research house said in a note that it maintained its 2023 forecast for Malaysia's federal government budget deficit at 4.9 percent of gross domestic product (GDP), narrower than 5.6 percent in 2022.

Its forecast is slightly above the Malaysian government's projection of a 5-percent deficit.

BMI said that up till the first half, the Malaysian government's revenue and expenditure have trended closely to the projections stipulated at the start of the year.

Looking ahead, it expects the Malaysian government's budget deficit to narrow to 4.3 percent of GDP in 2024.

BMI also expects total Malaysian government debt to reach 60.8 percent of GDP in 2023.

While this will mark a marginal increase from 59.6 percent of GDP in 2022, it said the figure sits below the revised statutory debt limit of 65 percent.