Bond Market Updates

Summary Malaysia’s advance estimates indicate stronger-than-expected gross domestic product (GDP) growth of 5.2% in 3Q2025 (2Q2025: 4.4%), exceeding the market consensus of 4.2%. Services grew 5.1% (2Q2025: 5.1%) on resilient consumption, manufacturing accelerated to 4.0% (2Q2025: 3.7%), and mining rebounded sharply to 10.9% (2Q2025: –5.2%) on stronger oil and gas output. Construction remained robust, expanding […]

Summary August 2025 imports contracted due to a 5.9% decline, while exports grew modestly by 1.9% to RM131.6 billion (July: +6.5%, RM140.1 billion), led by electrical and electronics (E&E), machinery and equipment, optical and scientific instruments, and palm-based agricultural products. Manufacturing activity showed tentative improvement, with Malaysia’s seasonally adjusted Purchasing Managers’ Index (PMI) rising to

Summary Malaysia’s gross domestic product (GDP) expanded by 4.4% in 2Q2025 (1Q2025: 4.4%), slightly below the advance estimate of 4.5%. Growth was supported by robust domestic demand, with private consumption accelerating to 5.3% (1Q2025: 5.0%) on the back of civil servant wage hikes and minimum wage increases. On the investment side, investment activity gained traction,

Summary Malaysia’s 2Q2025 gross domestic product (GDP) growth advance estimate was 4.5%, close to the 4.4% reported in 1Q2025. June’s exports continued to decline after a contraction in May, registering at -3.5% (May: -1.1%). Current data points to a potential broad-based slowdown in external demand, which may persist until a more favourable trade agreement is

Summary Headline inflation eased to 1.2% in May (Apr: 1.4%). The decline was driven by softer prices in food and beverages as well as housing, water, electricity and gas, while prices in the transportation sector remained unchanged from April amid lower global oil prices. Looking ahead, inflation may edge higher due to the 8% Sales

Summary Malaysia’s export performance strengthened in April, rising by 16.4% (Mar: 6.8%). This was supported by a 19.0% surge in manufacturing exports, led by strong gains in electrical and electronic (E&E) products, and machinery & equipment. The front-loading of exports after the 90-day tariff pause announcement boosted trade flows, with early gains helping to cushion

Summary Malaysia’s economy is expected to grow by 4.4% in 1Q2025, although moderating from 5.0% in the previous quarter. The growth in the first quarter was attributable to resilient domestic demand and construction activity that offset weaker performance in mining and manufacturing. The ringgit rebounded in April after initially weakening on tariff-related fears, supported by

Summary The ringgit remained stable in March, supported by the Federal Reserve’s (Fed) dovish stance and expectations of narrowing interest rate differentials. The ringgit has traded within the 4.42–4.48 range since January, bolstered by Malaysia’s resilient economic fundamentals and investor confidence. Exports surged to 6.2% in February (Jan: 0.3%), driven by manufacturing growth of 8.8%

Summary Malaysia’s 4Q2024 gross domestic product (GDP) exceeded the advance estimate, bringing the full year growth to 5.1%. The growth is within the official projection and MARC Ratings’ forecast. The sustained expansion of the services sector underscores the resilience of private consumption, which remained a key growth driver, alongside strong external demand. Demand for electrical

Summary Malaysia’s 2024 gross domestic product (GDP) advance estimate read 5.1%, within the official projection and MARC Ratings’ forecast. Overall business activity was healthy, particularly with a sharp rise in exports in December of 16.9%, while consumer spending and the services sector remained robust,. Strong overall exports, despite the decline in exports to China, reflected