Research & Analysis

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