Malaysia Likely to Reach 4.8% Growth in 2025

Malaysia Likely to Reach 4.8% Growth in 2025, Driven by Investment Momentum — Amir Hamzah

KUALA LUMPUR: The Malaysian government is confident that the economy will achieve the upper-end 4.8% growth forecast for 2025, supported by resilient economic fundamentals and strengthening investor sentiment, said Second Finance Minister Datuk Seri Amir Hamzah Azizan.

Approved investments amounted to RM663.7 billion between January 2024 and September 2025, signalling long-term investor confidence. Inflation has also eased to 1.3% as of October 2025.

He noted that GDP growth for 2026 is projected at 4.0% to 4.5%, driven by steady domestic spending, moderate inflation and a stable labour market.

The alignment of the 2026 Budget with the 13th Malaysia Plan is expected to enhance the efficiency and impact of national development initiatives.

The semiconductor sector continues to expand, with RM5.54 billion in strategic investments approved since 2024.

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