The Malaysian economy is expected to grow strongly in 2025, with experts predicting an increase of up to 6% in GDP.
According to Shan Saeed, Global Chief Economist at Juwai IQI, this optimistic outlook is supported by good consumption and investment patterns.
Saeed credited the government's proactive efforts, which have attracted significant foreign and domestic investments, as the main drivers of this growth.
The country's growing reputation as a technology hub and its robust semiconductor industry have also boosted its economic performance.
The personal consumption and private investment sectors, which contribute over 80% of GDP, continue to play a key role.
Confidence among local investors has been strong, attracting foreign direct investment and fostering economic stability.
Yeah Kim Leng, president of the Malaysian Economic Association, highlighted rising incomes, low unemployment and targeted government assistance as factors strengthening consumer spending.
In addition, private investment grew by 12.1% in the first three quarters of 2024, further strengthening the economy.
Afzanizam Rashid, Chief Economist of Bank Muamalat, pointed to expansionary fiscal policy and global interest rate cuts as factors supporting growth.
Despite higher living costs, consumer spending remains resilient, while export growth benefits from rising global demand.
