Malaysia Eyes Stronger Growth As Economy Shows Resilience In 2025

Malaysia has maintained economic resilience in 2025, bolstered by trade neutrality and openness despite global headwinds, including US tariff tensions and geopolitical uncertainties, Finance Minister II Datuk Seri Amir Hamzah Azizan said.

Highlighting the country’s solid foundation for growth, Amir Hamzah noted that Malaysia’s fiscal deficit has narrowed from 5.5% of GDP in December 2023 to an expected 3.8% in 2025, with a target of 3.5% in 2026.

“The ringgit has emerged as Asia’s top-performing currency, unemployment remains at a decade-low of 3% and foreign direct investment has hit record levels, reflecting investor confidence.

“Malaysia has clearly turned a corner in its post-Covid recovery and is regaining its position as the Asian Tiger,” he wrote on LinkedIn, stressing that sustaining momentum will require ongoing reforms under the government’s economy framework.

Looking ahead, Amir Hamzah highlighted that the government aims to deepen execution in 2026, focusing on resilience and competitiveness while navigating external shocks, with the goal of driving long-term sustainable growth.

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