Khazanah Nasional Berhad reported resilient financial performance in 2025, with net assets reaching RM105 billion and a 5.2% annual return, despite heightened geopolitical tensions and global market volatility.
In its Khazanah Annual Review 2026, the nation’s sovereign wealth fund said total assets rose to RM156 billion at end-2025, reflecting steady portfolio growth driven by disciplined investment management and diversification. Khazanah also achieved a seven-year rolling annualised return of 6.1%, underscoring its long-term investment strategy and focus on sustainable wealth creation.
Managing Director Datuk Amirul Feisal Wan Zahir said the fund’s performance demonstrates its ability to navigate global uncertainties while fulfilling its mandate to grow Malaysia’s long-term wealth.
“We are pleased that our disciplined approach and long-term investment horizon enabled us to deliver resilient performance despite a more volatile global environment in 2025,” he said. “We remain committed to generating sustainable, risk-adjusted returns while advancing national economic priorities.”
Khazanah recorded RM5.6 billion in profit from operations during the year and paid RM2 billion in dividends to the Malaysian government. Since its establishment in 2004, the fund has contributed RM21.1 billion in cumulative dividends and generated RM93.1 billion in total shareholder returns.
Its investments portfolio, the primary driver of returns, expanded to RM95 billion in 2025 from RM81 billion in 2018, supported by strong performance in domestic and global equities as well as value-creation initiatives across its holdings.
Under its Malaysia Investment Strategy, Khazanah continued advancing key national initiatives, including the privatisation and transformation of Malaysia Airports Holdings Berhad (MAHB). Passenger traffic across Malaysia’s airports rose 11.2% year-on-year to 104.4 million, supported by the entry of 15 new airlines. Kuala Lumpur International Airport was also ranked among the world’s leading aviation hubs in OAG’s Megahubs 2025 report.
Khazanah’s Dana Warisan initiative achieved major restoration milestones with the reopening of heritage sites such as Seri Negara and parts of the Sultan Abdul Samad Complex ahead of Visit Malaysia Year 2026. The sites have attracted more than 14,500 visitors since reopening, contributing to tourism and cultural revitalisation.
Through its Dana Impak programme, Khazanah supported more than 40 Malaysian companies to improve operations, productivity and investor readiness. Investments in semiconductor and advanced manufacturing sectors also enabled expansion by global firms such as U.S.-based edge artificial intelligence company Syntiant, which doubled its production capacity in Penang and created about 800 jobs.
Beyond financial returns, Khazanah allocated RM330 million in 2025 to capacity-building and community development initiatives through its philanthropic arms, bringing total cumulative contributions to RM2.7 billion since 2006.
Its K-Youth programme trained 9,934 Malaysian youths in 2025, focusing on high-growth sectors such as digital technology, semiconductors and aviation. Since its launch in 2023, more than 34,000 youths have participated in the programme
Khazanah said Malaysia’s economic outlook remains resilient, supported by strong private investment and foreign direct investment, although global growth is expected to moderate amid ongoing geopolitical and economic challenges.
The fund said it will continue strengthening its portfolio through diversification, prudent liquidity management and strategic investments aligned with national priorities, while maintaining its focus on delivering sustainable financial returns and socioeconomic impact.
