Malaysia on track to exceed 2026 GDP growth forecast — Economists
KUALA LUMPUR: Malaysia is on track to exceed the official full-year gross domestic product (GDP) growth expectation of 4.8 to 5.3 per cent after the economy expanded by 5.5 per cent in the first nine months of 2026, said economists.
Malaysia's economy is expected to surpass forecasts for 2026 GDP growth, with economists reporting a 5.5% expansion in the first nine months of the year, exceeding the official expectation of 4.8-5.3% annual growth. The Finance Ministry has raised its 2026 real GDP growth projection from 4.0-4.5% to 4.8-5.3%, citing the economy's resilience in the face of geopolitical uncertainty and global oil shocks.
The manufacturing sector has shown improvement, driven by high-value electronics, optical products, resource-based chemicals, plastics, and rubber products. Foreign investment and demand for technology-related sectors have also contributed to sustained economic growth. Domestic demand and the electronics and electronics (E&E) sector are expected to continue supporting growth, with private consumption and investment remaining resilient.
However, risks such as geopolitical tensions, commodity price volatility, and shifting trade policies could pose challenges to the outlook.
Written by urgent.news from New Straits Times's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
