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Malaysia's Economy Surges 5.2% Amid Trade Tensions

10/18/2025

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Summary

Story summary

Malaysia's economy grew by 5.2% in the third quarter of 2025, exceeding expectations due to strong domestic consumption and exports.
This growth surpassed the previous quarter's 4.4% and was bolstered by tourism and capital investments, despite challenges from US tariffs.
Exports increased by 12.2% in September, resulting in a trade surplus of 19.86 billion ringgit ($4.7 billion).
Analysts forecast growth will moderate to 4% to 4.5% in 2026 amid external uncertainties.
The central bank has reduced interest rates to support the economy, which remains resilient despite global trade tensions.

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Story summary

Malaysia's economy grew by 5.2% in the third quarter of 2025, exceeding expectations due to strong domestic consumption and exports.
This growth surpassed the previous quarter's 4.4% and was bolstered by tourism and capital investments, despite challenges from US tariffs.
Exports increased by 12.2% in September, resulting in a trade surplus of 19.86 billion ringgit ($4.7 billion).
Analysts forecast growth will moderate to 4% to 4.5% in 2026 amid external uncertainties.
The central bank has reduced interest rates to support the economy, which remains resilient despite global trade tensions.