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Malaysia's Economy Surges 5.2% Amid Rising Domestic Demand

2/14/2026

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Story summary
  • Malaysia's economy grew 5.2% in 2025, the strongest since 2022.
  • In the fourth quarter, output rose 6.3% year-on-year, led by domestic demand, exports, and investment.
  • Bank Negara Malaysia projects 2026 growth of 4% to 4.5%, with U.S. tariffs creating uncertainty.
  • Bank Negara Malaysia keeps the benchmark rate at 2.75%.
  • The ringgit stood at 3.8962 per U.S. dollar, supported by improved economic conditions, though a stronger ringgit may reduce export competitiveness.