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Malaysia’s economy beats forecasts with 6.3% Q4 growth

Malaysia’s economy grew 6.3% in Q4 2025, exceeding forecasts and lifting full-year growth to 5.2%, driven by a robust construction sector.

PUTRAJAYA: Malaysia’s economy recorded a stronger-than-expected performance in the final quarter of 2025.

Communications Minister Datuk Fahmi Fadzil announced the economy grew by 6.3% in the fourth quarter, significantly exceeding initial estimates.

This robust quarterly performance has lifted the full-year 2025 gross domestic product growth to 5.2%.

The annual figure surpasses the 2024 growth rate of 5.1% and an earlier 2025 estimate of 4.9%.

Fahmi, who is also the MADANI Government spokesman, highlighted the construction sector as a key contributor with 11% growth.

He noted several other positive economic indicators during his weekly press conference.

The Malaysian stock market is at its highest level in seven years, while the ringgit is among Asia’s top 10 best-performing currencies.

Inflation remains low at 1.4%, and the fiscal deficit stands at 3.7% of GDP, better than the projected 3.8%.

The Department of Statistics Malaysia confirmed the 6.3% Q4 growth earlier today.

It stated this was the economy’s fastest pace of expansion in three years and exceeded advance GDP estimates.

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