PETALING JAYA: Malaysia’s economy accelerated in the final quarter of 2025, growing 5.7% and lifting full-year growth to 4.9% – surpassing the government’s official forecast of 4.0 to 4.8%, the Economy Ministry said.
Minister Datuk Seri Akmal Nasrullah Mohd Nasir said the surge in activity in the last three months of 2025 reflected robust domestic demand and expansion in the services and manufacturing sectors, despite global uncertainties.
He highlighted the role of targeted cash assistance programmes, including the Rahmah cash contribution (STR) and the Rahmah basic contribution (Sara), in bolstering household spending and sustaining consumption amid ongoing economic pressures.
“This achievement proves the effectiveness of the Madani economy’s direction and strategies in navigating global uncertainties, restructuring the economy and sustaining resilient domestic demand,” Akmal said.
“The successful implementation of over 170 socio-economic development initiatives under the 12th Malaysia Plan (RMKe-12) has also contributed to this outcome.”
Akmal said preliminary estimates indicate that average annual growth between 2021 and 2025 reached 5.2%, exceeding projections set out in the 13th Malaysia Plan (13MP).
“This represents positive momentum and reflects that Malaysia’s economic fundamentals remain strong and competitive. The year 2026 marks the start of the 13MP implementation phase, and the Economy Ministry is committed to ensuring that every initiative delivers tangible outcomes felt by the public.”
The government expressed confidence that Malaysia remains on track to achieve the Madani economy’s goals, including attaining high-income nation status by 2030.
