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Macro - Country Economic Forecasts - Malaysia

Publisher Oxford Economics
Published Jun 27, 2025
Length 9 Pages
SKU # OFE20204910

Description

We kept our 2025 GDP growth forecast for Malaysia at 3.8%. Significant headwinds remain amid disruption from US trade policy and Middle East tensions. A rate cut by Bank Negara Malaysia (BNM) to support the economy looks imminent, although we doubt it will occur in July before more clarity on US tariffs. A lower base could lift GDP growth to 4.5% in 2026.

Table of Contents

9 Pages
Malaysia: BNM is unlikely to ease in July before US tariff outcome
Forecast overview
Recent developments
Short-term outlook
Key drivers of our short-term forecast
Economic risk
Economic risk evaluation
Risk warnings
What to watch out for
Exposure to key global risks
Long-term prospects
Alternative long-run scenarios
Background
Economic development
Structure of the economy
Politics

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