Malaysia GDP Q1 2025 +4.4%

According to data released by Bank Negara Malaysia, the country's economy expanded by 4.4 per cent year-on-year in the first quarter of 2025. The growth rate was in line with government projections but slightly below the 4.5 per cent forecast by economists.

On a quarterly basis, GDP grew by 0.7 per cent, rebounding from a 0.2 per cent contraction in the previous quarter. The economy had recorded a revised growth of 4.9 per cent in Q4 2024.

From a production perspective, the services sector continued to be the main driver of growth. All major sectors registered positive growth, except for mining and quarrying, which declined by 2.7 per cent.

The services sector grew by 5.0 per cent, while manufacturing expanded by 4.1 per cent year-on-year. Agricultural output increased marginally by 0.6 per cent.

On the expenditure side, private final consumption growth moderated to 5.0 per cent, down from 5.3 per cent in the previous quarter. Government final consumption rose by 4.3 per cent, up from 4.0 per cent.

Gross fixed capital formation grew by 9.7 per cent, easing from 11.8 per cent in Q4 2024.

External trade performance was more subdued. Exports rose by 4.1 per cent, slowing from 8.7 per cent growth in the previous quarter. Import growth also moderated to 3.1 per cent from 5.9 per cent.

In its latest outlook, the International Monetary Fund estimated Malaysia’s GDP growth rate to be 4.1 per cent for 2025.

The Association of Southeast Asian Nations (ASEAN) is a political and economic union of ten members, has 667 million people and a territory of 4.5 million Km2; is currently the third largest economy in Asia-Pacific and the fifth largest in the World. The ASEAN Economic Community (AEC) has a combined GDP of USD 4.2 trillion, according to estimates for 2024.