ECONOMY / KEY INFRASTRUCTURE UPDATES​

• Malaysia’s economy grew by 5.1% in 2024, driven by strong domestic demand and a rebound in exports (cf. 2023: 3.6%).
• The GDP is projected to expand between 4.5% and 5.5% in 2025, driven by robust domestic demand and improved external conditions.
• The headline inflation rate for 2024 has eased to 1.8% (cf. 2023: 2.5%). The stabilisation of price growth in the Food and Beverage, Transport, Household Equipment, and Restaurant & Accommodation Services sectors mainly drove this decline.
• The labour market improved in 4Q 2024, with the unemployment rate dropping to 3.2% (4Q 2023: 3.3%), the lowest post-pandemic level. This was driven by higher employment growth, boosting economic growth and consumer confidence.
• Bank Negara Malaysia has remained OPR at 3.0% unchanged, due to a balanced outlook on growth and inflation risks.