Overview

Malaysia’s economy is projected to grow by 5.7 per cent in the fourth quarter of 2025,

supported by the strong performance of the main economic sectors and robust domestic demand

Malaysia’s advance GDP estimates rose by 5.7 per cent in the fourth quarter of 2025, as compared to 5.2 per cent in the previous quarter. Economic growth was supported by the expansion across all sectors mainly Services, Manufacturing, Construction and Agriculture. Meanwhile, the Mining and quarrying sector grew at a slower pace during this quarter. In terms of quarter-on-quarter performance, Malaysia’s economy increased by 3.0 per cent as compared to 5.4 per cent in the third quarter of 2025.

The Services sector recorded higher growth of 5.4 per cent in this quarter as compared to 5.0 per cent in the preceding quarter. This improvement was driven by stronger performance in the Wholesale & retail trade, Transportation & storage and Food & beverages and accommodation sub-sectors. The Manufacturing sector increased to 6.0 per cent in the fourth quarter of 2025 up from 4.1 per cent growth in the preceding quarter. The strengthening trend was underpinned by the increased output in Electrical, electronic & optical products; Vegetable and animal oils & fats and food processing products; and Non-metallic mineral products, basic metal & fabricated metal products.

The Agriculture sector surged to 5.1 per cent in the fourth quarter of 2025 as compared to marginal growth of 0.4 per cent in the previous quarter. The favourable performance was attributed by the rebound in Oil palm sub-sector, alongside continued growth in Livestock and Other agriculture sub-sectors. The Mining and quarrying sector grew by 1.1 per cent, as compared to 9.7 per cent in the third quarter of 2025. The slower momentum was influenced by the moderation in Crude oil & condensate sub-sector, while Natural gas contracted in this quarter. The Construction sector remained with a double-digit growth of 11.9 per cent, up from 11.8 per cent growth in the previous quarter. The expansion was supported by the stronger performance mainly in Non-residential buildings and Specialised construction activities.

Overall, Malaysia's economy for the year 2025 eased to 4.9 per cent from 5.1 per cent recorded in the preceding year. All main sectors registered a positive growth, led by the Services sector at 5.1 per cent, followed by the Manufacturing (4.5%) and Construction (12.4%) sectors. Additionally, the Agriculture and Mining & quarrying sectors grew at 2.2 per cent and 0.5 per cent, respectively. The Department of Statistics Malaysia (DOSM) is committed to compile and disseminate statistics that serve the needs of statistical users. DOSM will release the actual GDP for the fourth quarter of 2025 on 13 February 2026.

For interviews, press statement and clarification to the media, contact:
Baharudin Mohamad
Public Relation Officer
Email: baharudin[at]dosm.gov.my
Phone: 03 8090 4681

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