Overview

Malaysia’s GDP increased 5.2 per cent in the third quarter of 2025, 
driven by household spending and tourism-related activities

Malaysia's economy expanded by 5.2 per cent in the third quarter of 2025 as compared to 4.4 per cent in the previous quarter. In terms of seasonally adjusted, the economy grew by 2.4 per cent (Q2 2025: 2.2%) On the supply side, the Services sector was the main driver of economic on this quarter, supported by positive performances across all other sectors. Meanwhile, on the demand side, the growth was primarily underpinned by Private final consumption expenditure dan Gross fixed capital formation. Malaysia’s economy was valued at RM515.8 billion at current prices and RM442.0 billion at constant prices in this quarter. Overall, the economy grew by 4.7 per cent in the first three quarters of 2025 as compared to 5.2 per cent recorded in the corresponding period of 2024.

The Services sector remained the main contributor to economic growth, registering an increase of 5.0 per cent as compared to 5.1 per cent recorded in the second quarter of 2025, In terms of seasonally adjusted, this sector increased by 1.7 per cent. The sector’s performance was underpinned by the increase in the Wholesale & retail trade sub-sector, which grew by 4.8 per cent. The Transportation & storage and Food & beverage and accommodation sub-sectors also registered a growth of 7.8 per cent and 9.5 per cent, respectively. The Manufacturing sector rose by 4.1 per cent in the third quarter of 2025 as against 3.7 per cent in the preceding quarter. In terms of seasonally adjusted, the sector grew by 1.8 per cent. This performance was primarily supported by Electrical, electronic and optical products, followed by Vegetable and animal oils & fats. The Agriculture sector recorded a marginal growth of 0.4 per cent as compared to 2.5 per cent in the second quarter of 2025. Moreover, this sector contracted by 2.5 per cent in terms of seasonally adjusted. The sector’s performance was influenced by growth in the Other Agriculture sub-sector and the Livestock sub-sector. In contrast, the Oil Palm and Rubber sub-sectors recorded a decline during this quarter. The Mining and Quarrying sector rebounded to 9.7 per cent. In terms of seasonally adjusted, this sector expanded by 13.8 per cent.The improved performance was driven by a recovery in the Natural Gas segment, followed by Crude oil & condensate.The Construction sector continued to record strong performance, expanding by 11.8 per cent against 12.1 per cent registered in the previous quarter. In terms of seasonally adjusted, the sector maintained a steady growth of 5.2 per cent. The growth was supported by positive performance across all segments, particularly the Civil Engineering. 

Final consumption expenditure increased by 5.4 per cent as compared to 5.5 per cent in the preceding quarter. Private final consumption expenditure registered 5.0 per cent  in the third quarter of 2025. The performance was supported by higher consumption in Restaurants & hotel, Transport and Communication. In terms of seasonally adjusted, Private final consumption expenditure increased marginally to 0.5 per cent. Government final consumption expenditure strengthened to 7.1 per cent from 6.4 per cent in the second quarter of 2025, contributed by higher spending on supplies and services. In terms of seasonally adjusted, Government final consumption expenditure increased by 6.1 per cent. Gross fixed capital formation (GFCF) rose by 7.4 per cent, compared to 12.1 per cent recorded in the previous quarter. In terms seasonally adjusted, GFCF decreased by 0.1 per cent in this quarter. The expansion in GFCF was primarily led by the growth in Structure and Machinery & equipment. In terms of GFCF by sector, the Private sector, which accounted for 80.0 per cent of GFCF, increased 7.3 per cent while GFCF in the Public sector expanded 7.4 per cent as compared to 13.6 per cent in the previous quarter. Exports posted a growth of 1.4 per cent. The performance was influenced by exports of goods and services. In terms of seasonally adjusted, Exports registered a growth of 1.2 per cent in the third quarter of 2025. Imports registered a marginal growth of 0.4 per cent, supported by the performance in the imports of services. However, a contraction in imports of goods has dragged down the overall performance of imports. In terms of seasonal adjusted, Imports decreased by 3.0 per cent in this quarter.

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

Not found what you looking for? Request data from us, through
Go to eStatistik
Email: data[at]dosm.gov.my
Phone: 03 8885 7128 (data request)