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July 28, 2026

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Malaysia’s Economy to Grow Between 4-5% Despite Global Uncertainties

Malaysia’s economy is expected to grow between 4-5% this year despite global energy supply shock from the Middle East conflict, according to the central bank governor. Governor of the Central Bank of Malaysia Abdul Rasheed Ghaffour speaks during a press conference at Kuala Lumpur Aug 18, 2023. KUALA LUMPUR — Malaysia’s economy is on track […]

By ijnn_world · IJNN Contributing Reporter · July 28, 2026

Malaysia’s economy is expected to grow between 4-5% this year despite global energy supply shock from the Middle East conflict, according to the central bank governor.

Governor of the Central Bank of Malaysia Abdul Rasheed Ghaffour speaks during a press conference at Kuala Lumpur Aug 18, 2023. KUALA LUMPUR — Malaysia’s economy is on track to grow by between four per cent and five per cent this year despite the global energy supply shock from the Middle East conflict, its central bank governor said at a forum on Tuesday .

Economic growth will likely be towards the upper end of the forecast range as inflation remains manageable, Bank Negara Malaysia Governor Abdul Rasheed Ghaffour said. The central bank will continue to play its part in maintaining price stability as global uncertainties persist and energy prices remain high, he said. BNM’s policy stance remains in line with the domestic growth and inflation outlook, Abdul Rasheed added.

BNM left its key interest rate unchanged at 2.75 per cent for the sixth straight policy meeting in July. Headline and core inflation averaged 1.7 per cent and 2.1 per cent, respectively, over the first five months of the year. The government may spend up to 40 billion ringgit on fuel subsidies this year, more than double its initial budget allocation, if energy prices remain elevated.

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