KUALA LUMPUR: The World Bank has revised Malaysia’s GDP growth forecast to 3.9% for 2025, citing global uncertainties and trade tensions, particularly following the recent US tariff announcements.
“With all possible caveats, we project Malaysia’s 2025 growth rate at 3.9%,” said Apurva Sanghi, the World Bank’s lead economist for Malaysia, in a post on X.
The projection comes in lower than Bank Negara Malaysia’s current forecast of 4.5% to 5.5%, which is now under review amid mounting external pressures. It also follows a recent downgrade by the International Monetary Fund (IMF), which revised Malaysia’s 2025 growth to 4.1%, down from an earlier estimate of 4.7%.
Regional Growth Comparisons
The World Bank’s latest projections show Vietnam leading among ASEAN economies in 2025 with 5.8% growth, followed by:
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Philippines – 5.3%
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Indonesia – 4.7%
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Cambodia – 4.0%
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Malaysia – 3.9%
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Thailand – 1.65%
China’s growth is projected at 4.0%, reflecting broader economic moderation across Asia.
