KUALA LUMPUR (Oct 29): The government is confident that economic growth will exceed 5.0% this year, marking the third consecutive year of growth above 5.0% under the Madani government, said Finance Minister II Datuk Seri Amir Hamzah Azizan.
“Gross domestic product (GDP) grew by 6% in the second quarter of 2026. With overall GDP growth for 2026 projected at between 4.8% and 5.3%, the government is confident that growth will exceed 5.0% this year,” he said when winding up the debate on the Supply Bill 2027 at the policy stage for the Ministry of Finance (MOF) in the Dewan Rakyat on Thursday.
In its recent preliminary estimates of GDP report, the Department of Statistics Malaysia (DOSM) estimated that the Malaysian economy expanded by 5.3% in the third quarter of 2026, following growth of 6.0% in the preceding quarter.
The DOSM said the growth was supported by positive performances across all economic sectors, except mining and quarrying, which recorded a contraction.
“Cumulatively, for the first three quarters of 2026, the Malaysian economy registered growth of 5.5%, higher than the 4.8% recorded in the corresponding period of 2025,” the DOSM said.
Amir Hamzah said growth in 2027 is projected to be between 4.2% and 5.2%.
The unemployment rate remained low at 2.9% in August. The value of approved investments and trade reached the highest levels in history.
“The ringgit remains resilient. The country's competitiveness ranking also improved significantly, rising from 34th in 2024 to 15th spot in just two years. These achievements show that the national economy is on the right track, with strong fundamentals despite global uncertainties.
“We are mobilising the capabilities and contributions of all parties to advance the nation-building agenda anchored in the Madani economy framework.”
The aim is to develop high-value economic sectors and master the latest technologies to create better jobs and improve the people's well-being, he said.
“Additionally, we want the country to remain grounded in good governance, strong unity among its people, and the continued preservation of its national treasures and heritage.”
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