Macroeconomic Outlook Report: Malaysia

Mining, manufacturing and utilities activities contributed 31.7% to the gross value added (GVA) in 2024, followed by wholesale, retail and hotels (21.8%), and financial intermediation, real estate, and business activities (10.8%). In nominal terms, these three segments are expected to grow by 0.9%, 7.5%, and 9.4%, respectively, in 2025.

Four major cities accounted for 81.9% of Malaysia’s GDP and 43.6% of its population in 2024, according to the analyst.

Key Highlights

• As of April 2025, the construction of the East Coast Railway line in Malaysia is progressing ahead of schedule, with significant milestones achieved earlier than planned. This major infrastructure project, undertaken by the China Communications Construction Company (CCCC), involves the development of a 665 km railway line connecting Port Klang and Kota Bharu. Notably, 38 out of 41 tunnels have been completed. The railway will feature high-speed trains capable of reaching speeds of up to 160km/h, reducing travel time from seven hours to four hours.

Scope

• Macroeconomic Country Outlook Reports evaluate a country's investment potential through its political, economic, social, technological, legal, and environmental (PESTLE) framework.
• This comprehensive analysis offers a holistic view of the economy, serving as a strategic tool to understand market dynamics, business potential, and operational direction. Each PESTLE factor is examined based on four parameters: current strengths, current challenges, future prospects, and future risks.
• These insights support strategic planning by highlighting opportunities and risks within the economy, helping businesses and investors make informed decisions. The report aims to provide a detailed understanding of the country's macroeconomic environment to facilitate effective decision-making and strategy development.

Reasons to Buy

• Macroeconomic Outlook Report identifies the potentials of the country as an investment destination by analyzing the political, economic, social, technological, legal and environmental (PESTLE) structure.
• PESTLE Insights provides 360 degree view of the economy which can be used as a strategic tool to understand the market dynamics, business potentials and direction of operations
• Along with providing the country’s snapshot, the report captures the risk factors pertaining to the macroeconomic risks, political environment, legal environment, demographic and social structure effectiveness, technology & infrastructure and natural and geographic aspects that might impact business.
• This report also highlights key clusters/cities which contribute significantly to the country GDP and population along with major companies’ presence in these areas.