Malaysia’s Economy May Achieve 5% Growth In 2026 — Anwar Ibrahim

Despite the optimism, Anwar warned of global risks.

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Prime Minister Datuk Seri Anwar Ibrahim said Malaysia's economy could grow by 5% this year

Finance Minister II Datuk Seri Amir Hamzah Azizan, who read Anwar's speech, said the surge was fuelled by robust domestic demand and sustained investment activity.

"Based on official projections, Malaysia's economy is expected to expand between 4% and 4.5% in 2026, supported by steady domestic demand and sustained investment activity. However, current market assessments place growth at between 4.5% and 5% in 2026, reflecting strengthening domestic demand and continued investment momentum," Anwar noted.

He explained these figures reflected a strengthening domestic landscape.

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Image via New Straits Times

Despite the optimism, Anwar warned of global risks. Geopolitical tensions and shifting trade policies remained significant hurdles requiring disciplined risk management.

He stressed the government would focus on fiscal discipline to ensure long-term stability and roll out structural reforms to protect the people's welfare.

The banking sector was highlighted as a vital anchor for the nation's economic health.

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Image via New Straits Times

With inflation expected to remain moderate, the central bank will continue safeguarding price stability to support overall growth for all Malaysians

Amir Hamzah had read Anwar's speech during Affin Group's 50th anniversary and Chinese New Year dinner on 7 February.

He pointed out that institutions like Affin Group were essential in maintaining credit flow.

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