Anwar Ibrahim Projects Malaysia's Economy To Grow 5.5 Percent In 2025

JAKARTA - Malaysia projects economic growth between 4.5 percent and 5.5 percent in 2025 driven by greater excesses of recycled technology, the implementation of more important infrastructure projects and a lively catalyst and tourism.

Quoting Antara, Prime Minister and Malaysian Finance Minister Anwar Ibrahim said based on the 2025 budget, government-related investment companies have collectively committed to investing 25 billion Malaysian ringgit (RM) or equivalent to IDR 91.67 trillion in domestic direct investment for the first year of the five years of implementation of the Government's Related Agencies Activation and Reform Program (GEAR-UP).

In addition, he said the increase in consumer spending following the increase in the minimum wage and the salaries of civil servants are expected to continue to spur economic growth.

However, Anwar said external demand from key trading partners weakened, increasing geopolitical tensions and trade protectionist actions could pose risks to the country's economic growth.

For 2024, he said the increase in government net loans would decrease to RM76.8 billion or equivalent to Rp281.6 trillion, a significant decrease compared to RM92.6 billion or equivalent to Rp339.5 trillion in 2023.

The MADANI government, said Anwar, is committed to continuing the implementation of massive reforms in various fields to strengthen long-term fiscal sustainability through subsidized targeting measures, increasing revenue collection and a stronger fiscal framework.

This effort is in line with the 2023 Fiscal Financial and Fiscal Responsibility Law (UU 850) which aims to reduce the fiscal deficit to 3 percent in the medium term for financial sustainability.