PETALING JAYA: Malaysia’s fiscal consolidation drive is set to encounter stronger headwinds in 2025 as weaker economic momentum and delays in structural reforms weigh on revenue performance and widen fiscal risks, says TA Research.
The government had aimed to narrow the deficit to 3.8% of gross domestic product (GDP) next year, but emerging pressures suggest the target may be elusive without decisive policy adjustments, according to the research house.
