Domestic business sentiment remains optimistic in 2Q


Chief statistician Mohd Uzir said the positive performance reflected sustained optimism from the previous quarter of 3.2%.

KUALA LUMPUR: Business sentiment remains optimistic in the second quarter of 2025 (2Q25), as reflected by the positive confidence indicator of 2%, according to the Statistics Department.

Chief statistician Datuk Seri Mohd Uzir Mahidin said the positive performance reflected sustained optimism from the previous quarter of 3.2%.

The services, construction and industrial sectors expect steady business conditions in 2Q25, the Statistics Department said in a statement yesterday.

“Confidence in the services sector remains positive with a confidence indicator of 6.9%, compared with 13.5% in the previous quarter.

“Simultaneously, sentiment in the construction sector remains favourable with 4.6% versus 12.5% in 1Q25,” said the Statistics Department.

The confidence indicator for the Industrial sector improved to 1.9% from 0.2 in the preceding quarter, the statement pointed out.

In contrast, the wholesale and retail trade sector is pessimistic, with the confidence indicator at 6.7% in 2Q25 versus 8.1% previously, it noted.

The confidence indicators are mixed at state level.

States that are “optimistic” about business prospects for 2Q25 are Terengganu (18%), Kedah (4.3%), Putrajaya (3.7%), Perlis (3.5%), Johor (1.5%) and Kuala Lumpur (0.9%).

The majority of the states are pessimistic; Kelantan at a 7.8% decline, Perak (6.3%), Penang (5.1%), Pahang (4.5%), Labuan (3.9%), Sarawak (2.9%), Melaka (2%), Negri Sembilan and Selangor (both at 1.2%) and Sabah (0.3%). — Bernama

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