KUALA LUMPUR: Malaysia’s economy is projected to grow 4.7% in 2026, supported by technology-related exports and investment as well as robust domestic demand, according to the World Economic Forum (WEF).
In its latest Chief Economists’ Outlook – September 2026, WEF said the growth outlook for South-East Asia remains broadly resilient, with 97 per cent of chief economists surveyed expecting growth in the region to moderate or strengthen over the next 12 months. Of these, 73% anticipate stronger or very strong growth, compared with 69% who expected moderate or stronger growth in May.
Country-level forecasts remain differentiated, with Vietnam’s growth projected at 7.5% and Thailand’s at 1.9% in 2026, supported to varying degrees by technology-related exports and investment, and robust domestic demand.
Labour market expectations are also favourable, with 79% of respondents expecting unemployment to remain unchanged and 14% anticipating a decrease.
More broadly, manufacturing, resilient exports and investment, and steady domestic demand continue to support growth across developing South-East Asia.
Meanwhile, inflation expectations have also improved since May.
Of the chief economists surveyed, 53% expect moderate inflation and 41% high inflation over the next 12 months, compared with 54% expecting high or very high inflation in May. — Bernama
