Malaysia’s Economy Expands 5.3% in Q3 2026, Manufacturing Leads

KUALA LUMPUR, Oct 16 — Malaysia’s economy grew 5.3 per cent in the third quarter of 2026, moderating from 6.0 per cent in the previous quarter, according to advance estimates released by the Department of Statistics Malaysia (DOSM).

Cumulatively, GDP growth for the first three quarters of 2026 stood at 5.5 per cent, higher than the 4.8 per cent recorded in the same period last year.

Economy Expands

The services sector remained the main driver, expanding 5.4 per cent, supported by wholesale and retail trade, information and communication, and finance and insurance. Manufacturing strengthened to 7.5 per cent, driven by export‑oriented industries such as electrical, electronic and optical products, as well as petroleum, chemicals, rubber and plastics.

Construction grew 6.0 per cent, supported by non‑residential projects including data centres, while agriculture rebounded to 1.3 per cent, led by oil palm and livestock.

Mining and quarrying, however, contracted 4.9 per cent due to weaker crude oil and condensate output. DOSM said detailed GDP figures for Q3 2026 will be released on Nov 18.

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