Malaysia’s retail spending rose slightly in May 2025, even as overall distributive trade growth eased to +4.4% year-on-year—the slowest since September 2024. According to MIDF, “the moderation was broad-based, except for retail trade,” which improved marginally to +4.9% year-on-year from +4.7% in April.
Retail sales were supported by higher demand for household equipment, automotive fuel, and specialised stores, while motor vehicle and wholesale trade growth slowed. Looking ahead, MIDF expects consumer spending to remain resilient, aided by a strong labour market, stable inflation, and the recent OPR cut, which is set to “stimulate renewed interest in big-ticket spending.”
MIDF projects retail sales growth to reach +4.6% in 2025, slightly down from +5.4% in 2024.
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