Bank Negara Malaysia and the Department of Statistics announced that GDP in the second quarter of 2026 expanded 6%, above the preliminary estimate of 5.8%, supported by stronger-than-expected exports driven by the AI boom and continued expansion in domestic demand, helping to offset the impact of the Middle East conflict. Exports of electronics and electrical goods, along with a recovery in oil and gas exports, were key supporting factors, while most businesses have not yet faced production disruptions from the conflict, despite some signs of accelerated advance imports and inventory stockpiling. BNM Governor Abdul Rasheed Ghaffour said Malaysia's economy is likely to grow around 5% in 2026, maintaining BNM's forecast range of 4% to 5%.
