Kuala lumpur: Malaysia's economic outlook showed signs of moderation in November 2025, with the Leading Index (LI) recording a 0.2 percent increase to 113.2 points, up from 113.0 points in the same period the previous year, driven by domestic demand. The LI provides an early indication of turning points in the business cycle and the near-term direction of the economy.
According to BERNAMA News Agency, Chief Statistician Datuk Seri Dr. Mohd Uzir Mahidin highlighted that the number of housing units approved for construction was the main contributor to the increase in that month, accounting for 67.5 percent, alongside the stable real money supply, M1, which stood at 5.5 percent. Despite the moderation, these performances suggest that domestic activities continue to support the overall economic momentum.
On a month-on-month basis, the LI declined by 2.4 percent, influenced by the real imports of semiconductors, which decreased by 0.9 percent, and the real imports of other basic precious and non-ferrous metals, which declined by 0.7 percent. Mohd Uzir stated that Malaysia's economy is expected to continue expanding in the near future, albeit at a softer pace, with domestic demand serving as the backbone of growth. However, external uncertainties pose potential downside risks that could affect Malaysia's overall economic prospects.
During the same period, the Coincident Index (CI), which reflects the current economic conditions, rose to 129.3 points, with an annual growth of 2.1 percent. This indicates the continuation of expanding economic activity. The growth was supported by the strong performance of all components for the tenth consecutive month, with the real contributions of the Employees Provident Fund (EPF) increasing by 0.8 percent as the main driver. In contrast, on a month-on-month basis, the CI edged down by 0.5 percent, influenced by more moderate movements in several components, particularly the Industrial Production Index and real contributions to the EPF, both of which posted decreases of 0.2 percent.