Malaysia’s Current Account Surplus Sustained at RM31.8 Billion in 2025
PETALING JAYA: Malaysia’s Current Account Balance (CAB) remained resilient in the fourth quarter of 2025, recording a surplus of RM2 billion and bringing the full-year surplus to RM31.8 billion, equivalent to 1.6 per cent of Gross Domestic Product (GDP).
Chief Statistician Mohd Uzir Mahidin said the performance extended Malaysia’s streak of current account surpluses to over two decades, reflecting the country’s stable external position.
Strong Goods Exports and Expanding Services
The surplus was mainly driven by a RM23.6 billion surplus in the Goods Account, supported by sustained demand for electrical and electronics (E&E) products, petroleum and palm oil. Key export destinations included the United States, Singapore and China.
The Services Account also strengthened, widening its surplus to RM5.0 billion. This improvement was attributed to higher travel receipts as tourism activity recovered, along with continued expansion in telecommunications, computer and information (TCI) service exports.
Malaysia’s expanding role in digital infrastructure and rapid growth of data centres further bolstered services performance.
Primary Income Deficit and Financial Flows
However, the Primary Income Account registered a wider deficit of RM23.5 billion due to increased investment income accrued to foreign investors.
The Financial Account recorded a net inflow of RM12.3 billion in the fourth quarter. For the full year 2025, however, it posted a net outflow of RM21.4 billion, largely due to volatility in portfolio investments.
Robust Foreign Direct Investment
Foreign direct investment (FDI) rose significantly to RM27.8 billion in Q4, pushing total annual inflows to RM53.5 billion. Most FDI was directed towards the services sector, particularly information and communication activities and financial services.
Direct investment abroad (DIA) totalled RM2.8 billion in Q4, with annual outflows amounting to RM7.4 billion.
Malaysia’s International Investment Position (IIP) recorded a net liability of RM9.6 billion at end-2025, while international reserves stood at a solid RM509.7 billion.
Overall, Malaysia’s external sector demonstrated resilience in 2025, supported by firm goods exports, a recovering services sector and sustained direct investment inflows despite global portfolio investment uncertainties.
-wilayah.com.my
