KUALA LUMPUR, July 24 - Malaysia’s economic prospects remain positive in May 2026 with the Leading Index (LI) rising 0.8 per cent to 114.4 points compared to 113.5 points in the corresponding period last year, said the Malaysian Statistics Department.
The higher index was driven by the positive performance of several components, mainly real money supply, M1 (9.2 per cent) and real imports of semiconductors (2.7 per cent).
This is in line with stable economic liquidity and the expansion in production activities related to electronic components.
"However, from a monthly perspective, the LI recorded a decline of 0.5 per cent in May 2026, following the moderation in three out of seven components.
"Examining the smoothed long-term trend in May 2026, the LI remained below the 100.0 points," it said in a statement today.
Nevertheless, the Malaysian economy is expected to be resilient, supported by stable domestic demand as well as the country’s ability to adapt to changes in the global environment and current technological developments.
Meanwhile, the Coincident Index (CI) rose 2.5 per cent to 131.2 points in May 2026 compared to 128.0 points in the same month last year, supported by growth in almost all components, except for capacity utilisation in manufacturing.
On a month-on-month basis, the CI decreased 0.3 per cent in May 2026 due to softer performance in several components, particularly capacity utilisation in manufacturing (-0.4 per cent), reflecting moderation in current economic activity following ongoing global uncertainties.
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