Leading Index Up 0.2 Pct In November, Economic Momentum Remains Steady  -- DOSM

KUALA LUMPUR, Jan 23 (Bernama) -- Malaysia’s economic outlook moderated in November 2025, with the Leading Index (LI) increasing 0.2 per cent to 113.2 points from 113.0 points in the corresponding period last year, supported by domestic demand.

The LI provides an early indication of turning points in the business cycle and the near term direction of the economy.

Chief statistician, Datuk Seri Dr Mohd Uzir Mahidin, said “the number of housing units approved for construction was the main contributor to the increase in that month, at 67.5 per cent, alongside the real money supply, M1 (5.5 per cent), which remained stable.”

“Collectively, these performances suggest that domestic activities continue to support the overall economic momentum despite signs of moderation. On a month-on-month (m-o-m) basis, the LI declined 2.4 per cent, influenced by the real imports of semiconductors (-0.9 per cent) and real imports of other basic precious and other non-ferrous metals (-0.7 per cent),” he added.

Mohd Uzir said Malaysia’s economy is expected to continue expanding in the near future, albeit at a softer pace, with domestic demand remaining as the backbone of growth. “Nevertheless, external uncertainty poses potential downside risks that could weigh on Malaysia’s overall economic prospects,” he noted.

During the same period, he said that the Coincident Index (CI), which reflects the current economic conditions, rose to 129.3 points with an annual growth of 2.1 per cent, indicating the continuation of expanding economic activity.

“This growth was underpinned 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 per cent as the main driver. In contrast, on a m-o-m basis, the CI edged down by 0.5 per cent, 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 per cent,” he added.

-- BERNAMA