Malaysia’s 2025 budget is an ambitious bid to unlock investment

Doris Liew is an economist and assistant research manager at IDEAS Malaysia.

Malaysia's Budget 2025 introduces a number of ambitious measures aimed at increasing the country's competitiveness, building on the economic momentum achieved in the first half of this year. While it outlines new economic clusters, tax incentives and talent development strategies, the obstacles facing Malaysia – from labor shortages to misaligned education systems – raise concerns about whether it can take full advantage of emerging opportunities.