KUALA LUMPUR, Dec 5 (Bernama) -- Bursa Malaysia closed lower on Friday amid mixed regional market performance as investors turned cautious over a possible rate hike by the Bank of Japan (BOJ) and upcoming US economic data that may influence the Federal Reserve’s (Fed) interest rate decision next week. At 5 pm, the FTSE Bursa Malaysia KLCI (FBM KLCI) pared most earlier losses to settle 4.55 points easier, or 0.28 per cent, to 1,616.52 from Thursday’s close of 1,621.07. The benchmark index, which opened 0.37 of-a-point lower at 1,620.70, moved between 1,609.67 and 1,621.25 throughout the day. The broader market was negative, with decliners outpacing advancers 604 to 439. A total of 550 counters were unchanged, 1,151 untraded, and 18 suspended. Turnover declined to 3.17 billion units worth RM2.24 billion from 4.48 billion units worth RM2.75 billion yesterday. Rakuten Trade Sdn Bhd vice-presiden...
S&P Global Ratings has reaffirmed Malaysia’s sovereign credit rating at ‘A-’ with a Stable outlook, underscoring confidence in the country’s diversified economy, steady fiscal consolidation and policy reforms.
Policy Environment Supports Rating
The agency said Prime Minister Anwar Ibrahim’s administration has created a more favorable policy climate, enabling reforms and fiscal measures to gain traction.
“The stable outlook reflects our expectation that Malaysia’s growth momentum and prevailing policy environment will allow modest improvements in fiscal performance over the next two to three years,” S&P noted.
Growth Outlook
1H 2025 GDP: Expanded 4.4%, driven by resilient household spending, strong labor market, subdued inflation and robust investment in manufacturing and services.
Full-year projection: Growth of 4%–4.8%.
External Position Remains Strong
Malaysia has recorded current account surpluses for over two decades. S&P expects the surplus to remain around 2.1% of GDP over the next three years, supported by resilient exports and deep capital markets that provide financial stability.
Reform Agenda and Fiscal Path
The reaffirmation comes as the government advances its Madani Economy reform agenda, designed to enhance resilience and fiscal sustainability. The Public Finance and Fiscal Responsibility Act 2023 is expected to keep consolidation on track, while Budget 2026 will serve as the anchor for the 13th Malaysia Plan (2026–2030).
Government Response
Anwar, who also serves as finance minister, said Malaysia remains committed to balancing growth with fiscal prudence.
“While external conditions remain uncertain, we will continue with our resolve to pursue reforms that will lift Malaysia to new heights,” he said.
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