THE nation’s economic growth forecast for 2025 may be revised downwards depending on the outcome of negotiations with the United States regarding the recently imposed import tariffs, Prime Minister Datuk Seri Anwar Ibrahim said in Parliament today.
Speaking during a special parliamentary sitting on the matter, Anwar—who also serves as Finance Minister—acknowledged that the current growth projection of 4.5 to 5.5 per cent is unlikely to be met under present circumstances.
“The Finance Ministry and Bank Negara Malaysia are looking into the impact of the tariffs and will review the GDP growth forecast once there is more certainty about the implementation of President Trump’s tariff policies and the results of negotiations with the US,” he said.
Describing the economic environment as “dynamic”, Anwar stressed that the government had responded swiftly following the US government’s announcement of new import duties on 2 April.
Among the key measures taken was the formation of the National Geo-Economics Action Centre (NGCC) on 4 April. Chaired by Anwar and led by the Ministry of Investment, Trade and Industry (MITI) as secretariat, the centre brings together various ministries and agencies to coordinate Malaysia’s response to shifts in global trade policy.
“The NGCC, which serves as an integrated platform involving multiple agencies to monitor, assess, and coordinate responses to changes in the global trade landscape, tariff shocks, and non-tariff barriers, has already convened three times,” Anwar said.
The Prime Minister added that further decisions, including fiscal recalibrations, will hinge on the direction of ongoing talks with Washington and the eventual scope of tariff implementation. - May 5, 2025
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