Malaysia

Government ready to manage external shocks, sustain economic stability - says economist

The country sustains steady growth and stronger global positioning under the Prime Minister’s effective policy execution resulting in greater investor confidence

Updated 5 months ago · Published on 26 Apr 2026 5:43PM

Government ready to manage external shocks, sustain economic stability - says economist
The Madani Government shines bright based on its preparedness against emerging global uncertainties as key strengths of the current administration - April 26, 2026

by Alfian Z.M. Tahir

MALAYSIA’S economy has demonstrated resilience, steady expansion and growing international relevance under the leadership of Prime Minister Datuk Seri Anwar Ibrahim, according to economist Dr Barjoyai Bardai.

Speaking to The Vibes.com recently, Barjoyai credits the government with effectively consolidating post-pandemic recovery gains while preparing for a more uncertain global outlook.

He said the current administration assumed office at a critical juncture, as the country was emerging from the economic impact of the Covid-19 pandemic, and successfully built upon the recovery groundwork laid by previous governments.

“The government has made full use of a favourable economic phase and strengthened it further,” he said, pointing to annual growth of around 5 per cent, declining unemployment and easing inflation as indicators of sound economic management.

He described the period as one in which policy stability and disciplined execution enabled Malaysia to maximise its growth potential while safeguarding public welfare.

Looking ahead, Barjoyai said 2026 is likely to mark a transition phase, with increasing global uncertainty driven by geopolitical tensions, including conflicts in the Middle East and evolving trade dynamics involving the United States.

Despite these headwinds, he said the government has demonstrated readiness to manage external shocks and sustain economic stability.

“Having successfully managed the economy through its peak, the administration is now focused on strengthening its ability to navigate external shocks,” he said.

Barjoyai also noted that Malaysia continues to attract strong investor interest, even amid global volatility, with the country increasingly regarded as a strategic hub within ASEAN and a connector between major economic regions.

“Malaysia is now seen as bridging the gap between East and West, and this positioning has helped secure investor confidence and long-term commitments,” he said.

He added that this progress reflects both favourable external conditions and proactive domestic policy alignment.

“The success is a combination of external opportunities and the government’s ability to align its policies effectively with the global environment,” he explained.

Barjoyai further emphasised the importance of balancing economic growth with social well-being, noting that maintaining this equilibrium is particularly crucial during periods of uncertainty.

With two years remaining in the current administration’s term, he said there is scope to further strengthen its economic record.

“If it continues to manage the economy effectively through a more challenging global environment, this administration can be regarded as highly successful—not only for driving growth during strong years, but also for sustaining stability during more difficult times,” he said. - April 26, 2026

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