Malaysia Leading Economic Index Rebounds in July

Malaysia’s leading economic index climbed 0.5% month-on-month in July 2025, rebounding from a downwardly revised 0.3% decline in June. Four of the seven components rose, led by real imports of other basic precious and non-ferrous metals (0.5% vs -1.1%), followed by housing unit approvals (0.3% vs 0.1%), new company registrations (0.3% vs -0.2%), and semiconductors (0.01% vs -0.3% in June). Meanwhile, the real money supply remained in positive territory, though it eased from the previous month (0.2% vs 0.5%). In contrast, both manufacturing sales value (-0.6% vs 0.4%) and the Bursa Malaysia Industrial Index (0.3% vs 0.3%) declined. Year-on-year, the leading index dropped 0.5% after a downwardly revised 0.1% fall in June. Meanwhile, the coincident index, which reflects current economic conditions, grew 1.2% in July, following a 0.4% rise in June.