KUALA LUMPUR - Any revision to the 2025 Gross Domestic Product (GDP) growth forecast of 4.5 to 5.5 per cent will be based on a comprehensive impact analysis by the National Geoeconomic Command Centre (NGCC), said the Finance Ministry.
Finance Minister II Datuk Seri Amir Hamzah Azizan, said the NGCC, chaired by Prime Minister Datuk Seri Anwar Ibrahim, will convene soon.
"It will assess the impact of US tariffs on Malaysia," he said on the sidelines of the 12th Asean Finance Ministers’ and Central Bank Governors’ Meeting (AFMGM) and related meetings, which began today.
"We will need to engage in order to achieve better outcomes. The Ministry of Investment, Trade and Industry (MITI) is leading efforts in determining how we will respond to the United States (US) in this instance," he said, adding that the GDP forecast would be revised based on the final outcome.
Asean’s Indochina member states were the hardest hit by the tariffs, with Cambodia facing combined baseline and retaliatory duties totalling 49 per cent, followed by Laos (48 per cent), Vietnam (46 per cent), and Myanmar (44 per cent).
Thailand was subjected to tariffs of 36 per cent, Indonesia 32 per cent, Brunei and Malaysia both 24 per cent, the Philippines 17 per cent, while Singapore faced a baseline tariff of 10 per cent.
At the Asean level, Amir Hamzah said the 10-member bloc is working collectively to strengthen regional resilience.
"The government will review the analysis and engage with the US and regional partners to explore diversification as a pathway to a more sustainable future,” he said.
Asked whether a ringgit devaluation was being considered to counter the US tariffs, Amir Hamzah said Bank Negara Malaysia’s (BNM) primary objective is to ensure a stable market and maintain price stability.
"As for the ringgit, volatility is not new... but ultimately, a stable and predictable environment supports trade more effectively. That remains our focus,” he said.
At 6 pm, the ringgit weakened to 4.4775/4840 against the US dollar from Friday’s close of 4.4335/4400.
Meanwhile, Amir Hamzah also urged investors not to panic in the face of global financial market volatility, but instead to focus on the long-term opportunities available.
He said phases of uncertainty and market fluctuation are normal, but what matters is for investors to remain committed to building strong institutions for the country’s future.
"In times of market instability, many investors return, as these are moments for making strategic decisions to strengthen their portfolios,” he said.
At 5 pm, the FTSE Bursa Malaysia KLCI fell 60.34 points to 1,443.80 from Friday’s close of 1,504.14.
The local bourse extended its losses and closed sharply lower, with the benchmark index down 4.01 per cent, dragged by weak regional performances amid rising concerns over a trade war.
Regionally, Hong Kong’s Hang Seng Index slumped 13.22 per cent to 19,828.30, Japan’s Nikkei 225 slipped 7.83 per cent to 31,136.58, Singapore’s Straits Times Index declined 7.66 per cent to 3,532.80. - BERNAMA