Malaysia’s economy grew 6% year-on-year in the second quarter of 2026, beating an initial estimate of 5.8% and accelerating from 5.4% in the first quarter. The stronger performance was driven by a rebound in mining and quarrying, faster growth in manufacturing and services, firmer household and government spending, and a positive contribution from net trade (the gap between exports and imports). On a quarter-on-quarter basis, GDP rose 2.5%, the fastest pace since Q2 2020, after flat growth in Q1. Mining and quarrying jumped 9.2% from a 2.1% contraction in the previous quarter, led by a 19.3% surge in natural gas production. Manufacturing growth accelerated to 7.3% from 5.9%, while services edged up to 5.9% from 5.6%. Construction slowed to 6.5% from 7.7%, and agriculture shrank 3.7% after growing 2.6%, mainly because of declines in oil palm and fishing. On the demand side, household consumption rose 4.8% and government spending increased 7.6%. Exports climbed 17% while imports rose 13.9%, helping net trade support overall growth, although gross fixed capital formation (spending on long-term assets) slowed to 4.6% from 7.3%.