Federal government debt-to-GDP ratio rises to 65.2 per cent in 2025
Statutory debt stood at RM1.295 trillion, while the statutory debt ratio remained below its 65 per cent limit, according to the National Audit Department.
Federal Government debt reached 65.2 per cent of Gross Domestic Product (GDP) in 2025, according to the National Audit Department (JAN). The ratio was 64.5 per cent in 2024, with JAN reporting an increase of 0.7 percentage points.
Separately, JAN put statutory debt for 2025 at RM1.295 trillion in its statement on the Auditor General’s Report (LKAN) 2/2026. This comprised Malaysian Government Securities, Malaysian Government Investment Issues and Malaysian Islamic Treasury Bills.
JAN said the statutory debt ratio had risen from 62 per cent to 63.9 per cent since 2023, but remained below the ceiling of 65 per cent.
The department cited the Loans (Local) (Statutory Limit on Borrowing) and Government Funding (Statutory Limit on Moneys Received) Order 2022 as the basis for that limit.
