Forecast: Defence Final Consumption Expenditure in Malaysia

As of 2023, Malaysia's Defence Final Consumption Expenditure stood at 13.14 Billion Malaysian Ringgits. The forecasted data for 2024 indicates a value of 12.76 billion, a decrease of approximately 2.9% year-on-year. This declining trend is expected to continue, with values projected to decrease to 12.38 billion for 2025 (-3.0% YoY), 12.0 billion for 2026 (-3.1% YoY), 11.63 billion for 2027 (-3.1% YoY), and 11.26 billion for 2028 (-3.2% YoY). The Compound Annual Growth Rate (CAGR) over these five years is an average decline of about 3.1% annually.

Future trends to watch for in Malaysia’s defense expenditure include potential geopolitical shifts in Southeast Asia, technological advancements in defense, and changes in national budget allocations. These factors could significantly impact the forecasted expenditures, either mitigating or exacerbating the current downward trend.