Investment banks and research firms have revised or maintained their 2026 gross domestic product (GDP) forecasts to between 4.5 and 4.7 percent, driven by stronger domestic demand and export growth, as well as ongoing investment realisation.

Kenanga Investment Bank Bhd said it maintained its 2026 GDP growth forecast at 4.5 percent, with upside potential toward 5.0 percent if current momentum holds, with domestic demand to anchor the growth, backed by firm labour-market conditions, rising household incomes, and continued targeted aid.

“The services sector, particularly tourism, should...