Malaysian businesses are increasingly concentrating on domestic market opportunities, with 75% identifying it as their primary growth area, according to the ASEAN Consumer & Business Pulse Survey 2026. Conducted by Reeracoen Group and Rakuten Insight, the survey highlights a strategic shift in response to inflation and cost pressures.
The survey reveals that 36% of Malaysian businesses are adopting a selective hiring approach, whilst 16% are boosting investments. Yohei Yagi, Country Manager of Reeracoen Malaysia, noted that companies are aligning hiring decisions with long-term priorities, focusing on operational efficiency and growth capabilities.
Investment trends mirror this cautious approach, with 46% of businesses maintaining current investment levels. This domestic-first strategy sets Malaysia apart from its ASEAN counterparts, as firms navigate higher costs and evolving economic conditions.
On the consumer front, 88% of Malaysians report more cautious spending, influenced by rising food, fuel, and transport costs. Additionally, 54% are seeking extra income sources, and 41% are increasing savings. Collin Leow, Country Director at Rakuten Insight, remarked that the findings indicate a pragmatic adaptation to economic changes, with both businesses and consumers prioritising domestic opportunities and operational discipline.
The survey underscores a measured growth strategy, focusing on local opportunities and financial prudence.
