The Malaysia Construction Market size is estimated at USD 38.55 billion in 2024, and is expected to reach USD 58.10 billion by 2029, growing at a CAGR of 8.55% during the forecast period (2024-2029).
Construction activity in Malaysia has increased for the fifth consecutive quarter, although the growth rate has slowed in the second quarter of 2023.
The construction sector in Malaysia has seen a dramatic expansion, with 9,144 projects launched as of September 2023. The projects represent MYR 63 billion (USD 13.21 billion) of private investment and MYR 84 billion (USD 17.61 billion) of government investment. 91% of the projects were handled by local contractors, demonstrating their expertise in developing Malaysia's infrastructure.
According to budget-2024 Malaysia, the government plans to implement several large-scale projects such as Penang LRT, Sabah and Sarawak Link Road, and the reinstatement of LRT 3. These projects are part of Malaysia’s MYR 90 billion (USD 18.87 billion) development expenditure budget for 2024.
The Malaysian construction market is less competitive due to major international players holding a large share of the total market. Furthermore, the residential and transport construction sectors have a huge potential for growth during the forecasted period, which stimulates opportunities for other market players. Some of the major players in Malaysia's Construction Market are YTL Corporation Berhad, IJM Corporation Berhad, Gamuda Berhad, UEM Group Berhad, and Malaysian Resources Corporation Berhad.
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