Articles

Malaysia Money & Credit - 3 February 2026

M3 surged in December, but loan growth slips to 26‑month low

Broad money (M3) growth expanded to 4.1% YoY (Nov: 3.9%) in December, after it dipped to a four-month low in the previous month

  • Key drivers: Growth was driven mainly by a surge in demand deposits (10.3%; Nov: 7.5%), contributing 2.1 ppts (Nov: 1.5%) to overall M3 growth. However, the momentum was partially capped by slower foreign currency deposits (2.2%; Nov: 6.7%).
  • MoM (1.6%; Nov: 0.1%): It’s highest since March 2018, adding RM41.3b, the largest monthly increase on record.