Selangor has reaffirmed its position as Malaysia's largest economic driver, contributing a record RM460.1 billion to the national gross domestic product (GDP) in 2025, equivalent to 26.5 per cent of the country's total economic output, up from 26.2 per cent, or RM432.1 billion, in 2024.
The state's economy expanded by RM28 billion in 2025 alone, a valuation increase the state government said was two times greater than that of any other state in Malaysia, making Selangor's economy more than 1.7 times the size of Kuala Lumpur's and 2.7 times that of Johor's. Selangor's growth rate of 6.3 per cent for the year also outpaced the national growth rate of 5.2 per cent.
Officials attributed the performance to three key sectors: services, manufacturing and construction. The services sector expanded by RM15.9 billion, taking its share to 27.1 per cent of the national services sector, while manufacturing grew by RM5.3 billion to account for 32.8 per cent of Malaysia's total manufacturing output.
Construction recorded the sharpest relative dominance, with Selangor responsible for 35.9 per cent of all construction activity nationwide following a sectoral expansion of RM3.7 billion.
The gains were credited largely to the First Selangor Plan (RS-1), a five-year socio-economic development blueprint covering 2021 to 2025. Under the plan, the state's economy grew by 33.94 per cent, from RM343.5 billion in 2021 to RM460.1 billion in 2025, exceeding earlier projections of RM455.3 billion made by the Selangor Research Institute and Universiti Putra Malaysia.
Beyond macroeconomic indicators, the state highlighted a broader ecosystem of innovation and human capital development, citing high-tech initiatives such as the IC Design Park and the state's electrical and electronics manufacturing industry.
Grassroots economic participation has also been supported through programmes including PLATS, aimed at hawkers in the food and beverage sector, and Jobcare, which facilitates employment for the local workforce.
The Menteri Besar said the achievement belonged to all Selangor residents, from technicians and civil servants to the private industries that continue to invest in the state.
Looking ahead, the state government said it aims to remain at the forefront of the national economy with the upcoming Second Selangor Plan (RS-2), scheduled for tabling in August, setting a target to become the first Malaysian state to reach an economic value of RM500 billion.
Officials said the administration would continue to prioritise quality of life and cost of living issues as it works to translate macroeconomic success into tangible benefits for residents.
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