Bursa Malaysia rises as buying interest increases amidst 13MP announcement

Bursa Malaysia's FBM KLCI rose 0.40% to 1,533.10 at midday, driven by stronger buying interest following the 13th Malaysia Plan announcement. The market breadth was positive with 414 gainers outpacing 400 losers. Apex Securities expects local institutional funds to cushion market weakness, while corporate earnings and US ISM Services PMI data will provide direction.

Bursa Malaysia's FBM KLCI index rose 0.40% to 1,533.10 at midday on July 2, 2025, driven by stronger buying interest following the announcement of the 13th Malaysia Plan [2]. The market breadth was positive, with 414 gainers outpacing 400 losers. Apex Securities expects local institutional funds to cushion market weakness, while corporate earnings and US ISM Services PMI data will provide further direction.

The 13th Malaysia Plan, unveiled by Prime Minister Anwar Ibrahim on July 31, 2025, is a RM611 billion master plan aimed at transforming Malaysia into a high-income nation by 2030. The plan focuses on aggressive bets on artificial intelligence (AI), semiconductors, and green energy as key growth engines. It earmarks RM430 billion in federal development spending, alongside RM120 billion from state-linked companies and RM61 billion in public-private partnerships [2].

Key priorities include raising per capita income to RM77,200, achieving up to 5.5% GDP growth, and slashing the fiscal deficit to below 3%. The plan also emphasizes strengthening the services, manufacturing, and construction sectors, which drove an average GDP growth of 5.2% from 2021 to 2024. Domestic demand, particularly private consumption and investment, rose 5.7% annually over the same period [2].

The digital economy is expected to generate 500,000 new jobs, with the government aiming to produce 5,000 digital entrepreneurs and extend 5G access to 98% of populated areas. The National Semiconductor Strategy, launched in 2024, aims to move Malaysia beyond chip assembly and into design and front-end manufacturing. The government will partner with semiconductor design company Arm Holdings and tech majors such as Amazon Web Services, Intel, and Infineon [2].

The market's positive sentiment is expected to continue as the plan's implementation progresses. However, investors should remain cautious and monitor the economic indicators closely, as the plan's success will depend on effective public-private collaboration, disciplined governance, and sustained investment [2].

References:
[1] Bursa Malaysia. (2025). Market Data Overview. Retrieved from [https://www.bursamalaysia.com/bm/market_information/market_data_overview](https://www.bursamalaysia.com/bm/market_information/market_data_overview)
[2] Business Times. (2025). Malaysia Rolls Out RM611 Billion Plan to Lift Wages, Cut Deficit, and Power Digital Shift by 2030. Retrieved from [https://www.businesstimes.com.sg/international/asean/malaysia-rolls-out-rm611-billion-plan-lift-wages-cut-deficit-and-power-digital-shift-2030](https://www.businesstimes.com.sg/international/asean/malaysia-rolls-out-rm611-billion-plan-lift-wages-cut-deficit-and-power-digital-shift-2030)