KUALA LUMPUR, Oct. 7 -- Malaysia's economy is projected to expand by 4.1 per cent in 2026, as private consumption - its main growth driver - continues to cool amid global trade uncertainties triggered by tariff volatility, according to the World Bank.

World Bank Malaysia lead economist Apurva Sanghi said domestic demand is expected to ease to 4.7 per cent next year, down from the 5.2 per cent projected for 2025, reflecting a five-year trend of slowing consumer spending.

Malaysia's economy is forecast to grow at a moderate 4.1 per cent this year, in line with official projections ahead of the Budget 2026 tabling this Friday.

Exports - another key pillar of growth - saw strong momentum this year due to frontloading, as businesses rushed ...