Malaysia Unemployment Rate
Unemployment as % of total labor force SL.UEM.TOTL.ZS
Malaysia's unemployment rate was 3.76% in 2025, ranked 63rd globally. This represents a 17.6% increase from 2024. Data from World Bank, covering 1985–2025.
Overview
Malaysia's unemployment rate stood at 3.76% in 2025, a rise of +0.56pp from 2024. The IMF projects 3.00% by 2025. Malaysia ranked 63rd globally.
Malaysia’s unemployment rate has fallen from an early‑year level of 6.89 % in 1985 to a 2025 figure of 3.76 %, ranking it 63rd globally. The all‑time peak of 8.26 % occurred in 1986, reflecting the regional recession triggered by falling commodity prices, while the trough of 2.45 % in 1997 coincided with a period of rapid industrial diversification and strong export growth. Over the 41‑year coverage, the downward trajectory has been steady, narrowing the gap with peer economies such as Germany, whose rate stands at 3.71 %, and Bangladesh at 3.78 %. Structural reforms in labour market flexibility and continued investment in high‑skill sectors have helped sustain the decline. Future movements will likely hinge on the pace of digital transformation and the resilience of tourism and manufacturing to external shocks, suggesting that the rate could edge lower if these sectors expand without generating significant job mismatches.
Data & projection
| Year | Unemployment Rate | YoY change | Rank |
|---|---|---|---|
| 2030* IMF | 3.00% | - | - |
| 2029* IMF | 3.00% | - | - |
| 2028* IMF | 3.00% | - | - |
| 2027* IMF | 3.00% | - | - |
| 2026* IMF | 3.00% | - | - |
| 2025* IMF | 3.00% | - | - |
| 2025 | 3.76% | +0.56pp | #63 |
| 2024 | 3.85% | +0.65pp | #68 |
| 2023 | 3.86% | −0.04pp | #71 |
| 2022 | 3.93% | −0.67pp | #66 |
| 2021 | 4.64% | +0.11pp | #60 |
| 2020 | 4.54% | +1.27pp | #58 |
| 2019 | 3.33% | +0.00pp | #45 |
| 2018 | 3.30% | −0.13pp | #41 |
| 2017 | 3.41% | −0.04pp | #41 |
| 2016 | 3.44% | +0.29pp | #41 |
| 2015 | 3.10% | +0.23pp | #33 |
| 2014 | 2.88% | −0.22pp | #31 |
| 2013 | 3.14% | +0.12pp | #34 |
| 2012 | 3.04% | −0.01pp | #28 |
| 2011 | 3.05% | −0.25pp | #28 |
Detected Pattern
Analysis
Malaysia matched the Export Boom Cycle pattern in 2011. Historically, 71% of countries showing this pattern (546 out of 768) saw unemployment rate improve within 24 months. View full analysis →
Frequently Asked Questions
Malaysia's unemployment rate was 3.76% in 2025. Ranked 63rd globally. This represents a 17.6% increase from the previous year.
Malaysia's unemployment rate peaked at 8.26% in 1986.
The lowest unemployment rate in Malaysia was 2.45% in 1997.
Malaysia ranks 63rd globally in unemployment rate as of 2025.
The World Bank indicator code is SL.UEM.TOTL.ZS. Data sourced from World Bank.
Malaysia's unemployment rate is projected to reach 3.00% by 2025 based on IMF projection.
The unemployment rate of Malaysia in 2025 was 3.76%. This ranks 63rd in the world.
Cite this page
@misc{historysaid_malaysia_unemployment-rate,
title = {Malaysia Unemployment Rate},
url = {https://historysaid.com/malaysia/unemployment-rate/},
publisher = {HistorySaid},
year = {2026}
}