Regional Impact as Anwar Ibrahim steps up as ASEAN Chair in 2025

2025 will be an exciting year as Anwar Ibrahim, Malaysia’s current Prime Minister takes on ASEAN’s top position. Malaysia has an opportunity to shape regional policy directions. Anwar’s leadership will likely emphasise economic cooperation, inclusive growth, and stability in the region—priorities he has long advocated domestically.

For Malaysia, this presidency could open doors to enhanced bilateral trade and investment agreements with ASEAN members, potentially boosting Malaysia’s economic stature and appeal as an investment destination, this will indistinctly boost the economy and property in general.

The Three Key Strategies for Asean Chairmanship in 2025 by Prime Minister Datuk Seri Anwar Ibrahim during the 44th Asean Summit Plenary Session recently was on the focus on advancing trade, investment, and regional growth:

1)    Bolstering Regional Value Chains and Regulatory Cooperation - expand trade and investment linkages and foster digital transformation through the regions.

2)    Strengthening Member Countries’ Fundamentals - by enhancing individual economic stability and capacit

3)   Reinventing, Restructuring, and Recalibrating Economies - Leverage the unique strengths from each member countries to achieve progress

These strategies aim and will position ASEAN  for sustained growth and resilience.

What's the impact for Malaysia and regions as a whole ?

With a strong focus on economic development and regional partnerships, let's look at the indirect impact on Malaysia’s with Anwar as the head of Chair.

Increased Foreign Investment: ASEAN’s interconnected economic policies are likely to stimulate foreign direct investment (FDI). More FDI into Malaysia would drive demand for commercial and industrial properties, particularly in sectors such as logistics, manufacturing, and technology.

Infrastructure Expansion: A focus on regional infrastructure could result in new develop

ments within Malaysia, which would benefit the property market. As connectivity improves with railways, highways, and ports, previously underdeveloped areas could become attractive for both residential and commercial development.

Demand for Commercial Real Estate: Enhanced trade and digital economy growth would likely increase demand for office spaces, data centers, and logistics hubs. This shift could open up investment opportunities in strategic areas within Malaysia, such as Greater Kuala Lumpur, Penang, and Johor Bahru.

Residential Property Market Dynamics: Economic growth typically boosts the residential market, esp

ecially in urban areas where economic activities are concentrated. Foreign investors, expatriates, and high-income Malaysians may seek new high-rise developments, while younger buyers might look for affordable options as the job market expands.

ASEAN’s significance remains strong, but its priorities are shifting. Malaysia’s leadership could refocus ASEAN on economic collaboration, digital integration, and sustainable growth. Malaysia’s presidency under Anwar could bring fresh ideas for tackling these issues, ensuring ASEAN stays relevant in the fast-evolving global landscape.

The ASEAN region continues to evolve and is an exciting one for 2025!