What is the ratio of Malaysian household assets to debt?

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Malaysian Household Financial Assets Significantly Outweigh Debt

As of the end of March 2025, Malaysia's household debt stood at RM1.65 trillion, representing 84.3 per cent of the nation's gross domestic product (GDP). Despite this figure, the overall financial position of the public remains robust, as household financial assets are considerably larger than total debt. Specifically, household financial assets are 2.1 times greater than household debt, providing a substantial buffer.
Robust Financial Asset Buffer

The total value of household financial assets in Malaysia significantly exceeds the aggregate household debt. This substantial difference, with assets being 2.1 times the level of debt, indicates a strong overall financial standing for households. This buffer is crucial for managing financial obligations and maintaining economic stability.
Prudent Lending Practices and Debt Service Ratios

Loans disbursed by financial institutions adhere to the Policy Document on Responsible Financing, established by Bank Negara Malaysia (BNM) in 2012. This framework helps ensure that household debt levels remain manageable. In 2024, the median debt service ratio (DSR) for outstanding loans was 34 per cent, while for newly approved loans, it was 41 per cent, figures considered within prudent levels.
Support for Financially Distressed Borrowers

The government and Bank Negara Malaysia are committed to assisting individuals facing financial difficulties. The Credit Counselling and Management Agency (AKPK) plays a vital role in this regard, offering advisory services and financial management assistance. AKPK has facilitated the complete settlement of loans for over 64,000 borrowers through its Debt Management Programme, with nearly 270,000 active participants currently engaged in financial recovery efforts.

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What is the ratio of Malaysian household assets to debt?

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