Middle East conflict puts Malaysian SMEs under growing financial pressure - BNM

MALAYSIAN SMEs and selected business sectors are coming under growing financial pressure from the Middle East conflict as higher energy, logistics and input costs squeeze margins and cash buffers, although the country's financial system remains resilient, Bank Negara Malaysia (BNM) said.

The central bank said Malaysia's deep integration with global trade and financial markets meant the conflict could generate significant spillovers, primarily through indirect channels despite limited direct financial exposure to the Middle East.

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