India and Malaysia
Palm oil, technology, transport and a Malaysian community of Indian origin connect both countries. Their recent agenda combines maritime cooperation, digital payments and an expanded strategic partnership.
Analysis reviewed: 2026-10-07 · Indicators updated: 2026-10-07Social ties predating modern diplomacy
India established relations with the Federation of Malaya in 1957.
Palm oil, industrial chains and market access
Malaysia is an important palm oil supplier to India.
Bilateral indicators
Blank cells: data unavailable.
| Indicator | Value | Period |
|---|---|---|
| Goods trade | 18,762.66 M USD | 2025 · UN Comtrade / IND |
| Goods: India to Malaysia | 6,338.56 M USD | 2025 · UN Comtrade / IND |
| Goods: Malaysia to India | 12,424.11 M USD | 2025 · UN Comtrade / IND |
| Services trade | ||
| Export share: India to Malaysia | 1.42 % | 2025 · UN Comtrade / IND |
| Export share: Malaysia to India | ||
| Investment stock: India in Malaysia | ||
| Investment stock: Malaysia in India |
Definitions and sources
Trade adds both directions. Shares refer to the country’s total goods exports; investment is an accumulated stock, not an annual flow. Every figure retains the currency and period of its source. BEA positions are historical-cost estimates based on the immediate counterpart, not market values or investment by ultimate owner. ‘More than’ indicates a lower bound, not an exact amount. A recorded stock does not establish new activity or authorisation to operate under sanctions.
- Goods trade
- 2025 · UN Comtrade / IND · Goods; full year; IND reporter. Exports normally FOB and imports CIF according to the reporter's coverage. No addition of mirror reports.
- Goods: India to Malaysia
- 2025 · UN Comtrade / IND · Goods; full year; IND reporter. Exports normally FOB and imports CIF according to the reporter's coverage. No addition of mirror reports.
- Goods: Malaysia to India
- 2025 · UN Comtrade / IND · Goods; full year; IND reporter. Exports normally FOB and imports CIF according to the reporter's coverage. No addition of mirror reports.
- Export share: India to Malaysia
- 2025 · UN Comtrade / IND · Goods share: IND exports to the partner / the same reporter's exports to the world, same year.
Country comparison
Period and source beside each figure · est. = estimate by the stated institution.
Some annual indicators refer to different years. Check the period beside each value before comparing them.
| Indicator | India | Malaysia |
|---|---|---|
| Nominal GDP | 3.96 trillion USD2025 · WB | 472.19 billion USD2025 · WB |
| GDP per capita | 2,702.48 USD2025 · WB | 13,124.56 USD2025 · WB |
| GDP growth | 7.57 %2025 · WB | 5.17 %2025 · WB |
| Policy interest rate | 5.25 %2026-10-06 · RBI | |
| Inflation · annual average | 2.4 %Annual average · 2025 · WB | 1.38 %Annual average · 2025 · WB |
| Inflation · latest year-on-year figure | 4.82 %provisionalprovisionalYear-on-year · Aug. 2026 · MoSPI | |
| Unemployment | 4.22 %ILO est.2025 · WB | 3.76 %ILO est.2025 · WB |
| Budget balance (% of GDP) | -7.4 %IMF est.2025 · IMF | -3.5 %IMF est.2025 · IMF |
| Gross public debt (% of GDP) | 84.1 %IMF est.2025 · IMF | 70.7 %IMF est.2025 · IMF |
| Current account balance (% of GDP) | -0.42 %2025 · WB | 1.69 %2024 · WB |
| Population | 1,463,865,5252025 · WB | 35,977,8382025 · WB |
| Area | 3,287,260 km²2023 · BM / FAO | 330,411 km²2023 · WB |
| Military expenditure | ||
| Military expenditure (% of GDP) |
Definitions, dates and sources
Blank cells are not zero. Average annual inflation and the latest year-on-year figure appear in separate rows: they are not the same measure. Every annual indicator retains its reference year; when the years differ, the figures are identified as not directly comparable. When a figure is unavailable from the World Bank, an annual IMF estimate is used and identified as such. The latest year-on-year figure is the latest official release verified as of 7 October 2026. This includes advance releases marked as provisional. Mexico may have a fortnightly figure before the full month is published; it is not automatically compared with a monthly figure. The publication date is retained in each source’s details; it does not replace the observation period or the annual average. Policy rates carry their own dates and represent different instruments. Spain and France share the ECB rate. Balances are positive for surpluses and negative for deficits. The IMF may use fiscal years; unemployment retains each source’s definition (ILO estimates, IMF WEO or PCBS), as stated in the details. For Palestine, debt and the fiscal balance cover central government and retain the PCBS definition; they are not presented as consolidated general government. These are economic magnitudes, not measures of relationship quality.
Area retains each source’s territorial coverage; it does not determine sovereignty or effective control. Canada uses an archived national geographic reference. Military expenditure retains the 2024 SIPRI sample distributed by the World Bank: the amount and percentage of GDP use that same definition, which differs from NATO’s. It is not an approved budget or a 2026 figure. Information from the Stockholm International Peace Research Institute (SIPRI). Military expenditure database · Terms of use0
Indicators reviewed: 2026-10-07. Each source retains its original access date; this review does not turn all the data into 2026 observations. Figures may be revised.
- Nominal GDP
- Current USDIndia: 2025 · World BankMalaysia: 2025 · World Bank · Official World Bank series. Observation year, not download date.
- GDP per capita
- Current USD per personIndia: 2025 · World BankMalaysia: 2025 · World Bank · Official World Bank series. Observation year, not download date.
- GDP growth
- Annual real change (%)India: 2025 · World BankMalaysia: 2025 · World Bank · Official World Bank series. Observation year, not download date.
- Policy interest rate
- Central bank instrument (%)India: 2026-10-06 · RBI policy repo rate · Reserve Bank of India (RBI) · Access date for Current Rates; does not represent a new decision on 6 October. · Alternative official source; verified 2026-10-06
- Inflation · annual average
- Average annual change in headline CPI (%)India: 2025 · Average annual CPI change (%) · World BankMalaysia: 2025 · Annual average change in the CPI (%) · World Bank · Official World Bank series. Observation year, not download date.
- Inflation · latest year-on-year figure
- Headline CPI relative to the same period of the previous year (%); monthly or fortnightly frequency statedIndia: 2026-08 · Headline CPI change relative to the same month of the previous year (%) · MoSPI / Press Information Bureau, Government of India · Published: 2026-09-14 · provisional · Provisional · Combined rural and urban headline CPI, 2024 base; provisional MoSPI figure. Not food or wholesale inflation. Provisional figure or official advance release; subject to revision.
- Unemployment
- % of the labour force; definition used by the stated institutionIndia: 2025 · World Bank · ILO est.Malaysia: 2025 · ILO modelled estimate; percentage of the labour force · World Bank · ILO est. · Official World Bank series. Observation year, not download date.
- Budget balance
- General government (% of GDP)India: 2025 · IMF — World Economic Outlook · IMF est.Malaysia: 2025 · IMF · IMF est. · WEO general-government estimate, % of GDP. Not an observed balance for the current month.
- Gross public debt
- General government (% of GDP)India: 2025 · IMF — World Economic Outlook · IMF est.Malaysia: 2025 · IMF · IMF est. · WEO general-government estimate, % of GDP. Not an observed balance for the current month.
- Current account balance
- % of GDPIndia: 2025 · World BankMalaysia: 2024 · World Bank · Official World Bank series. Observation year, not download date.
- Population
- PeopleIndia: 2025 · World BankMalaysia: 2025 · World Bank · Official World Bank series. Observation year, not download date.
- Area
- Total area in km²; territorial coverage of the sourceIndia: 2023 · Total area including inland waters; territorial coverage of the source · World Bank · FAOMalaysia: 2023 · World Bank · Official World Bank series. Observation year, not download date.
- Military expenditure
- Current USD per year; SIPRI series
- Military expenditure (% of GDP)
- Percentage of GDP; SIPRI definition, not NATO’s definition
Other data specific to this relationship
What they buy and sell
Documented selection, not an exhaustive list. Cells without a figure do not mean zero value; some products are identified without a verified amount.
India to Malaysia
| Product or sector | Value / share |
|---|---|
| Mineral fuels and oils | 1,427.4 M USD2025 · Source |
| Machinery and mechanical appliances | 704.4 M USD2025 · Source |
| Electrical and electronic equipment | 197.7 M USD2025 · Source |
| Animal or vegetable fats and oils | 106.4 M USD2025 · Source |
Malaysia to India
| Product or sector | Value / share |
|---|---|
| Animal or vegetable fats and oils | 3,009.3 M USD2025 · Source |
| Electrical and electronic equipment | 1,828.6 M USD2025 · Source |
| Machinery and mechanical appliances | 1,411.7 M USD2025 · Source |
| Mineral fuels and oils | 578.2 M USD2025 · Source |
How trade has changed
Billions of current USD · full calendar years
View chart figures
| Period | Total | India to Malaysia | Malaysia to India |
|---|---|---|---|
| 2021 | 18,794.1 | 6,704.3 | 12,089.8 |
| 2022 | 20,732.9 | 7,190.5 | 13,542.4 |
| 2023 | 19,233.6 | 6,677.7 | 12,555.9 |
| 2024 | 20,064 | 8,042.7 | 12,021.2 |
| 2025 | 18,762.7 | 6,338.6 | 12,424.1 |
Connections between people
The community of Indian origin, students, tourists and professionals have different definitions. Ancestry is not used as a census of foreigners, and the thirty-day entry facility does not grant residence or a work permit. [2]
Residents, study and travel
Blank cells: data unavailable. Each measure retains its definition and period.
| Indicator | Value | Period / source |
|---|---|---|
| Residents from India living in Malaysia | ||
| Residents from Malaysia living in India | ||
| Study and training: India in Malaysia | ||
| Study and training: Malaysia in India | ||
| Academic stays: India in Malaysia | ||
| Academic stays: Malaysia in India | ||
| Travel: India to Malaysia | ||
| Travel: Malaysia to India |
What each figure measures
Residents are counted by nationality and the coverage of the stated register, not as people born in the other country or as new arrivals in one year. PERE includes dual nationals and people born outside Spain. Study with OPT and stays carrying academic credit are different measures. Travel may include several visits by the same person; FRONTUR arrivals require an overnight stay, whereas the Canadian survey includes day visits. These figures are neither added together nor automatically compared across directions.
Mobility data added or reviewed: 2026-10-07. Reference periods may be earlier.
Underlying ties
History, institutions and long-standing issues.
Social ties predating modern diplomacy
India established relations with the Federation of Malaya in 1957. The partnership evolved in 2010 and 2015 and expanded to a comprehensive strategic partnership in August 2024. Contacts rest on a multigenerational Malaysian community of Indian origin and cultural and religious ties. MEA distinguishes people of Indian origin from the diaspora in a broader sense: they are not categories interchangeable with resident Indian citizens. Current diplomacy includes commissions, consultations and parliamentary contacts. That social continuity gives the relationship depth without preventing specific differences on regional policy or trade access. [1] [2]
Palm oil, industrial chains and market access
Malaysia is an important palm oil supplier to India. The February 2026 declaration proposes value-chain collaboration, more highly processed products and resolving market access problems. The bilateral MICECA agreement and ASEAN–India goods agreement offer different and complementary frameworks. The governments also highlight semiconductors, manufacturing and cooperation between industrial associations and training institutions. This profile's customs selection separates oils, fuels, machinery and electronics to show specific products. Sanitary barriers, rules of origin and each market's conditions remain important alongside sales value. [2]
Maritime security and payment connections
Defense contacts include visits, exercises, training and a cooperation committee. The 2026 declaration cites a strategic affairs group and a forum on the Su-30 aircraft used by both countries. This is technical and institutional cooperation, not a guarantee of automatic military intervention. In the civilian sphere, the Malaysia–India Digital Council and NIPL–PayNet collaboration seek to link payments and facilitate transactions for tourists, students and small businesses. Settlement mechanisms in rupees and ringgit are another channel. The announcement of financial connections does not demonstrate that every bilateral payment already uses those systems. [2]
The scale of the two economies
India's reference nominal GDP is 3956.1 billion USD in 2025, compared with 472.2 in 2025 for Malaysia. The reference populations are 1463.87 million (2025) and 35.98 million (2025), respectively. In the same year, India's nominal GDP was 8.38 times Malaysia's. The figures contextualize market size; they do not in themselves describe well-being, individual wealth or political influence. IMF estimates or demographic extrapolations retain their markings in the table. A ratio is not calculated when the periods do not match. [5] [6] [7] [8]
Recent developments
Recent developments and latest available data · Reviewed: 2026-10-07
The February 2026 visit and mobility
The Indian prime minister's visit on 7 and 8 February 2026 reviewed energy, technology, education, trade and security. The tenth CEOs' business forum was also held. Malaysia appears in the MEA register with a thirty-day visa-free entry facility for covered Indian citizens until 31 December 2026; requirements and scope must be checked before travel. Cooperation in renewables and specialist training is presented as an agenda with its own projects. Communities of Indian ancestry are not counted as new annual arrivals or as all tourists of Indian origin. [2] [3]
Observed economic exchange
In 2025, recorded goods trade between India and Malaysia totaled 18,762.7 million USD. India's shipments to Malaysia were USD 6338.6 million; shipments in the opposite direction were USD 12,424.1 million. India's shipments to the partner represented 1.42% of its goods exports to the world, using the same year and reporter. A single customs declaration is used for both directions. This annual flow does not include all services activity or subsidiaries' local sales and is not added to accumulated investment capital. [4]
Milestones and consequences
- 1957
Diplomatic relations
Relations are established with the Federation of Malaya. [1]
- 2015
Expanded strategic partnership
New phase of the political framework. [1]
- 2024-08
Comprehensive strategic partnership
The Malaysian visit to India elevates the bilateral framework. [1]
- 2026-02-08
Visit and joint declaration
Palm oil, technology, security and mobility are reviewed. [2]
Sources and data
Periods and scope of the figures
Each figure retains its period, unit, definition and source. Announcements, contracts and results are not interchangeable. Empty cells do not mean zero. Customs data for 2025 are not presented as activity observed during later crises.
- India–Malaysia bilateral report
India MEA · Institutional source · Accessed: 2026-10-07
- India–Malaysia declaration of February 2026
Prime Minister’s Office India · Institutional source · Document: 2026-02-08 · Accessed: 2026-10-07
- Visa arrangements for Indian citizens
India MEA · Institutional source · Accessed: 2026-10-07
- Annual TOTAL X/M; 2025; reporter 699; partners 0,710,458
UN Comtrade / IND · Institutional source · Accessed: 2026-10-07
- Official statistics
World Bank · Institutional source · Accessed: 2026-09-17
- NY.GDP.MKTP.CD; ISO and reference year; no military dataset expansion
World Bank · Institutional source · Accessed: 2026-10-07
- Official statistics
World Bank · Institutional source · Accessed: 2026-10-06
- SP.POP.TOTL; ISO and reference year; no military dataset expansion
World Bank · Institutional source · Accessed: 2026-10-07
- HS2 27; 2025; reporter 699; partners 710,458; X/M; annual goods
UN Comtrade / IND · Institutional source · Accessed: 2026-10-07
- HS2 15; 2025; reporter 699; partners 710,458; X/M; annual goods
UN Comtrade / IND · Institutional source · Accessed: 2026-10-07
- HS2 84; 2025; reporter 699; partners 710,458; X/M; annual goods
UN Comtrade / IND · Institutional source · Accessed: 2026-10-07
- HS2 85; 2025; reporter 699; partners 710,458; X/M; annual goods
UN Comtrade / IND · Institutional source · Accessed: 2026-10-07
Additional sources on products and human connections
- UN Comtrade / IND
2026-10-07 · Accessed: 2026-10-07 · HS2 27; 2025; reporter 699; partners 710,458; X/M; annual goods.
- UN Comtrade / IND
2026-10-07 · Accessed: 2026-10-07 · HS2 84; 2025; reporter 699; partners 710,458; X/M; annual goods.
- UN Comtrade / IND
2026-10-07 · Accessed: 2026-10-07 · HS2 85; 2025; reporter 699; partners 710,458; X/M; annual goods.
- UN Comtrade / IND
2026-10-07 · Accessed: 2026-10-07 · HS2 15; 2025; reporter 699; partners 710,458; X/M; annual goods.