Personal loans behind almost half of bankruptcy cases reported in Malaysia in 2025, mostly involving youths

Bankruptcy cases in Malaysia have surged, with personal loans accounting for over half of the cases, and a concerning rise in the number of young people under 30 facing financial ruin.

According to Senator Datuk Sivaraj Chandran, there are an average of 18 bankruptcy cases reported every day in Malaysia.

Nearly 60% of these cases involve individuals under 30.