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Digital Economy Contributed RM427.7 Billion, 23.5% To Malaysia's Economy

Business Today ·  15:59

The Department of Statistics released a report on an overview of the digital economy noting that the ICT and e-commerce industry contributed 23.5 percent to Malaysia's economy with a value of RM427.7 billion in 2023. The performance it reported was driven by the GVAICT at 13.8 per cent and e-commerce from non ICT industries, 9.6 per cent. The ICT and e-commerce recorded a moderate growth of 3.9 percent as compared to 14.3 per cent in the previous year.

PERFORMANCE OF INFORMATION AND COMMUNICATION SERVICES

There were 18,903 establishments operating in this subsector in 2022, with an annual growth rate of 13.1 per cent as against 2015 (8,008 establishments). In 2022, the gross output amounted to RM190.1 billion, an increase of RM65.5 billion compared to 2015, with an annual growth rate of 6.2 per cent. Concurrently, intermediate input also increased by RM25.5 billion to reach RM87.5 billion, recording an annual growth rate of 5.0 per cent. This resulted in value added of RM102.7 billion in 2022 (2015: RM62.6 billion). The number of persons engaged were 250,509 persons compared to 203,017 persons in 2015, representing an annual growth rate of 3.0 per cent. In line with the increment, total salaries & wages in 2022 grew by 7.5 per cent to RM19.3 billion (2015: RM11.7 billion). Meanwhile, the fixed assets owned by establishments in the Information and Communication Services amounted to RM114.0 billion in 2022 (2015: RM82.8 billion), with an annual growth rate of 4.7 per cent.

QUARTERLY PERFORMANCE OF E-COMMERCE INCOME BY ESTABLISHMENTS

Malaysia's e-commerce income by establishment recorded a growth of 3.8 per cent year-on-year in the third quarter of 2024, to reach RM307.9 billion. This was primarily driven by Manufacturing and Services sectors. In the previous year, e-commerce income for 2023 amounted to RM1.2 trillion, rose 4.9 per cent growth compared to the previous year.

PERFORMANCE OF E-COMMERCE

A total of 78,236 establishments engaged in e-commerce transactions were recorded, from the overall 1,091,867 establishments in 2022 (2015: 47,556 establishments). Income from e-commerce transactions in Malaysia reached RM1,126.9 billion in 2022, compared to RM398.2 billion in 2015 with an annual growth rate of 16.0 per cent. Expenditure recorded from e-commerce transactions in 2022 amounted to RM531.6 billion, an increase from RM195.1 billion in 2015, with an annual growth rate of 15.4 per cent.

USAGE OF ICT

95.9 per cent of establishments enumerated in the reference year 2022 used computers (including personal computers, laptops, and tablets), while 93.3 per cent of establishments utilised internet access. W.P. Kuala Lumpur recorded the highest percentage of computer and internet usage by establishments, with 99.8 per cent and 99.6 per cent, respectively. Meanwhile, in 2023, the percentage of individuals using computers was recorded at 80.4 per cent, while access to the internet reached 97.7 per cent. W.P. Putrajaya recorded the highest percentage of computer usage and internet access by individuals, with 97.7 per cent and 99.9 per cent, respectively.

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