MSMEs' GDP Grew 5.7 Pct In 2025, Outpaced Overall Economy -- DOSM
KUALA LUMPUR, July 30 (Bernama) -- Malaysia's micro, small and medium enterprises (MSMEs) gross domestic product (GDP) grew 5.7 per cent in 2025, outpacing the country's overall GDP growth of 5.2 per cent, according to the Department of Statistics Malaysia (DOSM).
In its Micro, Small and Medium Enterprises 2025 publication released today, DOSM said MSMEs' value added rose to RM689.8 billion in 2025 from RM652.8 billion in 2024, accounting for 39.7 per cent of Malaysia's GDP.
DOSM attributed the stronger performance to government initiatives under Budget 2025, including financing facilities, incentives and entrepreneur development programmes aimed at boosting productivity, accelerating digitalisation, technology adoption and innovation, and expanding market access for MSMEs.
The services and manufacturing sectors remained the largest contributors to MSMEs' GDP, accounting for a combined 84.5 per cent, followed by agriculture (8.4 per cent), construction (5.3 per cent) and mining and quarrying (0.5 per cent).
At the sectoral level, the services sector grew 5.7 per cent in 2025, unchanged from the previous year.
Growth in the sector was driven by wholesale and retail trade, food and beverage, and accommodation activities (5.0 per cent); finance, insurance, real estate and business services (6.6 per cent); and transportation and storage, and information and communication (7.7 per cent).
The manufacturing sector expanded 4.8 per cent in 2025, easing from 5.0 per cent in 2024, supported by growth in food, beverages and tobacco (9.6 per cent); other manufacturing (4.7 per cent); and non-metallic mineral products, basic metals and fabricated metal products (4.7 per cent).
Meanwhile, the agriculture sector grew 1.8 per cent in 2025, slowing from 3.1 per cent in 2024, mainly supported by the rubber, oil palm, livestock and other agriculture sub-sectors, which expanded 2.3 per cent.
The construction sector grew 12.0 per cent in 2025, compared with 17.5 per cent a year earlier, while mining and quarrying expanded 4.4 per cent, against 4.8 per cent in 2024.
MSMEs' exports rose 10.5 per cent to RM214.5 billion in 2025, compared with growth of 29.5 per cent in 2024.
The increase was driven by manufacturing and services exports, which grew 8.8 per cent (2024: 7.9 per cent) and 14.0 per cent (2024: 106.6 per cent), respectively.
MSMEs accounted for 14.7 per cent of Malaysia's total exports in 2025. Manufacturing remained the largest contributor, followed by services and agriculture.
Manufacturing exports by MSMEs increased to RM132.7 billion in 2025 from RM122.0 billion in 2024.
-- BERNAMA