E-commerce to reach RM211b by 2020

Govt facilitating growth of SMEs to expand their presence in the sector and become global players

By D KANYAKUMARI /

The e-commerce segment is expected to reach a value of RM211 billion or 20% of Malaysia’s gross domestic product (GDP) by 2020.

To achieve the target, the government plans to almost double the e-commerce annual growth rate from 10.8% up to 20.8%.

The authorities are focusing on facilitating the growth of small and medium enterprises (SMEs) to expand their presence in the e-commerce sector and become global players.

“It is aimed to encourage the rise of investment, research and development, and adoption of technology to improve the efficiency of an integrated business evolution,” SME Corp said in a statement yesterday.

SME Corp said that Malaysia’s public partnership initiative, the Go Global Malaysia (#MYGoGlobal) led by companies like Google Inc, Alliance Bank Malaysia Bhd, Mastercard Inc and Maxis Bhd, will empower SMEs to boost their business capabilities, connect with digital ecosystem partners, promote exports and grow to be globally competitive companies.

Malaysia has also launched a Digital Free Trade Zone (DFTZ) which will provide physical and virtual zones to promote digital economy growth and cross-border e-commerce activities.

“The implementation of DFTZ will benefit Malaysia under the National e-Commerce Strategic Plan activities with expected contribution of more than US$48.7 billion (RM211 billion) of GDP by 2020,” it said.

The statement was issued following Malaysia facilitating Malaysian SMEs during the 24th APEC SMEs Ministerial Meeting in Ho Chin Minh, Vietnam, from Sept 10 to Sept 15.

The Malaysian delegation was led by International Trade and Industry Deputy Minister Datuk Chua Tee Yong.