Services sector posts RM441.3b revenue in 2Q19


THE total revenue of the services sector in the second quarter of 2019 (2Q19) is recorded at RM441.3 billion, posting a year-on-year (YoY) growth of 6.5%.

According to the Department of Statistics Malaysia, the total number of persons engaged with this sector summed up to 3.77 million, an increase of 2.6% versus the previous year.

Salaries paid in the sector were RM25.2 billion, also posting a YoY increase as much as 4.4%.

The growth is attributed to the high contribution of whole and retail trade, food and beverages (F&B) and accommodation subsectors, which grew YoY by 6.4% up to RM349.3 billion.

There was a 3% growth in persons engaged to 2.82 million while salaries and wages paid were at RM14.9 billion.

The information and communications technology (ICT); and transportation and storage segments also recorded higher contribution with an increase in revenue by 6.9% to RM65.9 billion, which engaged with 481,282 persons during the 2Q19 and an increase of 3.4% in salaries and wages paid to RM5.3 billion.

Other segments posting an increase are health, education and arts; and entertainment and recreation, which posted revenue of RM16.4 billion, driven by education and health.

The professional and real estate segment increased 9.9% YoY in revenue to RM9.7 billion, driven by its professional subsector.

Overall, the volume index of the services sector displayed an upward trend of 6.4% to 126.5 points during the 2Q19, where the seasonally adjusted volume index edged upwards by 1.2% to 127.2 points.

The highest contributors — wholesale and retail trade, F&B and accommodation segments — rose by 6.6%, which was led by the F&B subsector.

The business services and finance segment also registered a YoY increase of 6.2%, which was reflected by — professional, scientific and technical; and administrative and support services subsectors.

In addition, the segments of ICT, and transportation and storage grew YoY by 6.4%, led by transportation and storage subsectors.

Also portraying an upward trend were other services which rose 6%, stimulated by the active performance of arts, entertainment and recreation, personal services and other activities subsectors at 7.4%.