Economic census shows tech growth and changing consumer trends

by AKMAR ANNUAR

MALAYSIA has maintained its position as one of the most robust and stable economies in the ASEAN region, ranking fifth among ASEAN member countries in 2022.

Department of Statistics Malaysia (DOSM) Chief Statistician Datuk Seri Dr Mohd Uzir Mahidin said with a GDP at current prices of US$407 billion (RM1.88 billion) Malaysia outperformed the Philippines, Myanmar, Cambodia, Brunei and Laos.

“This impressive performance was driven by sustained domestic demand, a resilient labour market recovery and the strengthening of the ringgit,” he said during the launch of Malaysia’s Economic Census All Sectors 2023 report today.

On a per capita basis, Malaysia recorded a GDP of US$11,993, the third highest in ASEAN after Singapore and Brunei.

Mohd Uzir said the country attracted US$16.9 billion in foreign direct investment (FDI), ranking fourth in ASEAN, following Singapore, Indonesia and Vietnam.

Malaysia’s significance on the global investment radar is bolstered by macroeconomic stability, a productive workforce, modern infrastructure, technology-driven policy approaches and a strategic geographic location.

Malaysia’s competitiveness in the ASEAN region is further underlined by its export performance, he added.

In 2022, the country recorded exports worth US$313.2 billion, ahead of the Philippines, Cambodia and Vietnam, ranking fifth among the top exporters in ASEAN.

The electrical and electronics sector, alongside commodities, played a significant role in this achievement.

One notable sector contributing to this economic dynamism is the animal care industry, which has seen substantial growth.

The number of establishments in this industry rose from 259 in 2015 to 324 in 2022, marking a 25% increase.

The gross output for the animal care sector grew by 11.8%, reaching RM38.5 million and generating an added value of RM17.7 million with an annual growth rate of 8.7%.

Mohd Uzir said Selangor leads with 117 establishments, followed by Kuala Lumpur with 56.

“Sales of aquarium fish, birds and pets also saw a 1.4% annual increase, with 2,431 establishments reported. Veterinary services surged from 224 establishments in 2015 to 401 in 2022, reflecting an 8.7% annual growth rate,” he said.

Additionally, the urban lifestyle and self-service laundry sector have also seen notable growth, catering to busy city dwellers, Mohd Uzir noted.

The number of establishments in the textile washing and dry-cleaning industry rose from 2,296 in 2015 to 3,964 in 2022, with a compound annual growth rate (CAGR) of 8.1%.

This sector’s added value reached RM500 million in 2022, demonstrating its rapid expansion.

Mohd Uzir also said quasi corporations in Malaysia have generated impressive revenue, exceeding RM7 billion in 2022.

More than 99,000 drivers were involved in e-hailing services, contributing approximately RM3 billion.

Major platforms such as Grab, inDriver and Maxim have driven this growth. Home-based services, particularly home baking, have also flourished, with over 275,000 individuals generating more than RM4 billion annually.

These trends highlight the expanding service sector and its potential for future growth.

“The 2023 Economic Census reveals several important trends indicating dynamic economic shifts within seven years.

“The data showcases how businesses adapt to global trends and technological advancements, reflecting significant changes in consumption, trade and expenditure patterns,” he said.

Technological and digitalisation growth has been substantial, with wireless telecommunication services increasing by 12.5% compared to 2015.

Non-residential building construction activities related to data centres grew by 35.4%, driven by the rise in data centres.

The battery and accumulator manufacturing industry also saw an increase, capitalising on global trends.

Consumer preferences have played a pivotal role in the economy’s growth.

Industries such as durian, bird nests and bee production have reached new heights due to increasing global demand.

Additionally, the coffee café culture has led to a surge in market players, with 5,021 establishments contributing an RM1.9 billion value added in 2022.

The homestay industry has become increasingly popular, offering flexible and personalised accommodation options, growing by 79.3% over seven years.

Conversely, certain industries have faced persistent slowdowns. VCD/DVD repair and maintenance services, local garment sewing, mining site preparation and rubber tree planting have experienced declines, reflecting changing consumer preferences and technological advancements.

The publication of the “Economic Census All Sectors, Malaysia, 2023”, was launched today at an event attended by over 500 participants, including representatives from various government agencies.

It was officiated by Economy Minister Rafizi Ramli and Economy Ministry Secretary General Datuk Nor Azmie Diron.

Rafizi said DOSM plans to implement the 2026 Economic Census for the reference year 2025, aiming to provide current economic data to measure the achievements of 12th Malaysian Plan (MP) and set the baseline for 13th MP.

“The 2023 Census findings highlight the importance of data-driven policy and economic planning to ensure sustainable and inclusive growth for Malaysia’s future,” he said in his speech.

Moreover, the government has declared Oct 20 as National Statistics Day (MyStats Day), with the theme “Statistics is the Essence of Life”.

DOSM celebrates its 75th Diamond Jubilee this year, marking a milestone in its commitment to providing superior statistical services to all Malaysians.