Services Sector Revenue Up 6.3 Pct To Record High Of RM2.4 Trillion In 2024 - DOSM

KUALA LUMPUR, Feb 12 (Bernama) -- Malaysia’s services sector revenue surged 6.3 per cent to a new high RM2.4 trillion in 2024 compared with RM2.3 trillion in the previous year, said the Department of Statistics Malaysia (DOSM) today. 

Chief statistician Datuk Seri Dr Mohd Uzir Mahidin said the steady performance was largely underpinned by the continued recovery of tourism-related industries, driven by 25 million international tourist arrivals and rising domestic travel activity.

The wholesale and retail trade, food and beverages (F&B), and accommodation segments remained key contributors, supported by sustained consumer demand and increased travel activity. 

Meanwhile, the services sector registered a 6.2 per cent growth in revenue to RM627.9 billion in the fourth quarter of 2024 (4Q 2024).

Mohd Uzir said the growth of 6.2 per cent in 4Q 2024 was contributed by favourable performance in all segments of the sector, driven by the expansion of the wholesale and retail trade, F&B, and accommodation segment, which increased by RM24.3 billion or 5.4 per cent to reach RM475.2 billion.

He also said that the services sector's steady expansion was driven by higher consumer spending, increased dining-out activities, and improved hotel occupancy rates.

“This growth was further supported by a 17.0 per cent year-on-year (y-o-y) rise in international tourist arrivals, adding 2.5 million tourists, along with a surge in domestic travel during the holiday season,” he said in a statement today. 

The services sector's performance was also bolstered by the information and communication, and transportation and storage segments, which grew by 6.5 per cent y-o-y to reach RM87.2 billion in 4Q 2024.

Meanwhile, the professional, real estate, and administrative and support services segment registered a robust growth of 10.8 per cent y-o-y in the quarter reviewed, primarily fuelled by heightened business activities across key activities such as accounting, legal, architecture, and veterinary services.

Mohd Uzir reported that e-commerce income in 4Q 2024 stood at RM310.2 billion, marking a 3.7 per cent y-o-y increase, primarily driven by a 7.7 per cent rise in the services sector.

“This growth highlights the continued expansion of e-commerce in supporting services output and consumer activity. On a quarterly basis, e-commerce registered a modest 0.8 per cent increase,” he added. 

The department said the total salaries and wages increased 3.9 per cent y-o-y to register RM33.3 billion, attributed to wholesale and retail trade and transportation and storage sub-sectors which rose 3.7 per cent and 4.9 per cent, respectively.

For quarter-on-quarter comparison, salaries and wages grew 0.9 per cent.

-- BERNAMA