Southeast Asia at TikTok; YB Tuan Haji Akmal Nasrullah Mohd Nasir, Minister of Economy; Mohd Farid
Bin Mohd Arif, Director of the K Economy Division, Ministry of Economy; and Anuar Fariz Fadzil, CEO of MDEC.
The Malaysia Socioeconomic Impact Report 2025, unveiled on 10 March in Kuala Lumpur, highlights how the platform has evolved into a dynamic digital marketplace connecting creators, small businesses, and consumers. Developed in collaboration with global consulting firm Kearney, the report estimates that TikTok contributed approximately RM20 billion in Gross Value Added (GVA) to Malaysia’s economy — representing about 4% of the country’s total digital economy — while supporting 147,000 jobs nationwide.
These jobs span across the broader TikTok ecosystem, including creators, sellers, businesses using TikTok Shop, and participants in TikTok LIVE.
“The findings presented in this report are based on independent research and analysis conducted by Kearney and provide a robust, evidence-based understanding of TikTok’s total socioeconomic contribution to the Malaysian economy,” said Gareth Pereira, Partner with Kearney.
“Our analysis shows that the TikTok ecosystem has moved beyond being a purely entertainment platform and has emerged as a vital economic catalyst nurturing innovation, entrepreneurship, and inclusive growth.”
Supporting Malaysia’s Digital Economy Agenda
The report launch was officiated by Minister of Economy YB Tuan Haji Akmal Nasrullah Mohd Nasir, and its findings reflect the increasing alignment between platform-driven digital ecosystems and Malaysia’s national economic strategies.
Key frameworks such as MYDIGITAL, the National E-Commerce Strategic Roadmap (NESR), the New Industrial Master Plan 2030 (NIMP), and the 13th Malaysia Plan (RMK-13) all recognise creative and digital services as strategic growth sectors. These policies aim to strengthen Malaysia’s transition towards a high-income, innovation-driven economy powered by digital services and entrepreneurship.
“Malaysia’s digital economy is entering a more important and more demanding phase of growth. Platforms such as TikTok are showing that digital participation can translate into real economic value by expanding opportunities for MSMEs, empowering creators, and opening new pathways for income and entrepreneurship. Under the aspirations of Malaysia MADANI and the direction of RMK13, our focus is to ensure this growth is not only fast, but also inclusive, trusted, and sustainable through strong collaboration between government, industry, and the wider digital ecosystem,” said YB Tuan Haji Akmal Nasrullah Mohd Nasir, Minister of Economy.
The report also suggests that participation in the TikTok ecosystem is relatively productive. According to the findings, the Gross Value Added per individual within the platform ecosystem is around 15% higher than the national average, highlighting the increasing value of digital-driven economic participation.
Malaysia Socioeconomic Impact Report
“TikTok is committed to fostering innovation, expanding inclusive access, and supporting the long-term sustainability of Malaysian creators and businesses, especially MSMEs, in alignment with the nation’s vision for a high-income, digitally resilient future,” said Firdaus Bin Fadzil, Public Policy Head of Malaysia at TikTok.
“As the digital economy continues to evolve, we remain focused on building a trusted and inclusive ecosystem that drives meaningful economic value for the nation.”
A Growing Ecosystem for MSMEs
Beyond headline economic figures, the report provides insights into how Malaysian small businesses are leveraging the platform to expand their reach and generate new revenue streams.
Today, TikTok Shop hosts approximately 1.8 million local businesses in Malaysia, demonstrating the scale at which small enterprises are adopting social commerce. In partnership with government agencies, TikTok has also trained more than 100,000 MSMEs to strengthen their digital capabilities.
According to the survey findings, 97% of businesses said TikTok has become an important source of revenue, with many reporting that the platform has helped them develop new digital skills.
Among the most commonly developed capabilities are:
- Mastering digital marketing techniques (around 80%)
- Creating engaging content (around 74%)
- Managing livestream selling events (around 69%)
For many SMEs, the platform is not only a marketing channel but also a space where direct customer engagement happens through short-form video and live commerce.
Creators Turning Passion into Careers
The report also underscores how content creation has emerged as a viable career pathway for many Malaysians.
Among the creators surveyed:
- Nearly 35% identified as full-time creators
- 45% reported earning above Malaysia’s minimum wage
These findings reflect the emergence of a growing creator economy where individuals build personal brands, collaborate with businesses, and monetise content through livestreaming, partnerships, and product promotion.
A Small Business Success Story
The report highlights several real-life examples illustrating how the platform is supporting digital entrepreneurship.
One such story is Nurezqi Plant Care (@myhomefresh), a home nursery based in Ipoh, Perak, founded by horticulturist Munsur. During the pandemic in 2020, the business owner experimented with multiple digital platforms while looking for ways to sustain the business online.
The breakthrough came through TikTok Shop livestreaming. Today, the business conducts regular livestream sessions that generate between RM5,000 and RM8,000 monthly, accounting for around 80% of its total revenue, while also helping the brand connect with a growing online community.
Digital Participation as an Economic Opportunity
The report comes at a time when many Malaysians are seeking additional income streams and exploring digital platforms as practical tools for entrepreneurship.
Among the surveyed businesses:
- 50% said TikTok contributes more than 40% of their overall revenue
- 40% launched their businesses on TikTok
- 72% cited the ability to reach new audiences as the platform’s biggest advantage
Taken together, these insights illustrate how digital platforms are reshaping how Malaysians start businesses, reach customers, and build careers.
While social media began primarily as a communication and entertainment tool, the findings suggest that platforms like TikTok are increasingly embedded within Malaysia’s economic landscape — enabling new forms of digital entrepreneurship, expanding market access, and contributing to the country’s evolving digital economy.
