TikTok contributes RM20 billion to Malaysia’s digital economy, supports 147,000 jobs

KUALA LUMPUR – The TikTok ecosystem contributed approximately RM20 billion in Gross Value Added (GVA) to Malaysia’s economy, accounting for about four per cent of the country’s total digital economy, according to the Malaysia Socioeconomic Impact Report 2025.

The report, developed in collaboration with global consulting firm Kearney, found that TikTok has evolved from an entertainment platform into a digital ecosystem supporting around 147,000 jobs nationwide.

The study highlighted that economic opportunities created through the platform are notably productive, with GVA per individual estimated to be approximately 15 per cent higher than the national average.

Kearney Partner Gareth Pereira stated that the findings provide a robust, evidence-based understanding of the platform's contribution.

"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," he said at the report's launch at the St Regis yesterday.

The report found that TikTok has become a primary source of income for many businesses and content creators:

• 97 per cent of businesses surveyed identified TikTok as an important revenue source.
• 50 per cent reported that the platform contributes more than 40 per cent of their overall revenue.
• 72 per cent cited the ability to reach new audiences as the biggest benefit.
• 40 per cent stated that TikTok was the platform where they first launched their business.

The digital economy is also providing a viable career path for individuals. Nearly 35 per cent of surveyed content creators identify as full-time, while 45 per cent report earnings above Malaysia’s minimum wage.

TikTok Shop now hosts approximately 1.8 million local businesses and has trained over 100,000 micro, small and medium enterprises (MSMEs) in collaboration with government partners.

The report was officiated by Economy Minister Datuk Seri Akmal Nasrullah Mohd Nasir, who stated that Malaysia’s digital economy is entering a phase where participation must translate into "real economic value."

“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,” the Minister said.

The report added that TikTok aligns with national priorities such as MyDigital, the National E-Commerce Strategic Roadmap (NESR) and the New Industrial Master Plan 2030 (NIMP).

A notable success story includes a home nursery in Ipoh that now generates between RM5,000 and RM8,000 a month through TikTok Shop livestreaming, accounting for 80 per cent of its total revenue.