Malaysia’s tourism industry contributed 15.1% to GDP in 2024, and 21.6% to total employment

Malaysia’s tourism sector bounced back strongly in 2024, driven by growth in retail trade, inbound tourism, and more.

Malaysia’s tourism industry remained a key driver of the economy in 2024, contributing 15.1% to GDP, an increase from 14.9% in 2023, according to the Department of Statistics Malaysia’s Tourism Satellite Account (TSA) 2024.

As such, the tourism industry grew by 7.4% to RM291.9bn in 2024, compared with RM271.9bn in 2023.

Tourism employment

Tourism employment contributed 21.6% to Malaysia’s total workforce, supporting 3.5mn people in 2024. Employment in the sector grew by 4.6% compared with 4.9% in 2023. Retail trade, food and beverage services, and other services accounted for 85.2% of tourism employment.

Sectoral performance

Retail trade contributed the most to tourism revenue, rising 5.9% to RM154.5bn, or 52.9% of the total industry. Food and beverage services grew 5.7% to RM47.7bn, or 16.3%. Other services, such as health, education, MICE and spa, increased 9.9% to RM39.0bn, or 13.3%. Together, these three sub-sectors made up 82.5% of total tourism revenue.

All tourism sub-sectors have surpassed pre-pandemic levels except accommodation and passenger transport services, which have not yet fully recovered.

Inbound tourism expenditure

Inbound tourism expenditure expanded by 41.1%, reaching RM107.0bn in 2024. Shopping activities led this growth with 36.1%, followed by passenger transport (19.1%) and accommodation (18.5%). Tourists accounted for 96.1% of inbound spending, while excursionists contributed the remaining 3.9%.

Domestic tourism expenditure

Domestic tourism expenditure rose by 25.1% in 2024, totalling RM98.4bn. Shopping activities were the largest contributor (40.5%), followed by food and beverage services (17.6%) and retail sale of automotive fuel (13.7%). Domestic tourists accounted for 57.8% of spending, with excursionists making up 42.2%.

Internal tourism consumption

Internal tourism consumption, which combines inbound and domestic expenditure, grew by 33.0% in 2024, down from 66.1% in 2023. Inbound expenditure regained dominance, contributing 52.1% of internal consumption, reversing five years of domestic-led growth. The growth was primarily driven by shopping (38.2%), food and beverage (16.8%), and accommodation (15.4%), which together made up 70.4% of internal tourism consumption.

The 2024 TSA shows Malaysia’s tourism industry as a robust contributor to the national economy.

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Lead image / DOSM Infographic