Kuala Lumpur:The tourism sector's resurgence significantly contributed to Malaysia's economic growth in 2025, with travel receipts increasing from RM95.4 billion in 2024 to RM110.6 billion, bolstered by a rise in foreign visitor arrivals.
According to BERNAMA News Agency, the Economic Outlook 2027 report released by the Ministry of Finance noted that foreign visitor arrivals grew by 11.2 percent, reaching 42.2 million in 2025. The travel sector became the largest contributor to service exports, making up 39.8 percent of the total.
The tourism industry returned to pre-pandemic levels, contributing 15.9 percent to the Gross Domestic Product (GDP) and supporting approximately 3.7 million jobs, which is 22.1 percent of total employment. Service exports increased by 15.6 percent to RM277.9 billion, while service imports grew at a slower rate of 7.7 percent to RM272.6 billion, resulting in Malaysia achieving a services trade surplus of RM5.3 billion, the first since 2011. This marked a significant improvement from the RM12.6 billion deficit in 2024.
An assessment by the Ministry of Finance indicated that every RM10 billion spent by foreign visitors could generate an additional RM6.8 billion for the economy, leading to RM16.8 billion in total gross output across 27 industries. Primary tourism-facing industries, such as transportation, storage, restaurants, accommodation, and wholesale and retail trade, generated the highest output, totaling RM11.4 billion.
However, merely increasing visitor numbers is not enough to ensure optimal economic returns amid market uncertainties and regional competition. Emphasis should be placed on boosting visitor spending, extending their stays, and targeting high-value segments like luxury tourism, healthcare tourism, ecotourism, and business events.
These initiatives require enhanced connectivity, including more direct flights, quality investments in tourism infrastructure and facilities, talent development, digitalization, and sustainable tourism practices. The Visit Malaysia 2026-2027 (VM2026-2027) campaign aims to capitalize on the recovery momentum to drive greater economic value and establish a resilient and sustainable tourism sector over the long term.