Digital payments in Malaysia - statistics & facts
If there was any silver lining after the COVID-19 pandemic in Malaysia, it would be the accelerated adoption of cashless payment methods across the country. Previously heavily reliant on cash, the movement control order (MCO) restrictions from March 2020 until December 2021 compelled Malaysian consumers to move toward a more digital lifestyle. Malaysia became the fourth leading country in Southeast Asia with the highest average transaction value per user of digital payments.
Driven by the rise of the e-commerce market in Malaysia, digital payment systems, including credit cards, online banking, and e-wallets, also rose in popularity among more tech-savvy consumers. Cashless methods dominated the market share of e-commerce payment methods for Malaysians, with account-to-account (A2) and digital wallets as the most popular options.
This transformation is also supported by the country’s well-developed infrastructure on connectivity. Around 98 percent of the population in Malaysia has access to 4G LTE mobile networks, while 5G population coverage has reached 82 percent in 2024. Hence, consumers would be able to use their favorite digital payment services at any time.
New payment services like Buy Now Pay Later (BNPL) are also becoming more popular among Malaysian users. BNPL spending on e-commerce in Malaysia was estimated to reach around 900 million U.S. dollars in 2026. With consumers’ increasing preference to go cashless, as well as support from the government to transform the country into a digital economy, the digital payment sector in Malaysia is set to flourish.
Driven by the rise of the e-commerce market in Malaysia, digital payment systems, including credit cards, online banking, and e-wallets, also rose in popularity among more tech-savvy consumers. Cashless methods dominated the market share of e-commerce payment methods for Malaysians, with account-to-account (A2) and digital wallets as the most popular options.
Digital economy transformation
The gross transaction value of digital payments in Malaysia increased to around 172 billion U.S. dollars in 2024, and was forecast to reach around 250 billion U.S. dollars by 2030. The Malaysian government has an initiative to transform the country into a leading digital economy by 2030, and one of the action plans include rapid transition toward a cashless society. The country's recent campaign, Cashless Boleh 4.0, encouraged e-payments for services provided by government agencies.This transformation is also supported by the country’s well-developed infrastructure on connectivity. Around 98 percent of the population in Malaysia has access to 4G LTE mobile networks, while 5G population coverage has reached 82 percent in 2024. Hence, consumers would be able to use their favorite digital payment services at any time.
Cash is no longer king
The current trend of carrying e-wallets can be largely attributed to hygiene concerns stemming from the pandemic among Malaysian consumers. Per capita transaction value of e-money in Malaysia rose by more than 56 percent in 2023. Touch n’ Go, Grabpay, and Boost are some of the leading e-wallet brands currently dominating the market. Although all business activities have now resumed to normal, this cashless trend is expected to remain in post-pandemic Malaysia.New payment services like Buy Now Pay Later (BNPL) are also becoming more popular among Malaysian users. BNPL spending on e-commerce in Malaysia was estimated to reach around 900 million U.S. dollars in 2026. With consumers’ increasing preference to go cashless, as well as support from the government to transform the country into a digital economy, the digital payment sector in Malaysia is set to flourish.
