KUALA LUMPUR (July 14): Malaysians spent more in May due to long weekends and Hari Raya Haji holiday. Retail and wholesale sales went up, and more people used digital payments, official data showed.

The Department of Statistics Malaysia (DOSM) reported that wholesale and retail trade, including car sales, grew 4.4% to RM154.3 billion in May compared to last year.

The retail trade sector made RM67.1 billion in sales, up RM3.1 billion or 4.9% from last year. The wholesale trade sector had RM68.2 billion in sales, also up RM3.1 billion or 4.7%, showing steady business. While, the motor vehicles sector sales came in at RM19 billion, increasing slightly by RM200 million or 1.2% compared to last year. 

Retail sales in general stores like supermarkets and mini markets grew 4% to RM25.9 billion, mainly because more people bought from provision stores, supermarkets, and department stores.

Sales in specialised stores, such as pharmacies, cosmetics shops, and clothing stores were also up 5.2% to RM14.1 billion.

Sales of household goods like textiles, hardware, and furniture increased by 5.6% to RM7.7 billion. While automotive fuel rose 5.7%, and sales of food, drinks, and tobacco went up 6.4%.

Chief Statistician Datuk Seri Dr Mohd Uzir Mahidin explained that the wholesale trade of household goods grew 7.4% to RM14.7 billion, mainly due to higher sales of pharmaceutical and medical products.

Wholesale sales of food, drinks, and tobacco also rose 7.7% to RM14.1 billion, helped by more sales of seafood, meat, poultry, and eggs. Other specialised wholesale trade increased by 1.8% to RM24.6 billion.

Year-on-year motor vehicle sales rose slightly, supported by a 0.2% increase in sales of motor vehicles to RM9.9 billion. The Road Transport Department (JPJ) also reported more vehicle registrations — 74,393 compared to 73,901 last year. Sales of motor vehicle parts and accessories grew 2.1% to RM5.1 billion. Meanwhile, sales, maintenance, and repair of motorcycles increased 8.2% to RM1.2 billion.

Online retail sales in May saw a 2.2% rise from the previous year but declined by 3.4% compared to April after adjusting for seasonal effects.

A volume index of wholesale and retail trade, which adjusts for price fluctuations, increased 4.1% in May. On a seasonally adjusted month-on-month basis, the volume index dipped 1.6%.

DOSM also pointed out that digital payments showed strong momentum, with electronic money transactions soaring 70.2% to RM21.5 billion, hinting at greater usage for small-scale and retail transactions.

Transactions on real-time retail payment platforms amounted to RM289.4 billion, which made it the most used payment method, followed by internet-based payments at RM39.2 billion. Credit card usage held firm at RM18.7 billion, while debit card transactions rose 8% to RM14.1 billion.

“Collectively, these trends highlight the sustained expansion of digital payment channels, in line with evolving consumer preferences and the broader digitalisation of Malaysia’s payment infrastructure,” DOSM commented.