KUALA LUMPUR: Malaysia’s franchise industry is expected to see its sales value increase to RM22.66 billion by 2025, from RM14.65 billion in 2020, said Prime Minister Datuk Seri Ismail Sabri Yaakob.
He noted that the local franchise industry has been growing rapidly, with 1,149 franchisers registered under the Franchise Act 1998.
He said in 2021, the number of franchise outlets opened in the country rose by 47% year-on-year to 13,779, creating around 49,000 jobs.
“I believe that more jobs will be created with the rising number of franchise companies in the country,” he said in a speech text read by Domestic Trade and Consumer Affairs Minister Datuk Seri Alexander Nanta Linggi at the launch of the 29th Franchise International Malaysia Exhibition and Conference (FIM) 2022 here on Thursday (Sept 8).
The prime minister also noted that Malaysian franchise brands have become more globally renowned, with 68 brands currently present in 74 nations.
He added that various initiatives to strengthen the local franchise industry have been implemented to ensure business sustainability and stability, especially during the Covid-19 pandemic and inflation period.
Efforts to develop micro franchises are also being taken to help the bottom 40% income group, via the Micro and Affordable Franchise Development Programme, he said.
Themed “Rebuilding Growth, Spurring Excellence”, the FIM 2022, which kicked off on Thursday and ends on Saturday, is expected to attract potential investments worth RM450 million.
With 91 local and international exhbitors from nine countries taking part in the event, the FIM 2022 is expected to attract 14,000 visitors.
Source : The Edge Markets