Internet economy in Southeast Asia to reach $ 1 trillion by 2030, report says
SINGAPORE, Nov. 10 (Reuters) – Southeast Asia’s internet economy is expected to reach $ 1 trillion by 2030, as tens of millions more people shop online and embrace delivery of food, an industry report said Thursday.
The report, written by Alphabet (GOOGL.O) Google, Singaporean state investor Temasek Holdings and global business consultants Bain & Company, said the region had added 60 million new internet users since the start. of the coronavirus pandemic, bringing the total to 440 million.
The 11-country region is one of the fastest growing internet markets in the world, driven by a young population, rapid smartphone use and urbanization, and a booming middle class .
Southeast Asia’s online industry is expected to grow from an estimated gross goods volume (GMV) of $ 174 billion by the end of 2021 to $ 360 billion by 2025, and 1 Trillion dollars by 2030, mainly through the growth of e-commerce and food delivery, as consumers stuck at home have turned to the internet.
The report, which covers Indonesia, Thailand, Vietnam, Singapore, Malaysia and the Philippines, found that e-commerce GMV is expected to nearly double to $ 120 billion by the end of the year and reach $ 234 billion by 2025.
All countries covered saw double-digit growth in 2021, with Indonesia alone, the most populous country in the region, contributing 40% of Southeast Asia’s total GGW to $ 70 billion. .
The Philippines grew 93%, becoming a $ 17 billion digital economy.
“GMV (for Southeast Asia) grew 49% year-over-year, as seismic shifts in consumers and ecosystems accelerated by COVID continue to drive a massive digital adoption surge.” said Florian Hoppe, Bain’s digital practice manager for Asia-Pacific.
Reporting by Fanny Potkin; Editing by Martin Petty
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