Women Own & Manage 21% of Malaysia's SME Sector: Strive Malaysia

By: WE Staff | Wednesday, 23 April 2025

• Women entrepreneurs gain ground in Malaysia making up 21% of all SMEs, marking steady growth in female-led business activity 
• Women-Owned SMEs powering progress with nearly 242,000 micro and small women-led businesses strengthening the nation’s business ecosystem 
• Encouraging signs of gender equity in employment shown where female participation has increased to 56.3 percent 

A growing number of women are taking charge in the business world, with Micro and Small Women Entrepreneurs (MSWEs) now accounting for 21 percent of Malaysia’s SMEs. According to a recent Strive Malaysia study, these businesses, defined as being at least 51% owned, managed, and controlled by women, are becoming a significant force in the country’s economic landscape.  

A total of 241,767 women-led MSMEs are driving change and growth across Malaysia’s predominantly SME-based economy, according to Strive Malaysia. While their contribution is substantial, especially within a sector that makes up 97.4 percent of all businesses, there is still work to be done bridge the gender gap and reach the national goal of 60 percent female labor force participation by 2033.  

Malaysia’s latest labor force data shows encouraging momentum: female labor force participation has inched up to 56.3 percent. However, the male participation at 82.9 percent, the figures still point to significant gender gap, underscoring the need for continued efforts to create a more inclusive workforce. 

A clear gap remains between digital fluency and its strategic use in entrepreneurship. Women-led micro and small enterprises often have the skills, but not the guidance or resources, to convert digital engagement into business results.  

With nearly MYR 470 million ($107 million) allocated for women-led entrepreneurs, the Government is reinforcing its commitment to inclusive growth. According to this, this initiative reflects a broader collaboration between public and private sectors to elevated women’s roles in business and society. 

The study further highlights that nearly all women entrepreneurs, 97 percent, cite time poverty as their top barrier to business success.  The burden of simultaneously running a business and managing family responsibilities is deeply influenced by entrenched gender roles, which continue to place caregiving expectations squarely on women’s shoulders.  

“In 2024, the Ministry of Human Resources, through TalentCorp, introduced Wanita MyWira to address workforce gaps by enabling more women to participate fully in Malaysia’s economy,” “As the agency driving national talent strategies, we are committed to supporting women’s career journeys – from re-entry to leadership, and strengthening their long-term contribution to the workforce,” said Natasha Alias, Head of Wanita MyWira at TalentCorp.