SMARTER USE OF TRANSACTION DATA KEY TO MSMES’ NEXT GROWTH PHASE - PAYDIBS

KUALA LUMPUR, March 2 (Bernama) -- The next phase of growth for micro, small, and medium enterprises (MSMEs) depends on how intelligently transaction data is harnessed, according to Paydibs, a digital payments company. 

Paydibs chief executive officer Tee Kean Kang said that structural inefficiencies in managing cash flow, financing, and operations have national consequences, impacting not only individual businesses but also the broader economy.

“Over the past few years, digital acceptance has accelerated across sectors. Quick response (QR) codes, online transfers and card payments have become commonplace even among smaller merchants.

“However, adoption alone does not equate to operational maturity,” he said in a statement.

Tee said that while digital payments are widely used, only 46 per cent of Malaysian MSMEs have adopted online finance and accounting tools.

This gap indicates that many businesses collect payments digitally but continue to manage reconciliation, forecasting and working capital through fragmented and manual processes.

He highlighted that when transaction data is not consolidated, analysed and translated into insight, business owners lack clear visibility into revenue cycles, peak demand periods, margin fluctuations and liquidity trends.

Decisions around hiring, procurement and expansion are then made conservatively, often based on instinct rather than evidence. Over time, this reactive approach constrains growth, reduces agility and weakens resilience against market volatility, said Tee.

“Structured payment data can offer lenders a more accurate view of revenue stability and cash flow consistency.  When analysed responsibly, transaction intelligence enables performance-based assessment that better reflects real business activity.

“This approach potentially shortens approval cycles, reduces reliance on collateral and expands financing access to viable but previously underserved merchants,” he said.

Tee noted that the future of Malaysia’s small and medium enterprises ecosystem will not be defined by the number of QR codes displayed at checkout counters, but by how effectively transaction intelligence is transformed into actionable insight.

He said that when structured transaction data supports better forecasting, stronger financial identities, and fairer access to capital, digital adoption evolves from convenience to empowerment.

“That is the true shift from transaction to transformation, and it is essential if Malaysia is to build a digital economy that is not only competitive but genuinely inclusive,” said Tee.

-- BERNAMA