KUALA LUMPUR: Malaysian micro, small and medium enterprises (MSMEs) are standing at a critical juncture, with boundless opportunities awaiting them beyond domestic borders.Industry observers are calling on the businesses to take full advantage of free trade agreements (FTAs), new management strategies and smart acquisitions to secure a stronger foothold in the global economy.MSMEs accounted for 96.9 per cent, or more than one million firms, of overall establishments in Malaysia in 2023, according to Department of Statistics (DOSM).The businesses registered a growth of 5.0 per cent to achieve RM613.1 billion economic contribution, increase to 39.1 per cent in 2023 from 38.6 per cent a year ago.Despite a tough external climate, Malaysian MSME exports saw a 4.5 per cent increase in 2023, reaching RM152.2 billion and boosting their export contribution to 12.2 per cent.

Experts like Datuk William Ng and Giuseppe Di Lieto emphasize leveraging Malaysia's FTAs for better market access and protection, while acknowledging challenges like awareness and compliance. Fractional management and strategic acquisitions are highlighted as flexible growth strategies for MSMEs going global, though they come with their own hurdles like limited availability and integration risks. Looking ahead, Ng suggests focusing on ASEAN trade to counter global tensions and calls for government support in overseas financing for MSME expansion.  Di Lieto predicts a shift towards high-value supply chains, necessitating MSMEs to reinvent, differentiate, and internationalize to thrive in a changing economic landscape that may see consolidation and new market entrants.