SINGAPORE, Oct. 21 (Xinhua) -- Southeast Asia's digital economy is projected to grow 17 percent year-on-year to 368 billion U.S. dollars in gross merchandise value (GMV) in 2026, and exceed 1 trillion dollars by 2035, according to the 11th annual e-Conomy SEA report by Google, Temasek and Bain & Company on Wednesday.
The report said the next growth opportunity lies in translating widespread artificial intelligence (AI) adoption into deeper usage and greater economic value.
Generative AI adoption has reached 243 million people, or 58 percent of the region's working population, expanding four times faster than mobile internet did in its first three years, it said.
E-commerce remains the region's main growth driver, with GMV projected to rise 18 percent to 226 billion dollars in 2026. Online travel GMV is expected to increase 10 percent to 59 billion dollars, while online media revenue is forecast to grow 22 percent to 44 billion dollars. Mobility and food delivery GMV is projected to expand 15 percent to 40 billion dollars.
Digital financial services are also growing, with gross transaction value expected to reach 1.65 trillion dollars, up 16 percent, while digital lending balances are projected to rise 22 percent to 116 billion dollars.
Singapore's digital economy GMV is forecast to grow 8 percent to 31 billion dollars in 2026, with the country strengthening its position as a regional AI hub. Its digital economy is projected to reach 59 billion dollars by 2035.
Singapore's growth is "strongly supported by AI-driven semiconductor demand and innovations in digital mobility, such as autonomous shuttles and licensed cross-border ride-hailing," said the report. ■
