Southeast Asia’s e-commerce market is projected to reach $325 billion by 2028, driven by digital payment adoption and improved regional payment connectivity, according to an IDC InfoBrief commissioned by 2C2P and Antom, a merchant payment and digitization services provider under Ant International.
The report, “How Southeast Asia Buys and Pays 2025,” surveyed 600 respondents from Indonesia, the Philippines, Malaysia, Singapore, Thailand, and Vietnam. Findings highlight the growing role of digital payments in shaping business strategies and expanding cross-border commerce opportunities.
“Southeast Asia’s e-commerce landscape is evolving at a breathtaking pace,” said Agnes Chua, managing director of Business and Product Development at 2C2P. “Merchants recognize the immense opportunities this growth brings them in driving e-commerce revenue and acknowledge the increasing complexity it brings to their operations. This includes common challenges such as customer support and issue resolution, payment gateway integration, and technology issues.”
Digital payments are expected to account for 94% of e-commerce transactions in the region by 2028. Mobile wallets and domestic payments remain dominant, with mobile wallets ranking as the most preferred payment method in Indonesia, Malaysia, and Vietnam in 2023. By 2024, mobile wallets were the second most accepted payment method in Singapore and the Philippines.
Real-time payments adoption
Real-time payments (RTPs) are also on the rise, projected to reach over $11 trillion in transactions by 2028. Singapore is leading this shift, with its PayNow system ranking as the third most supported payment method among merchants in 2024. Government-led initiatives across the region are driving RTP adoption by reducing reliance on cash and promoting faster, lower-cost payment methods.
Antom sees digital payments as a key factor in business growth.
“At Antom, we see payments not just as infrastructure but as a catalyst for business growth,” said Gary Liu, GM of Antom, Ant International. “By working with 2C2P and other businesses within Ant International’s ecosystem, we empower merchants with unified payment and digitization solutions covering the full payment lifecycle while exploring opportunities in global account services, financing, and treasury management.”
Cross-border commerce within Southeast Asia is also expanding, with intra-SEA transactions expected to reach $14.6 billion by 2028, a 2.8-times increase from 2023. Regional Payment Connectivity (RPC) initiatives aim to strengthen inter-country transactions, making them more seamless and cost-effective.
For merchants, cross-border transactions yield higher returns, averaging 21% more in value than domestic transactions. Despite this, intra-SEA trade remains underutilized, signaling opportunities for businesses willing to navigate the region’s varied markets.