Malaysia secures RM16.2b in digital investments under MD initiative

New Straits Times

29-04-2025

GEORGE TOWN: The total approved investments under the Malaysia Digital (MD) initiative reached RM16.2 billion from January to April this year, backed by strong global investor confidence.
Digital Minister Gobind Singh Deo said the strong investment momentum is expected to create 6,480 job opportunities and strengthen Malaysia's position as a regional digital leader.
"These new opportunities are set to provide more gainful employment for Malaysians while nurturing a new generation of innovators and digital talent to drive our nation's future growth.
"Malaysia's digital economy agenda is focused on building a vibrant ecosystem that enables businesses to thrive, empowers communities through technology, and ensures that the benefits of digitalisation are felt across all layers of society.
"Malaysia's commitment to stable governance, investor-friendly policies, and digital innovation is what continues to earn the trust of global investors," he said at the MD Open Day 2025 held here today.
Malaysia's digital economy continues to go from strength to strength, emerging as a strategic engine of growth that is creating jobs, opening new opportunities, and fostering local innovation for businesses and the people.
Gobind said the surge in digital investments was spearheaded by high-impact sectors such as data centres and cloud services, which contributed RM9.9 billion, or over 60 per cent of total approved investments.
He said that, from an innovation perspective, Artificial Intelligence (AI) companies represented the largest share of new MD-status companies at 27 per cent, followed by data centres (23 per cent) and global business services (11.5 per cent).
"Backed by investor confidence from key global markets including the Netherlands, Singapore, Hong Kong SAR, India, and the United Kingdom, Malaysia remains well-positioned as a digital gateway for the region," he added.
Gobind said Penang alone attracted RM1.23 billion in MD-approved investments, with 266 jobs expected to be created.
He said that while 93 per cent of these investments were driven by data centre and cloud sectors, more than 60 per cent of job opportunities are in high-value areas such as IC design and embedded software.
Speaking at a press conference later, Gobind said he was also looking at the potential of Penang as a regional hub for future technology.
He said Penang is well known as a semiconductor hub, which has long been established and recognised worldwide as a leader in the semiconductor industry.
"The question we need to consider is how we can further develop this ecosystem.
"So, when we talk about the need to attract investment to Malaysia, particularly Penang, many investors will look at the existing ecosystem.
"They will look at the available infrastructure.
"They will assess the government's readiness in ensuring that new technologies can be adopted.
"As I mentioned earlier, when we talk about AI and its implementation, we need mechanisms to ensure that data can be shared to support the development of AI and related fields.
"Therefore, action needs to be taken by the government to create that structure. I am confident that if we can build such an ecosystem in Penang, we will see greater appeal for investors to view Malaysia — specifically Penang — as a destination," he said.#kw, NST, Malaysia, News, Malaysia News, MD initiative, investments, RM16.2 billion, Gobind Singh Deo, 6,480 job opportunities