Malaysia’s artificial intelligence (AI) sector secured RM3.29 billion in approved investments during the first half of 2025, Digital Minister Gobind Singh Deo told the Dewan Rakyat today. He said the figure reflected strong investor confidence in the country’s prospects as a regional AI hub, with the potential to create 6,920 new jobs under the Malaysia Digital initiative.
Gobind was responding to a question from Datuk Wira Ku Abd Rahman Ku Ismail (PN–Kubang Pasu) regarding the National AI Office’s (NAIO) progress and its role in developing AI locally. He noted that AI and technology contributed 23.5% to the country’s gross domestic product (GDP) in 2023, with the government targeting a rise to 25.5% by the end of 2025.
He expressed confidence in meeting this goal, citing positive developments in investment, talent development, and AI adoption across sectors. Gobind said the NAIO had made tangible progress, including an AI impact study involving 28 ministries that is now nearing completion.
The study has so far identified 55 use cases for AI in government operations, he added. Examples include AI-powered traffic forecasting, smart port management, radiology analysis, hospital resource allocation, medical record digitisation, agricultural supply-demand forecasting, pest detection systems, and workforce upskilling initiatives.
In reply to a follow-up on how AI could further improve public sector operations, Gobind revealed that the forthcoming “AI At Work” programme would be rolled out to enhance efficiency. He added that such initiatives are crucial to supporting Malaysia’s national transformation across social, economic, and governance areas.
(Source: The Vibes / The Edge Malaysia)
