Prime Minister Datuk Seri Anwar Ibrahim has warned government agencies to stay vigilant against the “AI Productivity Paradox”. This paradox refers to situations where investments in artificial intelligence and other digital technologies do not result in increased productivity, and may even result in the opposite effect.
Speaking at the Prime Minister’s Monthly Assembly with staff of the Prime Minister’s Department, he noted that the government has allocated billions of ringgit for digital transformation programmes, including AI. He also stated that the adoption of such technologies does not guarantee improved productivity, as highlighted by international studies.
In his speech, the Prime Minister expressed his wish to avoid falling into the “trough of disillusionment” due to the assumptions made on the substantial funding for these initiatives, which will amount to tens of billions of ringgit in the next five years. He described this as a situation where the high expectations for the new technology are not met, which leads to disappointment and dwindling confidence.
To prevent Malaysia from treading the same path as many other major corporations, which have faced a similar situation, Anwar has called on the the Chief Secretary to the Government and all government department heads to investigate the challenges related to AI and submit their reports within two weeks to a month.
Aside from that, Anwar reminded that the country’s digital transformation should not result in failure due to factors like weak management, lack of transparency, or inadequate monitoring. He emphasised the significance of good governance, system integration, and outcome evaluation in ensuring that Malaysia does not repeat past mistakes.
(Source: New Straits Times)
