The Malaysian government’s proposed changes in legislation, including amending the Personal Data Protection Act (PDPA), introducing a new cybersecurity bill, and enacting the Omnibus Data Protection Act, signify a significant move to transform the nation’s technology landscape. These changes emphasise the importance of Artificial Intelligence (AI) and data unification, facilitating innovation, enhancing data privacy and security, and creating a coherent regulatory framework.
The amendments to the PDPA reflect a commitment to responsible data handling in AI framework, the cybersecurity bill strengthens defenses against cyber threats, and the Omnibus Data Protection Act streamlines data management regulations, collectively promoting a robust digital economy while safeguarding individual rights and critical infrastructure.
“AI framework is under Mosti (The Ministry of Science, Technology and Innovation) and the ministry is supportive particularly in terms of infrastructure and scale up. For MDEC (Malaysia Digital Economy Corporation) and the ministry, we are looking at industry participation and infrastructure, in terms of deploying 5G networks and locations for big companies to land, as we anticipate the growth of AI framework.”
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How Malaysia Plans to Harness the Power of AI Framework
1. Unifications of Datasets

The Malaysian government’s plan to harness AI within and across government agencies hinges on the unification of datasets for the peninsula, Sabah, and Sarawak. In pursuit of AI framework implementation, the Cabinet is set to introduce three pivotal bills to Parliament, laying the groundwork for a cohesive AI strategy and ensuring that data from diverse regions is harmonised for efficient and effective utilisation of artificial intelligence in governance and public services.
“The first is the amendment to the PDPA. Second is a new bill for cybersecurity. The third is the Omnibus Data Protection Act. It is important to highlight that the PDPA covers particularly the private sector, whereas the Omnibus Data Protection Act will cover the government side largely and also help to regulate the data portability between government agencies. Cybersecurity is an overall and overarching regulatory aspect or governance of cybersecurity matters in the country.”
Economy Minister Rafizi Ramli has conveyed to the Senate, on June 19, the government’s intention to introduce the Omnibus Act in the Dewan Rakyat. This proposed legislation aims to facilitate data sharing among all government agencies through the National Utility Database, known as Pangkalan Data Utiliti Kebangsaan (PADU). This move reflects a commitment to streamline and enhance data utilisation and sharing across government entities, potentially fostering more efficient public administration and decision-making processes.
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2. The Fundamental Basis of the Malaysia Digital Expo 2023
“These three bills will act as the fundamental basis for a lot of the work in terms of data unification data usage, but still safeguarding issues around data sovereignty and data protection,” he told a press conference at the Malaysia Digital Expo 2023 (MDX 2023) Grand Finale at Malaysia International Trade and Exhibition Centre (Mitec) on Monday.
The Department of Statistics Malaysia (DOSM) currently hosts the National Utility Database, which is slated to serve as the central repository for unified data collection and management. This centralisation of data within the National Utility Database is a significant step in creating a comprehensive and efficient system for handling and utilising data across various government agencies, ensuring a more coherent and streamlined approach to data management and sharing.
“Along with that, there will be an effort of the government to initiate re-targeting of subsidies through the unified data collection and data system.” MDEC’s chief executive officer, Mahadhir Aziz, has highlighted the immense potential for AI to be integrated into the government’s administrative processes. This recognition underscores the transformative capabilities of AI framework in improving government operations, enhancing efficiency, and facilitating data-driven decision-making within the public sector.
3. Safety Concerns Related to AI Framework
The government is actively promoting the deployment of targeted subsidies, and AI is seen as a valuable tool to enhance automation and operational efficiency in this context. While acknowledging the importance of addressing safety concerns related to AI framework, it is emphasised that Malaysia needs to equip itself with the necessary technology and expertise to remain competitive and not be left behind in the fast-evolving field of AI. This proactive approach reflects the government’s commitment to harnessing AI’s potential for the benefit of its citizens and the nation’s overall development.
“We already have documentation and a roadmap for an AI framework under Mosti that was developed and published two years ago, which shows that we are looking ahead. To be prepared for the AI growth, infrastructure, inclusivity of people accessing the technology and talent development are the most fundamental aspects as we progress,” he said.
Fahmi has also provided insights into the field of Agricultural Technology (Agritech) and expressed the ministry’s intention to support the Agriculture and Food Security Ministry (KPKM) in the process of digitising and modernising the agricultural sector. This move aligns with the broader goal of enhancing agricultural practices through technology, ultimately contributing to food security and the modernisation of the agriculture industry in Malaysia.
MDEC’s Plan for the Future and AI Framework

“There is a lot of potential for a system that costs within the range of RM15,000 to RM20,000 per system to be built across 500 agricultural sites for crop, livestock and fishing monitoring. MDEC’s agritech team is working with the Agriculture Department under KPKM to identify each farmer and organise a comprehensive digital registry.”
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