Malaysia plans to create national cloud policy, AI regulatory framework

Kuala Lumpur: Malaysia plans to create a national cloud policy and artificial intelligence (AI) regulatory framework, Prime Minister Anwar Ibrahim said on Tuesday.

The national cloud policy will focus on four core areas, namely boosting public service innovation and efficiency, promoting economic competitiveness and growth, strengthening user trust and data security and empowering citizens through digital inclusivity, he said at a ground-breaking ceremony for Google's new $2 billion data centre and cloud region in the country.

"We aim to position Malaysia as a hub for generative AI and investments from tech partners will be critical in building a robust and secure digital infrastructure," Anwar said.

In line with efforts to position Malaysia as a competitive player in the global AI landscape, he said the government is establishing the National AI Office to coordinate all initiatives related to AI technology.

Anwar said the government aims to achieve several key outcomes in the next 12 months including to complete its AI Technology Action Plan (2026 to 2030) and the establishment of a regulatory framework to increase adoption of ethical and sustainable AI technology.

He noted the government will also expedite AI adoption in key sectors across Malaysia, as reported by Xinhua news agency.

"By leveraging partnerships with industry leaders, and strengthening collaboration among all stakeholders, Malaysia can realise these goals and establish its role as a leading AI-driven nation in ASEAN," he added.

On Monday, Google Cloud announced its partnership with Malaysian technology firm Dagang NeXchange to offer next-generation sovereign cloud solutions in Malaysia, tailored to meet the digital sovereignty requirements of organisations in regulated industries, such as public services, healthcare, and energy.