Malaysia Oversight

Anwar: RM5.9bil cross-ministry allocation to keep M’sia at forefront of AI development

By theStar in October 10, 2025 – Reading time 2 minute
Anwar: RM5.9bil cross-ministry allocation to keep M'sia at forefront of AI development



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KUALA LUMPUR: Malaysia will continue to lead in the field of artificial intelligence (AI) and strengthen research, development, commercialisation and innovation (RDCI) activities with a cross-ministerial allocation of nearly RM5.9bil, says Prime Minister Datuk Seri Ibrahim.

He said that in the effort to become an AI-driven nation by 2030, the National Artificial Intelligence Office (NAIO) would receive nearly RM20mil to develop highly skilled talent, enhance digital infrastructure, and build an efficient AI ecosystem.

, who is also the Finance Minister, said the government also planned to provide an additional 50% tax deduction to micro, small and medium enterprises (MSMEs) for AI- and cybersecurity-related training expenses recognised by the MyMahir National AI Council for Industry, jointly led by TalentCorp and MyDigital.

“A Sovereign AI Cloud will also be developed by the Malaysian Communications and Multimedia Commission (MCMC) with an investment of RM2bil.

“MCMC will establish an AI Transformation Centre in collaboration with Multimedia University and the Centre of Excellence in Ethics for Emerging Technologies as a culturally aware AI and research and development (R&D) hub,” he said when tabling Budget 2026 in the Dewan Rakyat today.

The Prime Minister also announced an allocation of RM53mil under the Malaysia Digital Acceleration Grant to boost growth and adoption of technologies such as blockchain, AI and quantum computing.

“Meanwhile, MIMOS will develop blockchain and deepfake detection technologies,” he said, adding that RM15mil had also been allocated for programmes such as Malaysia Techlympics, National Science Week, ‘Rehlah Sains’ (Science Excursion) and Science on Wheels to cultivate interest in science, technology and innovation among youth. – Bernama



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