MDEC: Malaysia Moving Strategically from Planning to Execution in Data Centre, Cloud Infra

Malaysia is moving from planning to execution in its push to become a trusted regional hub for data centres, cloud and artificial intelligence as demand for digital infrastructure accelerates across Southeast Asia.

Malaysia Digital Economy Corporation (MDEC) Vice President of Digital Adoption Ir. Wan Murdani Wan Mohamad (main pic) said that digital infrastructure has become the backbone of the modern economy, powering artificial intelligence (AI), cloud computing, digital public services, smart cities, cross-border trade and next-generation industries.

He added that Malaysia’s approved digital investments reached RM87.4 billion in 2025, driven largely by AI, big data, data centres and cloud services. The investments are expected to support the creation of 31,000 high-value jobs, strengthen Malaysia’s talent ecosystem and accelerate the growth of AI-driven industries.

“Malaysia is well-positioned as a digital gateway to Southeast Asia,” he said, adding that the country continues to attract investor confidence from key global markets including the Netherlands, Singapore, Hong Kong SAR, India, China, the United States and the United Kingdom.

Malaysia is among the fastest-growing data centre markets in Southeast Asia, supported by a multi-gigawatt pipeline, particularly in Johor and Greater Kuala Lumpur, as well as continued interest from global hyperscalers and technology leaders.

However, Murdani stressed that this growth must be managed responsibly through adequate power readiness, transparent approvals and strong talent development to meet global standards.

Sustainability also remains a key priority as Malaysia strengthens efforts in renewable energy adoption, energy efficiency and responsible resource management. The country has set a target of achieving 40% installed renewable energy capacity by 2035.

He was speaking at the Data Centre and Cloud Infrastructure Summit 2026 which was officially launched by Investment, Trade and Industry Minister Datuk Seri Johari Abdul Ghani (second left in pic with Murdani on his left).

A key mechanism to support this next phase of growth is the Data Centre Task Force, which reflects Malaysia’s whole-of-government approach to accelerating high-quality investments. The task force brings together key ministries, agencies, state governments and utility providers to streamline approvals, coordinate infrastructure planning and address industry requirements.

“Our focus remains on improving regulatory clarity, aligning incentives with long-term value creation and strengthening talent and industry capabilities,” said Murdani, adding that close collaboration across stakeholders would ensure that Malaysia remains competitive, investor-friendly and future-ready.

As MDEC celebrates its 30th anniversary this year, Murdani said that the agency remains committed to building a digital infrastructure ecosystem that is scalable, sustainable, secure and globally connected.

This includes AI-ready hyperscale data centres, expansion of fibre and 5G infrastructure, trusted and secure cloud ecosystems, as well as strong data governance and cybersecurity frameworks.

He said that with multiple cloud zones expected to be launched over the next two years, Malaysia’s digital infrastructure is moving forward with speed, purpose and inclusion.

“The infrastructure we build today will define the economy of tomorrow,” he said, calling on policymakers, industry leaders, developers and investors to strengthen public-private collaboration, build future-ready and sustainable infrastructure, accelerate innovation and advance inclusive digital growth.

He said that together with the Ministry of Digital and key agencies, MDEC remains committed to building the digital foundations that will support Malaysia’s long-term competitiveness and reinforce the country’s position as a trusted regional hub for data, cloud and AI innovation.

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