AGP Executive Report

AI in Healthcare: Malaysia’s Health Ministry will pilot an AI project at selected hospitals to automate clinical documentation, then expand if it proves effective—aiming to cut doctors’ manual workload while keeping patient care uninterrupted. Digital Skills for Islamic Schools: MDEC handed over a Digital Maker Hub to Pondok Darul Furqan in Perak, boosting access to robotics, microcontrollers and smartboards under the Digital IPI programme with JAKIM. AI Talent Pipeline: The Ministry of Digital launched the Korea-ASEAN Digital Academy (KADA) with Korea, targeting about 200 industry-ready AI and digital professionals across four cohorts (2026-2027). Semiconductor Support: Economy and finance leaders pushed for faster chip capability building—Arm access tokens for four Malaysian firms to train 10,000 semiconductor professionals, plus a proposed one-stop semiconductor and deep-tech financing centre in Penang-Kulim. Smart Mobility Updates: Waze is rolling out Gemini-powered destination search and road reporting, plus personalised navigation and a new Motorcycle Mode that’s starting in Malaysia. Energy & Sustainability: The National Biodiesel Programme expects to use about 1.13 million tonnes of palm oil by end-2026 as B15 ramps up, while a National Climate Change Bill is set to introduce a carbon tax framework to drive greener industry. Education & Wellbeing: Experts warn Malaysia needs more mental health professionals as student crises rise, while Maxis’ Menuju Gemilang programme celebrates its first SPM cohort and expands support for underserved students. Business Moves: Milux proposes acquiring Movon for RM150m to broaden distribution via Movon’s direct selling network.

Semiconductor Skills Push: Malaysia offered Arm technology access tokens to four firms to train 10,000 semiconductor professionals over four years, aiming to move from manufacturing to IP and AI-driven innovation. Deep-Tech Financing Plan: Deputy Finance Minister Liew Chin Tong floated a one-stop semiconductor and deep-tech financing centre in the Penang–Kulim cluster to bridge capital gaps and speed up productisation. Regulation for the Digital Era: MCMC will host IRC 2026 (July 21–22) on regulation, resilience and trust, focusing on social media freedom vs national security, data privacy and content moderation. Data Centre Power Challenge: With data centres projected to reach up to 7.7GW by 2030, industry is looking at solar-plus-BESS to cut peak grid demand and keep operations stable. UN & Food Security in Parliament: Dewan Rakyat questions today include UNSC reform, Malaysia’s UN role, and contingency plans for a projected food supply crisis. Children Online Safety: UNICEF says children are largely missing from corporate sustainability reporting across emerging Asia, despite climate, digital harms and nutrition risks. EV Battery Manufacturing: Malaysia plans to start small-scale production of a homegrown graphene-enhanced lithium-ion EV battery this month. Internet Infrastructure Community: BTW.MEDIA launched “Strategic Circle” membership for IPv4 and internet infrastructure professionals with research and member-only access. Cyber Readiness: RELA training to boost cyber readiness and disaster response was also reported this week.

Malaysia–Norway Defence Row: Malaysia is pressing Norway after Oslo revoked an export licence for the Naval Strike Missile despite Malaysia paying about 95% under an LCS-related contract, raising fears that political export controls can still derail signed defence deals. Dementia Prevention Research: A USC-led study across 14 countries finds dementia risk factors vary sharply by region, meaning prevention strategies can’t be one-size-fits-all. Offshore Gas Push: Seascape Energy says it is on track to file the plan for its Temaris Cluster offshore Peninsular Malaysia development, targeting production from 2028 using two unmanned platforms tied to existing infrastructure. Museum & Heritage Infrastructure: Malaysia’s Museums Department will build a RM23m repository centre at Lukut Museum grounds in Port Dickson to house over 200,000 archaeological collections, with completion targeted for 2031. Rail Tech Cooperation: Prasarana signed an MoU with Chongqing Rail Transit to boost monorail reliability, predictive maintenance, digital operations and talent development. Embodied AI Trend: A new wave of embodied AI is moving beyond chatbots into robots that learn and act in the real world. AI for Business: Malaysia’s minister Steven Sim urges firms to use AI as a capacity multiplier while investing in people, warning against skills gaps from treating AI as only a cost-cutting tool. Fisheries Modernisation: Malaysia is stepping up fisheries modernisation via technology adoption and infrastructure to protect fishermen’s livelihoods and food security.

Museum & Heritage Storage: Malaysia will build a RM23m repository centre at Lukut Museum grounds in Port Dickson to house over 200,000 Department of Museums Malaysia collections, with construction starting next year and completion targeted for 2031, aiming to centralise artefacts and give researchers dedicated space. Rail Reliability & Digital Ops: Prasarana signed an MoU with Chongqing Rail Transit to boost Kuala Lumpur Monorail reliability through predictive maintenance, data analytics, asset management know-how, and joint training. AI for Business Productivity: Entrepreneur Steven Sim urged firms to use AI as a capacity multiplier while investing in talent, warning that cutting people can widen skills gaps and raise long-term tech costs. Agri-Tech & Food Supply Chain: Sarawak will expand the PPNS Complex with a RM15m building to create a one-stop agriculture hub, adding input supplies, cold storage, and a marketing ecosystem. Energy Storage for Buildings: GSL Energy commissioned a 2MW/4.6MWh containerised battery system for a Malaysian shopping mall, enabling grid-connected and island operation. EV Momentum: Research houses expect EV penetration to rise in 2H26 as charging infrastructure expands and revised EV import rules take effect. Healthcare Access in Sarawak: NKF Malaysia is pushing to close Sarawak’s dialysis access gap by expanding centres to reduce long-distance travel burdens for patients.

AI for business, not just cost-cutting: Malaysia’s Steven Sim urged companies to treat AI as a capacity multiplier while still investing in human talent, warning that “trend-following” can leave firms behind. Higher-education ties: Malaysia and Indonesia are pushing deeper cooperation in PhD capacity, with plans for student mobility, joint supervision, dual degrees and researcher networks. Energy storage for malls: GSL Energy commissioned a 2MW/4.6MWh containerized battery system in Malaysia, built for grid-connected and island operation to cut peak demand and boost reliability. EV momentum: Research houses expect Malaysia’s EV penetration to hit about 8–10% by end-2026, helped by revised CBU rules and faster charging rollout. Smart city lighting: Kemaman’s MPK is adding LED motion-sensor decorative lighting along a 32m pedestrian walkway at Chukai Smart Park. Data centre jobs debate: Malaysia’s data centre boom is pitched as creating high-skill roles, but critics question how many local workers will benefit. Regional tech-and-agri cooperation: Malaysia and Thailand pledged stronger agriculture, border management and research/innovation links, including tackling online scams and trafficking.

Smart City & TVET Push: Melaka will roll out “Mula Melaka” in late August with RM1m to fund TVET alumni techno-entrepreneurs, covering equipment, marketing, and licensing across seven skills-and-innovation clusters. Local Tech in Public Spaces: Kemaman Municipal Council installed RM150,000 smart LED decorative lighting with motion sensors along a 32m pedestrian walkway at Chukai Smart Park, shifting patterns based on foot movement. AI for Everyday Services: A Selangor–Indonesia industry visit in Bandung highlighted generative AI used for heritage digitalisation, education, and religious services, including a museum-linked platform that digitises collections for tourism. Semiconductor Supply Chain Deal: GlobalWafers and Micron reached a mutual intent for a 10-year long-term agreement, with Micron providing US$500m strategic financing to support advanced memory chip supply for AI and data centres. Data Centres, Jobs, and Scrutiny: Malaysia’s data centre boom is being pitched as a high-skill job engine, but public pushback questions who benefits and whether power and water demands will be sustainable. Ethics for Emerging Tech: Prime Minister Anwar urged stronger ethical foundations for AI, digital tech, and quantum computing to prevent misuse and fraud. Malaysia–Thailand Fisheries Talks: Malaysia and Thailand are coordinating technical requirements to resolve sea bass and prawn trade issues, focusing on certification, traceability, and risk-based inspections. ASEAN Mobility Tech Skills: Sarawak Metro trained 33 staff in professional and technical Mandarin to support knowledge transfer for the Kuching Urban Transportation System (KUTS) project. Sea Bass Export Shock: Penang sea bass farmers say Thai inspection curbs have halted exports, squeezing cash flow as they wait for market access to reopen.

Low-Carbon City Plan for Sibu: Sarawak Premier Abang Johari wants Sibu reshaped into a low-carbon smart city, moving beyond timber and pushing forest conservation, green economy, carbon trading and new tech via MiRRDA/RADDA, with big investment needs. Malaysia Cyber Security Upgrade: Malaysia unveiled a national post-quantum cryptography migration plan plus a quantum cryptography sandbox to prepare government systems for future quantum threats. AI, Data Centres and Resource Strain: AMRO warns Malaysia’s AI data-centre boom could stress power, water and specialised talent, noting cooling water needs and tighter approvals for non-AI centres. Data Centre Build in Port Dickson: Advancecon’s unit won a RM121.66m off-river storage ORS subcontract tied to a data centre water supply scheme (65m litres/day). Cross-Border Trade Tech at the Border: PM Anwar and Thailand’s PM launched a new Bukit Kayu Hitam–Sadao ICQS-CIQ road link, with the old crossing closing. E-Invoice Compliance Relief: Malaysia’s e-invoice Special Voluntary Disclosure Programme runs until 31 Dec 2027, letting eligible taxpayers correct submissions without penalties. Regional Health Tech: DNDi and Serum Institute of India plan a phase 3 dengue antibody trial starting Q1 next year, with sites including Malaysia. STEM Access Support: UMT helped a financially constrained teen continue STEM studies through scholarships and assistance. Virtual Sports Tech: Virtual taekwondo is gaining traction using VR and motion tracking, with World Taekwondo and Refract Technologies behind the push.

Johor Election & Civic Tech: DAP’s Anthony Loke urged turnout above 70% for Saturday’s Johor state polls, saying higher participation is key to legitimacy after past border-linked voting delays. Cross-Border Infrastructure: Malaysia and Thailand opened a new road link between Bukit Kayu Hitam and Thailand’s Sadao ICQS/CIQ complexes, with the old Danok crossing closing overnight—aimed at smoother trade and travel. Cybersecurity & Sovereignty: Huawei Malaysia signed an MoU with NACSA to collaborate on cyber security, cryptology, and AI security, including training and joint research. Enterprise AI for Manufacturing: HashMicro launched HashMicro X and Hashy OS, positioning them as AI-native tools to automate manufacturing decisions and execution across APAC. Payments Integration: Xendit integrated Philippines’ Dragonpay, expanding local merchants’ access to Xendit’s regional payment methods, payouts, and cross-border services. Smart Agriculture Connectivity: LoRaWAN pushed further into smart farming, highlighting long-range, low-power, low-cost deployment for remote fields. Healthcare Research: NeoSep 1 neonatal sepsis trial expanded recruitment in India, with Malaysia expected to join soon. Tech Hardware in Malaysia: Microsoft began early-bird registration for Snapdragon X2 Surface Pro and Surface Laptop, with sales starting 23 July. Local Tech Diversification: Penang’s CCH Holdings won a US$50m data centre maintenance/support contract in Malaysia, marking a leap beyond its restaurant business.

IMF Outlook: Malaysia’s economy is projected to grow 4.7% in 2026, with data centre activity and the global AI-driven tech cycle doing the heavy lifting, even as war-related risks keep the picture uneven. Banking & Rates: MBSB IB lifted its 2026 GDP forecast to 4.5% and expects Bank Negara to keep the OPR at 2.75%, pointing to steady growth and contained inflation. EV Charging Push: Malaysia is refining EV incentives to accelerate the ecosystem, targeting 30,000 charging stations by 2030 and working with TNB on more substations for fast chargers. Digital Learning Upgrade: UPNM launched a RM1.9m Creative Hub with a Digital Studio and Maker Space to boost digital learning and content creation. AI in Finance: Malaysia’s banking leaders are stressing “responsible AI” over fast adoption, focusing on governance, risk oversight and workforce readiness. Local Tech & Trade: MATRADE is inviting firms to join INSP MIHAS 2026 to match Malaysian halal exporters with pre-qualified international buyers. Infrastructure for Growth: Sarawak’s Batang Lupar 1 Bridge opens, ending ferry dependence for coastal communities and supporting agriculture and investment. Quantum Collaboration: QUDORA and QAI plan feasibility work to deploy ion-trap quantum computing inside a Korean AI data centre. Health R&D: Serum Institute of India and DNDi are set to run a Phase III dengue monoclonal antibody trial across Malaysia, Thailand and Brazil starting in 2027.

EV Charging Push: MITI says Malaysia has 6,416 public EV chargers nationwide as of end-May 2026 (2,143 DC fast, 4,273 AC), with faster approvals via new charging-bay planning guidelines. Digital Border Tech: Malaysia and Singapore are set to launch a joint digital immigration system in January 2027 to cut Causeway congestion. Responsible AI in Finance: AICB highlights “trusted AI” for banking, stressing governance, risk oversight and workforce readiness over fast adoption. Agritech Research: Selangor’s Agriculture Centre of Excellence expands a “lab to farm” pipeline to boost productivity and protect crops with modern tech. Information Integrity: UN officials urge youth and platforms to strengthen trust online and curb hate speech and misinformation. Sarawak Connectivity: Batang Lupar 1 Bridge opens, ending decades of ferry reliance for coastal communities. Crypto Mining Crackdown: Malaysia reports raids seizing 75,000+ crypto mining rigs tied to power theft. Rare Earths Deal: France’s Carester and Malaco Mining could supply 15–20% of global heavy rare earth needs, with separation in Perak. ASEAN Trade & Halal: MATRADE invites firms to INSP at MIHAS 2026, targeting RM2b in export sales.

EV Infrastructure Push: Malaysia reported 6,416 public EV chargers installed nationwide as of May 31, 2026 (2,143 DC fast, 4,273 AC), with MITI citing faster approvals via PLANMalaysia’s EV Charging Bay Planning Guidelines (as little as 14 working days) and ongoing coordination with utilities and local authorities. Road Safety + Media Literacy: The Malaysian Press Institute (MPI) and Puspakom partnered to boost road safety awareness through media literacy, including using AI to improve vehicle inspection efficiency and public understanding of maintenance and safe driving. Digital Transformation Partnerships: PM Anwar met SAP leadership to explore collaboration on digital transformation and talent development, aiming to strengthen Malaysia’s public and private sector efficiency with enterprise AI. Crypto Mining Crackdown: Malaysia said police, TNB and partners seized 75,578 crypto mining machines in 3,000+ raids since 2022, with enforcement shifting toward smarter intelligence-led targeting for faster, more precise action. AI + Finance Trust: AICB urged banks to move beyond AI adoption to “trusted implementation,” stressing governance, resilience, assurance and future-ready talent as Malaysia’s financial sector transformation accelerates. Healthcare Trade Spotlight: Malaysia used WHX Bangkok 2026 to deepen healthcare and life sciences ties with Thailand, positioning Kuala Lumpur as a future host for the exhibition. Blockchain for Credentials: Zetrix AI signed an MoU with the Philippines’ DICT to run the country’s public blockchain infrastructure on Zetrix’s protocol for issuing and verifying digital credentials. Dengue Treatment Trial: Serum Institute of India and DNDi will test an SII monoclonal antibody for dengue in an international Phase III trial starting Q1 2027, enrolling about 1,000 patients across Brazil, Malaysia and Thailand.

AI & Finance Governance: Bank Negara Malaysia and the Asian Institute of Chartered Bankers pushed a “trusted AI” agenda at AICB Nexus 2026, stressing governance, resilience, and future-ready talent as Malaysia’s financial sector accelerates AI adoption. Digital Credentials Blockchain: Philippines will build public blockchain infrastructure for government digital credentials with Malaysia’s Zetrix AI and MIMOS, using Zetrix protocol for issuing, verifying, and cross-border interoperability with Malaysian IDs. Smartphone & Consumer Tech: OPPO launched the Reno16 Series in Malaysia with AI photography and new 3D “Pop Planet” design, while OPPO also rolled out Enco Air5/Enco Air5s earbuds. Enterprise & Cybersecurity: Kaspersky warned Malaysia businesses face rising workplace cybersecurity risks from AI tool use, weak passwords, and hybrid work habits. Energy Storage Deal: Hoymiles partnered with TAMCO to locally assemble liquid-cooled utility-scale BESS in Shah Alam, aiming to expand Southeast Asia energy storage capacity. Climate & Risk: A WMO report flags worsening Southwest Pacific ocean warming, acidification, and sea-level threats, with the region’s last tropical glacier at risk of disappearing soon.

Workforce Upskilling: MINDEF will sponsor 258 Malaysian Armed Forces personnel with RM2 million for Cohort Two of the Work-Based Learning (WBL) 2.0 Diploma Programme, with another RM6.5 million earmarked for Cohort Three—mapping service skills to university curricula to boost post-service employability. Energy Storage & Localisation: Tamco and Hoymiles will locally assemble AI-enhanced 5MWh and 6MWh liquid-cooled utility battery energy storage systems in Shah Alam, supporting Malaysia’s next-gen grid resilience while enabling technology transfer and deeper supply chains. Semiconductor IP Collaboration: SkyeChip is working with Cerebras Systems on custom high-speed interface IP for wafer-scale AI computing, using milestone-based development and validation to push production-ready designs. AI Sports Training: Virtual taekwondo is gaining traction in Southeast Asia, using VR headsets and motion-tracking sensors to turn sparring into structured, non-contact competitive matches co-developed by World Taekwondo and Refract Technologies. Early Childhood Education Expansion: Malaysia’s MOE plans to add 1,040 new preschool classes by 2027, building on 10,491 existing classes as of May 31 to meet rising demand for early learning. Digital Infrastructure Benchmarking: A study flags that Malaysia’s 5G latency (33ms) meets voice AI standards, while the Philippines struggles—highlighting how network performance can make or break AI workloads. Waqf Finance Partnerships: Malaysia’s Waqf Foundation secured an Oman-linked MoU with Sohar Islamic and Boushar Endowment Foundation to share waqf governance know-how and innovations in Islamic social finance.

Early Childhood Education Expansion: Malaysia’s Ministry of Education plans to roll out 1,040 new preschool classes by 2027, building on 10,491 existing preschool classes as of May 31 that serve 217,026 children, with support from KEMAS kindergartens and Tabika Perpaduan. Digital Banking Focus: A roundup highlights Malaysia’s five fully licensed digital banks, explaining how each targets different user needs and what deposit protection applies. Tourist Connectivity: U Mobile launched its RM15 ULTRA Tourist Plan for non-Malaysians, bundling 100GB full-speed data for seven days plus a Grab Visit Malaysia 2026 Travel Pass with vouchers. AI in Business (Local Angle): Ahmad’s HotChicken rebranded and announced an “AI CEO” to manage operations and marketing, while a separate feature shows how Malaysian freelancers are using AI tools to cut project slide prep from weeks to minutes. Energy Storage Push: Sungrow officially commissioned TNB’s 100MW/400MWh Santong BESS in Terengganu, aiming to boost grid resilience and renewable integration. Robotics Export: Hefei Zerith delivered three wheeled humanoid robots to a Malaysian lab for research and testing, marking the first overseas shipment of its complete system. Women Leadership Pipeline: TalentCorp launched the largest Wanita MyWira WIN cohort, mentoring 500 young women with a strong STEM/TVET focus. Social Media Safety Rules: Malaysia begins enforcing age limits for social media accounts under 16, with families and critics raising concerns about implementation and privacy. Extreme Endurance Culture: A guide explains the Iron Butt Challenge and whether Malaysians can take part using any motorcycle. Aviation Network Growth: Sarawak’s AirBorneo opened Kuala Lumpur ticket sales, starting with a single KL–Kuching flight before moving to twice-daily services. Health Insurance Pilot: MediAsas basic medical insurance and takaful pilot starts in the Klang Valley end-July with premiums expected from about RM60/month. Datacentre Bottlenecks: A global report warns datacentre projects face delays and hurdles, threatening the pace of the AI boom.

Agro-Food Digital Push: FAMA is upgrading its Agroborong.com B2B trading platform, aiming to improve market access and strengthen Malaysia’s food supply chain with more digital adoption among agro-food entrepreneurs. Rehab Tech in Melaka: UTeM’s MADANI Community Rehabilitation Centre is using Roboglove, an Assistive Lower Limb Chair and an exoskeleton system to support stroke and mobility recovery. Food Security Update: DOSM reports Malaysia’s Malaysian Food Security Index rose to 61.5 in 2024 (from 54.5 in 2023), with accessibility strongest and availability needing more work; IoT and drones are highlighted as key tools. AI Workforce Drive: PM Anwar calls for faster skills preparation for the AI era and is finalising an AI Governance Bill to build a regulatory framework. Digital Infrastructure for AI: NEC’s I-2SEA submarine cable deal will link India’s AI hubs with Singapore and Kuala Lumpur, targeting operations in 2029. Competition Law for Tech-Era Markets: Dewan Rakyat passed the Competition (Amendment) Bill 2026, adding tougher rules against tech-enabled cartels and record tampering. Regional Payroll Expansion: AscentHR acquired OS HRS to boost APAC payroll, compliance and local-language support. Education & STEM Results: 17 Malaysian students won 22 medals at KEO 2026 in Macau, including top science awards. Defense Shipbuilding Milestone: RMN’s Littoral Mission Ship Batch 2 (Tunku-class) is on schedule, with the second vessel launched and setting-to-work integration underway. Rare Earth Processing in Perak: French firm Carester plans a rare earth separation plant in Perak via a 10-year JV with Malaco Mining, supported by local deposit mapping and Malaysia’s downstream processing push.

HR Tech Deal: AscentHR has acquired Malaysia-based OS HRS (100% of equity in Malaysia, Japan and India) to expand regional payroll, compliance and workforce solutions across APAC and the Middle East, with phased integration and native-language support. Food Security & Ag Tech: Malaysia’s Food Security Index score rose to 61.5 in 2024 (from 54.5 in 2023), with accessibility strongest; officials point to boosting domestic agriculture and using IoT and drones to modernise paddy farming. Digital Border Readiness: Malaysia and Singapore are planning a new digital immigration system for the Johor–Singapore border, targeted for January 2027 to reduce commuter congestion. AI/Chip Supply Chain Watch: Singapore prosecutors expanded charges in an AI server fraud case tied to Nvidia chip export controls, alleging misrepresented end-users and routing through Singapore. AI Infrastructure in Johor: Vertiv opened a new Johor manufacturing facility for power and cooling infrastructure for AI and data centres, aiming to create up to 500 skilled jobs by 2027. Online Safety & Elections: With Malaysia’s Online Safety Act 2025 in force, researchers warn that during Johor election season, social media reach and engagement can matter more than source reliability—raising the stakes for misinformation control.