In the excitement brought about by the surge of foreign investments in Malaysia’s digital economy, the government wants to see more homegrown technology companies “jump on the bandwagon” and expand their businesses in the country, Digital Minister Gobind Singh Deo said.

He said one of the many efforts undertaken by the government to make that aspiration a reality was the Gateway, Amplify, Invest & Nurture (GAIN) initiative by the Malaysia Digital Economy Corporation (MDEC).

GAIN aims to drive market access programmes for Malaysian tech companies via business-to-business matching and networking activities with global tech ecosystem players.

“Since 2017, GAIN has accessed the markets of over 26 nations. It has seen the involvement of over 150 Malaysian tech companies and organised over 1,000 one-to-one business meetings.

“Thanks to the direct facilitation under GAIN, we have seen revenues of RM31.9 billion from 2017 till to date, and exports worth RM11.2 billion,” he said in his speech at the DIGERATI50 Networking Cocktail event in Cyberjaya here Friday.

Gobind said the digital economy was expected to play a crucial part in Malaysia’s overall economy, as it was projected to contribute 25.5% to the country’s gross domestic product by the end of next year.

He said Malaysia was on the right path in achieving that target, as indicated by the rise in digital investment to RM66.22 billion in the first half of this year, surpassing the RM46.2 billion recorded in 2023.

“These investments hinge on the resilience of our digital sphere. While generative artificial intelligence (AI), for example, can bring a whole lot of benefits to our economy and society, we must also ensure such technology is soundly implemented,” he noted.

On another note, Gobind said Cyberjaya, over the years, had been successful in putting in place a tech ecosystem where companies involved could flourish under the Multimedia Super Corridor (MSC) project.

“The advancement in technology and innovation that we experience today started 28 years ago. The MSC project launched in 1996 was the starting point of our country’s journey in technology and Cyberjaya was the nucleus of the MSC,” he said.

Cyberview Sdn Bhd is mandated to drive the growth of a holistic global tech hub ecosystem in Cyberjaya.

Picking up on Gobind’s acknowledgement of Cyberjaya’s success, Cyberview chief executive officer Kamarul Ariffin Abdul Samad said the city had nurtured over 100 startups, raised RM255 million in total investment, generated RM792 million in cumulative revenue and created 1,450 jobs.

He said Cyberjaya would continue to be the preferred investment destination of the “big boys” in the digital tech landscape, especially with the increasing demands from those companies to set up data centres for the region, here in Malaysia.

“With the key digital infrastructure as backbone to the digital economy — the data centres — firmly in place, we foresee further development in digitisation across industries, especially in the areas of emerging technologies like big data, robotics and generative AI.

“Enterprises and businesses, for example, are already integrating AI into their operations and workflows. We are excited to see how AI will soon change industries, services and the society at large,” he added.

Source: Bernama

Govt wants more local tech companies to expand their business in Malaysia — Gobind

Inflow of RM27bil poised to nurture the country’s next-generation digital talent

United States-based Oracle Corp’s investment of over Us$6.5bil (Rm27bil) in Malaysia is expected to nurture the country’s next-generation digital talent and strengthen its digital economy.

The multi-billion-dollar investment will be used to establish a new cloud region aimed at harnessing the power of artificial intelligence (AI) and modernising local businesses.

Oracle Malaysia managing director Fitri Abdullah said Oracle understands the importance of developing Malaysia’s talent pool to ensure a skilled and ready workforce as the country’s digital economy grows.

“We have made great strides with Oracle Academy in Malaysia that has worked with more than 80 educational institutions to help them prepare students for successful technology careers with knowledge, handson practice and career-relevant skills. Our investment of more than Us$6.5bil continues to build on nurturing Malaysia’s next generation of digital talent,” Fitri told Starbiz.

Yesterday, Oracle said it plans to invest more than Us$6.5bil to set up its first public cloud region in Malaysia.

Oracle’s investment in Malaysia marks one of the largest technology commitments in the country, driving the total investment by global tech giants to Us$16.9bil to-date.

This follows Microsoft Corp’s Us$2.2bil push to expand cloud and AI services, Google’s Us$2bil for its first data centre and cloud region, and Amazon Web Services’ Us$6.2bil commitment through 2038, underscoring Malaysia’s growing importance as a digital hub in South-east Asia.

Although Oracle did not specify the timeframes for the investment, Fitri said the investment underscored the company’s long-term commitment to the country, where it has operated for over 35 years.

“With Oracle’s cloud region in Malaysia, organisations in the country will be able to migrate mission-critical workloads to the Oracle Cloud Infrastructure (OCI) and leverage cloud and AI infrastructure and services,” he added.

It will enable businesses to modernise their applications, innovate with data and analytics, and capitalise on advanced AI capabilities.

The firm said the new cloud region will offer access to more than 150 services, further driving Ai-fuelled innovation and supporting Malaysia’s digital economy.

It will also extend OCI’S footprint in Asiapacific to a total of 12 public cloud regions.

Oracle Japan and Asia-pacific executive vice-president and general manager Garrett Ilg said Malaysia offered unique growth opportunities for organisations looking to accelerate their expansion with the latest digital technologies.

“Our multi-billion-dollar investment affirms our commitment to Malaysia as a regional gateway for cloud infrastructure

“With Oracle’s cloud region in Malaysia, organisations in the country will be able to migrate mission-critical workloads to the Oracle Cloud Infrastructure and leverage cloud and AI infrastructure and services.” Fitri Abdullah.

Source: The Star

Oracle investment to boost digital economy

RHB Research said Wednesday that Malaysia is set to emerge as the largest data centre hub in the Association of Southeast Asian Nations (ASEAN) region with about 4 gigawatts (GW) of inventories projected to come on stream over the next four to five years, Xinhua News Agency reported.

The research house said in a note that approximately 2 GW of inventories are under construction and committed for, largely in Johor state, with close to 3 GW in developmental stages.

“This capacity is in the developmental stages, and will be added progressively over the next three to five years,” it noted.

According to RHB, potential data centre inventory by 2028 would be 10 times more than what it took the industry to build over the last two decades.

This would put Malaysia ahead of Singapore, Asia’s largest data centre metro where capacity is projected to stabilize at 1.4 GW due to land scarcity and stricter conditions imposed on new builds, it added.

RHB also noted approvals for data centre investments in Malaysia are expected to hit another high in 2024, ahead of the guidelines to be enacted on new builds with the investment pipeline looking strong going into 2025.

“We continue to see data centre-related news flow shaping market sentiment on the back of structural demand, the lower interest rate environment and multi-year investments by hyper scalers,” it said.

The investments act as a strong funnel for growth, adding to the investments by wholesale co-location providers, said the research house.

“We see the strong commercial proposition of data centres spawning more mergers and acquisitions and strategic partnerships across multiple stakeholders, fueling an expansion in transaction multiples,” it noted.

It also opined that agricultural landowners are warming to diversification opportunities in light of declining yields from traditional crops.

RHB sees accelerated adoption of artificial intelligence (AI) catalyzing demand for scalable data center infrastructure.

“The prolific cycle of investments should downplay growing concerns over an inventory oversupply, in our view,” it said.

It noted the risks of a supply glut should also be mitigated by data compliance and residency requirements, modular expansion undertaken by data centre owners and the need for older facilities
to be retrofitted to meet current needs.

RHB also sees data centre investments as a catalytic enabler to raise Malaysia’s economic complexity and move up the technology ladder.

Source: Bernama

Analyst Sees Malaysia To Emerge As Largest Data Center Hub In ASEAN

Data centre (DC) investments are a catalytic enabler for raising Malaysia’s economic complexity and advancing its position on the technology ladder, said RHB Investment Bank Bhd (RHB IB).

In a research note, RHB IB highlighted that the timely development of the Johor-Singapore Special Economic Zone (JS-SEZ) serves as a potent stimulus, creating fecund ground for DCs to flourish.

“We continue to see DC-related news shaping market sentiment, driven by structural demand, a lower interest rate environment and multi-year investments by hyperscalers.

“DC investment approvals are expected to reach new highs in 2024, ahead of the enactment of guidelines for new builds. The investment pipeline remains robust, extending into 2025,” it said.

Additionally, Malaysia’s domestic DC landscape has received a significant boost from hyperscalers committed to establishing cloud regions.

“The multi-billion ringgit investments provide a strong foundation for growth, complementing investments from wholesale colocation providers,” it added.

According to DC Byte, more than 1.0 gigawatt (GW) of supply is expected to come online within the next two years, compared to the current installed capacity of less than 400 megawatts (MW).

“Approximately 3.0 GW of capacity is in the developmental stages and will be added progressively over the next three to five years.

“By 2028, potential DC inventory could be 10 times greater than what the industry has built over the past two decades.

“This would position Malaysia ahead of Singapore, Asia’s largest DC hub, where capacity is expected to stabilise at 1.4 GW due to land constraints and stricter conditions on new developments,” it noted.

RHB IB also anticipates accelerated adoption of artificial intelligence (AI) driving demand for scalable DC infrastructure.

“More complex AI models will lead to exponential growth in DC workloads, with increased investments in graphics processing units needed to manage and process vast datasets required to train AI models,” it said.

RHB IB’s preferred DC stock picks include Telekom Malaysia Bhd, Tenaga Nasional Bhd, IJM Corp Bhd and Mah Sing Group Bhd.

Source: Bernama

RHB IB: Data Centres A Catalyst For Malaysia’s Economic Growth

Google’s hyperscale data centre at Elmina Business Park is being built by Sime Darby Property Bhd (SD Property) according to Google’s customised specifications and infrastructure requirements.

SD Property said the lease arrangement with Google marked the first and only of its kind to-date by a developer in Malaysia.

The hyperscale data centre broke grounds today, and upon completion, the developer said it will be operated by Google.

SD Property expects to roll out more projects under this business model with high-calibre clients in technology-driven manufacturing and logistics businesses, in addition to the data centre space.

“SD Property  is proud to establish Google’s first hyperscale data centre in Malaysia at our Elmina Business Park and would like to thank Google for the trust placed in us.

“Our venture into this new economy asset class with a leading tech giant positions Elmina Business Park as a top destination for global tech firms,” said SD Property group managing director Datuk Seri Azmir Merican.

He added that the Elmina Business Park represented SD Property’s efforts as a responsible developer to the nation from both an economic and societal contribution perspective.

“It serves as a blueprint for our future business parks throughout Malaysia,” he said.

The park is designed to support the digital economy with critical infrastructure, including large-scale water and energy solutions.

The development is expected to attract additional data centres, large-scale manufacturers, and small and medium-sized enterprises (SMEs).

Upon full development of Elmina Business Park in 2035, the broader business ecosystem is projected to create 35,000 job opportunities to meet operational demands.

Google global director of data centre energy and location strategy Gary Demasi said it is pleased to have broken ground on its first data centre and cloud region campus in Malaysia at Elmina Business Park.

“We look forward to further potential collaboration with SD Property as part of our continued efforts to advance the country’s goals of boosting its digital competitiveness and establishing itself as a regional hub for artificial intelligence innovation,” Demasi added.

Source: NST

Google’s hyperscale data centre at Elmina Business Park breaks ground

Oracle today announced that it plans to invest more than US$6.5 billion (US$1 = RM4.15) to open a public cloud region in Malaysia to meet the rapidly growing demand for its artificial intelligence (AI) and cloud services here.

In a statement today, Oracle said that the upcoming cloud region will enable its customers and partners in Malaysia to leverage AI infrastructure and services and migrate mission-critical workloads to Oracle Cloud Infrastructure (OCI).

It quoted Minister of Investment, Trade and Industry Tengku Datuk Seri Zafrul Abdul Aziz, who said, “We warmly welcome Oracle’s US$6.5 billion investment in Malaysia, which represents yet another expansion of their 36-year footprint in Malaysia.

“This investment will empower Malaysian entities, especially small and medium-sized enterprises, with innovative and cutting-edge AI and cloud technologies to enhance their global competitiveness.

Zafrul said the investment is also a significant step towards realising the country’s New Industrial Master Plan’s ambitious vision of creating 3,000 smart factories by 2030.

“Oracle’s decision to establish a public cloud region in Malaysia underscores Malaysia’s infrastructure readiness and its growing position as a premier Southeast Asian destination for digital investments,” he added.

Meanwhile, Oracle executive vice-president and general manager of Japan and Asia Pacific, Garrett Ilg, said Malaysia offers unique growth opportunities for organisations looking to accelerate their expansion with the latest digital technologies.

“Our multi-billion dollar investment affirms our commitment to Malaysia as a regional gateway for cloud infrastructure as well as a comprehensive suite of SaaS applications deployed within Malaysia,” he said.

IDC vice-president of cloud, data centre and future digital infrastructure, Asia Pacific, Franco Chiam, said the upcoming Oracle cloud region in Malaysia signals the country’s potential to become a hub for technological innovation and growth in Southeast Asia.

Oracle said the planned public cloud region will help organisations in Malaysia modernise their applications, migrate all types of workloads to the cloud, and innovate with data, analytics, and AI.

It said customers could have access to, among others, Oracle’s OCI Generative AI Agents with retrieval-augmented generation (RAG) capabilities as well as accelerated computing and generative AI services to help keep sovereign AI models within country borders.

“Additionally, over 150 services, including Oracle Autonomous Database and Oracle Cloud VMware Solution, will also be available, offering customers infrastructure, platform, or software as a service (SaaS) services,” Oracle added.

Source: Bernama

Oracle to invest more than US$6.5 billion in AI and cloud computing in Malaysia

Prime Minister Datuk Seri Anwar Ibrahim said Oracle’s investment decision reflects the confidence and commitment of global technology companies in Malaysia’s potential as a regional gateway for cloud infrastructure and supporting the growth of the regional artificial intelligence (AI) ecosystem.

Anwar, who is also the Finance Minister, welcomed Oracle’s announcement today that it will open its first public cloud centre in Malaysia with an investment amounting to US$6.5 billion (US$1=RM4.15).

“The clarity of policies and strategic cooperation approach implemented by the MADANI Government has successfully attracted investment from the world’s leading technology companies such as Amazon Web Services, Microsoft, Google and most recently, Oracle.

“The entire project announced by these companies so far involves an estimated investment worth US$16.9 billion,“ he said in his official X.com account today.

According to the prime minister, it is important for the local workforce and companies to seize the best opportunities from these investments.

“In a series of discussions with investors, including the top management of these companies, I emphasised the importance of expanding long-term benefits to Malaysia, including the development of centres of excellence, AI faculty and the empowerment of community groups.

“I am confident that with the support of all parties, the goals and targets of MADANI Economy will be achieved,“ he added.

Earlier today, Oracle said the upcoming cloud region will enable its customers and partners in Malaysia to leverage AI infrastructure and services and migrate mission-critical workloads to Oracle Cloud Infrastructure (OCI).

It said that the planned public cloud region will help organisations in Malaysia modernise their applications, migrate all types of workloads to the cloud, and innovate with data, analytics, and AI.

Source: Bernama

Oracle’s investment reflects global tech companies’ confidence in Malaysia – PM

Malaysia is poised to become the largest data centre (DC) hub in the region with about four gigawatt (GW) of inventories projected to come on stream over the next four to five years, said RHB Research.

According to DC Byte, more than 1.0GW of supply is expected to come on stream over the next two years versus the current installed capacity of under 400 megawatts (MW).

About 3.0GW of capacity is in the developmental stages, and will be added progressively over the next three to five years.

RHB Research said potential DC inventory by 2028 would be 10 times more than what it took the industry to build over the last two decades.

“This would put Malaysia ahead of Singapore, Asia’s largest DC metro where capacity is projected to stabilise at 1.4GW due to land scarcity and stricter conditions imposed on new builds,” it said in a note.

RHB Research sees accelerated adoption of artificial intelligence (AI) catalysing demand for scalable DC infrastructure.

The firm noted that more complex AI models will translate into exponential growth in DC workloads with greater investments in graphics processing units (GPUs) to handle and process the enormous datasets to train AI models.

“The prolific cycle of investments should downplay growing concerns over an inventory oversupply, in our view,” it said.

RHB Research continues to see DC-related news flow shaping market sentiment on the back of structural demand, the lower interest rate environment and multi-year investments by hyperscalers.

The firm said approvals for DC investments are expected to hit another high in 2024, ahead of the guidelines to be enacted on new builds with the investment pipeline looking strong going into 2025.

“Our preferred DC stock picks are Telekom Malaysia Bhd, Singapore Telecommunications Ltd, Tenaga Nasional Bhd, YTL Power International Bhd, Gamuda Bhd, Sunway Construction Group Bhd, IJM Corp Bhd, Sime Darby Property Bhd and Mah Sing Group Bhd,” it added.

Source: NST

Malaysia to be Asia’s largest data centre hub ahead of Singapore by 2028?

Construction of Google data centre will bring RM13.3bil to M’sia’s economy by 2030

The construction of the Google data centre, along with other investments, is anticipated to create over 64,000 high-value jobs locally.

Investment, Trade and Industry Minister Tengku Datuk Seri Zafrul Abdul Aziz noted that globally, data centres typically generate four to six additional jobs for each direct role, although this multiplier can vary by region and sector.

“For example, Google’s US data centres report a 5.9 multiplier, meaning nearly six indirect jobs for each direct one. This highlights the broader economic impact and job creation potential for Malaysia’s data centre industry,” he said.

“These state-of-the-art facilities will not only empower our manufacturing and service-based industries – particularly the small and medium businesses (SMBs) – to leverage advanced technologies like AI (artificial intelligence) and cloud computing, but also enhance our industries’ capacity to move up the global value chain,” said Tengku Zafrul.

Facilitated by the Malaysian Investment Development Authority (Mida) and Malaysia Digital Economy Corporation (MDEC), Google’s construction of a data centre in Malaysia is part of a US$2bil (RM8.3bil) investment. This initiative is projected to contribute US$3.2bil (RM13.3bil) to the economy.

He also added that Google’s data centres will play a crucial role under the New Industrial Master Plan 2030 (NIMP 2030), which targets the creation of 3,000 smart factories by 2030.

“Data centres are also critical enablers for Malaysia’s ambition to become a regional leader in cloud computing and AI (artificial intelligence).

“Regionally, the demand for data processing and storage solutions is increasing exponentially. Malaysia is well positioned to meet this demand, thanks to the robust digital infrastructure we are building, which includes data centres.

“Equally important is how data centres enable start-ups and SMEs to access advanced technologies, helping them scale their operations and compete globally,” he said.

Data centres, cloud services and digital government initiatives, he said, are the foundation for the development of services in other sectors such as finance, healthcare and education.

According to Tengku Zafrul, the new data centres will be a “new corporate benchmark in Malaysia via their power (PUE) and water (WUE) usage effectiveness”.

Google said it will be working with both the Global Environment Centre (GEC) and Petaling Jaya City Council (MBPJ) on water stewardship efforts at Taman Aman Lake in Selangor and the surrounding areas.

This marks the company’s first project of this kind in Malaysia and aims to improve water quality and biodiversity at the lake by utilising floating constructed wetlands and reintroducing native aquatic species.

Under the water stewardship programme, Google aims to replenish 120% of the water it consumes by 2030.

The company also announced that it is expanding its Solar API service to accelerate solar energy adoption in the country.

“In line with Malaysia’s nett-zero goals, we also welcome Google’s leadership in energy-efficient operations, which will undoubtedly set new national benchmarks in power and water usage effectiveness,” said Tengku Zafrul.

“But above all, this journey is about our people. It is crucial for Malaysians to be equipped with the skills required for the jobs of the future, particularly as more hi-tech and AI-focused investments flow into the country and we grow Malaysia’s capacity to serve the region’s digital economy,” he said.

Alphabet president and Google chief investment officer, Ruth Porat, said the company reaffirms support for advancing the country’s digital future.

“Google’s investments in infrastructure, digital skilling and sustainability represent progress on our joint efforts with the government of Malaysia to create high- value jobs and bring the benefits of AI to local communities and companies.

“As we do this, Google will continue its responsible stewardship of natural resources by improving community watershed health and ecosystems in Malaysia and helping to drive local adoption of renewable energy sources,” she said.

Google also launched the Future Skills for All (FS4A) digital training initiative, a programme aimed at training 260 teachers in Selangor. These teachers will, in turn, train up to 61,000 students across the state.

The FS4A programme is a collaborative effort involving MDEC, Unicef Malaysia, CelcomDigi and Arus Academy, with backing from the Education Ministry.

Tengku Zafrul said he hopes the initiative will “be replicated in other states”.

“Google’s continued commitment to upskilling our workforce through programmes like Gemilang (Google’s digital career certification platform) and Future Skills for All will also ensure a more inclusive digital future for Malaysia’s workforce,” he added.

Source: The Star

64,000 high-value jobs coming up

Oracle plans to invest more than US$6.5 billion to set up its first public cloud region in Malaysia, the company said on Wednesday, the latest major investment by a global tech firm into the Southeast Asian country.

Technology giants including Microsoft, Nvidia , Alphabet unit Google and China’s ByteDance have announced billions of dollars worth of digital investments into Malaysia since last year, mostly in cloud services and data centres, powering an infrastructure boom driven by growing demand for artificial intelligence (AI).

A cloud region is the physical, geographic location where a company’s public cloud facilities are located. Oracle’s venture is set to be one of the largest single tech investments so far, outpacing the US$6.2 billion planned spending by Amazon’s cloud unit AWS announced last year.

The planned public cloud region will help organisations in Malaysia modernise their applications, migrate their workload to the cloud, and innovate with data, analytics and AI, the U.S. firm said in a statement.

It would also allow the firm’s Malaysian customers which include government agencies, financial institutions, and airline and hospitality companies, to use cloud services based in the country, rather than those based externally, said Oracle’s Executive Vice President for Japan and Asia Pacific Garrett Ilg.

“Those customers look to Oracle to support their innovation… to move into standardised processes to be faster, to be more controlled and be more cost-effective,” Ilg told Reuters in an interview.

The cloud region in Malaysia would be Oracle’s third in Southeast Asia, after its two existing facilities in Singapore. It currently has 50 public cloud regions across 24 countries, according to its website.

Oracle last month raised its fiscal 2026 revenue forecast and said it expects to cross US$100 billion in revenue in fiscal 2029, indicating rising demand for its cloud services.

The company also wants to continue its expansion across Asia, with more data centres and infrastructure projects planned “from Japan all the way down to New Zealand… all the way to India,” Ilg said.

Chris Chelliah, Oracle’s senior vice president for technology and customer strategy in Japan and Asia Pacific, said Malaysia provided further growth potential and market opportunities for the company as part of a broader AI and data centre development push in Southeast Asia.

In the past year, Microsoft has announced cloud services investments worth US$1.7 billion in Indonesia, while Amazon has announced plans to invest US$9 billion in Singapore and $5 billion in Thailand.

Google on Tuesday broke ground on a US$2 billion data centre in Malaysia, part of investments that it said would contribute more than US$3 billion to the country’s economy by 2030.

Source: NST/Reuters

Oracle to invest US$6.5 billion to set up cloud facilities in Malaysia

Google said today its investments in Malaysia would create 26,500 jobs and contribute more than US$3 billion to its economy by 2030, as it announced its new data centre and Cloud region there had broken ground.

The start of construction of the new US$2 billion data centre in Malaysia follows Monday’s announcement of its multiyear partnership with local tech firm Dagang NeXchange Bhd to provide sovereign cloud services.

It also follows Monday’s announcement that it would invest US$1 billion in Thailand to build a data centre and cloud region there, to meet growing cloud demand and support Artificial Intelligence (AI) adoption in Southeast Asia.

“Our investments are designed to provide high performing and reliability, meeting demand for cloud and AI services across the country,” Google president and chief investment officer Ruth Porat told an event in Malaysia.

Investment, Trade and Industry Minister Tengku Datuk Seri Zafrul Andul Aziz said data centres would support the country’s ambitions to be a regional leader in the tech sector, including AI.

“Regionally the demand for data processing and storage solutions is increasing exponentially and Malaysia is well positioned to meet this demand,” he told the event.

Digital investments have helped propel Malaysia’s economy this year, with growth beating market expectations in the last two quarters and the ringgit currency becoming one of Asia’s top performers.

Porat said its ventures in Malaysia included support for new sustainability initiatives, such as improvements in water quality, plus skilling, with 355,000 Malaysians already trained since 2019 in digital skills.

Google’s moves are a part of a wider expansion by global tech companies into Southeast Asia, as they vie for a greater presence in a region with a young tech-savvy population of 670 million.

Earlier this year, Microsoft announced cloud services investments worth US$1.7 billion in Indonesia, while Amazon plans to invest US$9 billion in Singapore, US$5 billion in Thailand and US$6.2 billion in Malaysia. 

Source: The Sun/Reuters

Google: Malaysia investments to add US$3b to economy by 2030, create 26,500 jobs

Google’s US$2 billion investment in its new data centre and cloud region in Malaysia is projected to generate US$3.2 billion in gross domestic product (GDP) growth and create 26,000 highly skilled jobs over the next five years, said Minister of Investment, Trade and Industry Tengku Datuk Seri Zafrul Abdul Aziz.

Tengku Zafrul said this represents real opportunities for Malaysians to participate in and benefit from the digital economy.

“Google’s data centre is clearly in alignment with Malaysia’s New Industrial Master Plan 2030 (NIMP 2030). 

“Under NIMP 2030, we aim to create 3,000 smart factories by 2030, driven by advanced technologies such as AI, big data, and machine learning,” he said at ‘Mantap Malaysia Bersama AI’, a Google for Malaysia event here, yesterday.

Universiti Kuala Lumpur Business School economic analyst associate professor Aimi Zulhazmi Abdul Rashid said Google’s investment in Malaysia underlined the country’s growing reputation in the IT industry.

“This is not only as a major producer of semiconductors but also data centres, which is only made possible by Malaysia’s strong infrastructures and support from an investors-friendly government,” he told the Business Times.

Similarly, Aimi said huge movement by the multinational companies (MNCs) of the IT industry will spillover to related industries, as a beacon of growth and investment. 

“The compounding economic effect will be on the real estate industry, construction to others like education, telecommunication, which will forge economic Development to Malaysia, driving more foreign direct investment (FDI) and omestic direct investment (DDI),” he said.

Economist Dr Geoffrey Williams, however, offered a cautious interpretation of the announcement. 

“If the projection is accurate it would add just under 0.15 per cent to GDP in each year and eventually create 26,000 jobs in the wider economy and supply-chain but not necessarily from the data centre itself,” Williams said. 

Google’s groundbreaking ceremony for its first US$2 billion data centre and cloud infrastructure was held yesterday in Elmina Business Park, Selangor.

With construction underway, the data centre and cloud infrastructure will help meet growing demand for Google Cloud capabilities, Al innovations, and other digital products and services that people and organisations in Malaysia use every day.

Prime Minister Datuk Seri Anwar Ibrahim was the guest of honour at Google for Malaysia, where he was hosted by Alphabet and Google president and chief investment officer Ruth Porat.

Porat said Google reaffirms its support for advancing Malaysia’s digital future with the groundbreaking of its data centre and cloud region in Selangor.

She said Google’s investments in infrastructure, digital skilling, and sustainability represent progress on its joint efforts with the government of Malaysia to create high-value jobs and bring the benefits of Al to local communities and companies.

“Together, we will empower individuals and businesses in Malaysia to innovate, grow, and fully harness the potential of the digital age.

“As we do this, Google will continue its responsible stewardship of natural resources by improving community watershed health and ecosystems in Malaysia and helping to drive local adoption of renewable energy sources,” she said.

Google also announced a series of local digital skills and sustainability partnerships that build on the strategic collaboration it established with the government at the Asia Pacific Economic Cooperation (APEC) Leaders’ Meeting in November 2023.

Source: NST

Google a big boost for economic growth

Malaysia has the potential to become a hub for technological innovation in Southeast Asia, says Deputy Prime Minister Datuk Seri Fadillah Yusof.

He said that by fostering a culture of creativity and entrepreneurship, engineers could be empowered to develop solutions that were not only locally relevant but also globally competitive.

“Currently, Malaysia has around 200,000 engineers, with universities producing approximately 15,000 new engineers each year. We need not only those who can design and construct infrastructure but also those who can tackle problems, addressing both national and global challenges,” he said at the Board of Engineers Malaysia (BEM) convention today.

Highlighting green energy as a critical focus area for engineers, Fadillah said: “As we transition to green energy, we require engineers to contribute to sustainable solutions for our environment.”

He said there was a need for collaboration among various stakeholders — including the government, academia, industry practitioners, non-governmental organisations, and the private sector — to establish Malaysia as a centre for engineering excellence.

“If we can cultivate partnerships among these stakeholders, Insyallah, we can position Malaysia as a hub for engineering development,” he added.

Earlier, Fadillah attended the signing ceremony for a memorandum of understanding regarding the electronic bulk (e-bulk) registration of university students with the BEM.

The e-bulk registration system serves as an online platform designed for engineering graduates, providing them with opportunities to apply their skills and gain professional experience.

This initiative ensures that their practical experience is recognized and endorsed by the BEM.

Source: NST

Malaysia set to shine as Southeast Asia’s tech innovation hub, says Fadillah

Malaysia and South Korea aim to enhance the Memorandum of Understanding (MoU) on bilateral cooperation in the field of Information and Communication Technology (ICT), which was signed in 2019, by November this year.

The matter was raised during a meeting between Communications Minister Fahmi Fadzil and South Korea’s Minister of Science and ICT (MSIT) Yoo Sang-im, at the GSMA M360 APAC 2024 conference here today.

Fahmi stated that proposed improvements include the integration of artificial intelligence (AI) technology, which is increasingly being utilised across sectors on par with advancements of the digital era.

“The discussions I had with telecommunications companies here focused not only on 5G infrastructure but also on AI-powered 5G and leveraging high-speed internet for AI applications.

“They are not looking into 6G currently, as they have just completed the implementation of 5G. In my discussions with both the minister and industry representatives, it is clear that the current focus is on applications. 5G provides high-speed internet, and so the question is, what do we do with that speed? Then the focus shifts to AI,” he said after the meeting.

The 2019 MoU between the Ministry of Communications and Multimedia, Malaysia, and the MSIT, South Korea provides long-term benefits to both nations, enhancing investment and providing extensive opportunities for high-tech exchanges.

Earlier, Fahmi and Yoo held a nearly 30-minute meeting to discuss issues such as connectivity, the implementation of 5G Advanced, cybersecurity, filmmaking, and social media.

This marks Fahmi’s first meeting with Yoo, who was appointed as minister last July.

Fahmi is currently on a three-day working visit to South Korea, which began yesterday. He is scheduled to deliver the keynote address during a session titled “Building the AI-Enabled Digital Backbone” at the GSMA M360 APAC 2024 conference.

GSMA is a global organisation that represents the interests of mobile network operators worldwide within the mobile ecosystem and related industries.

Source: Bernama

Malaysia, South Korea aim to enhance ICT MoU, focus on AI tech

Google’s new data centre in Malaysia is set to become the corporate benchmark for power and water usage effectiveness, in line with the country’s circular economy best practices.

Investment, Trade and Industry Minister Tengku Datuk Seri Zafrul Abdul Aziz said the government will introduce guidelines that focus on power and water usage effectiveness alongside the centre’s development.

He said these guidelines are to minimise the environmental footprint of data centres while maximising their operational efficiency.

“We are aware of how energy-intensive data centres can be. That is why our Green Investment Strategy (GIS) is focused on ensuring that all new digital infrastructure developments, including data centres, support our commitment to achieving net-zero emissions by 2050,” he said in his keynote address at the “Mantap Malaysia Bersama AI” event here today.

Tengku Zafrul also said the upcoming Corporate Renewable Energy Support Scheme (CRESS) will enable third-party access (TPA) for renewable energy.

He noted that the scheme allows companies to source clean energy directly from energy producers.

“This will further promote green energy adoption to support the decarbonisation of Malaysia’s digital infrastructure,“ he noted.

According to Tengku Zafrul, since 2021, Malaysia has approved RM123.5 billion in data centre investments through the Malaysian Investment Development Authority (MIDA) and Malaysia Digital Economy Corporation (MDEC).

“The approved investments have positioned the country as a preferred regional data centre hub, and collectively, these investments are expected to create more than 64,000 high-value jobs,“ he added.

Earlier, Prime Minister Datuk Seri Anwar Ibrahim attended Google’s groundbreaking ceremony for its US$2 billion (US$1 = RM4.12) data centre and cloud region in Malaysia.

The data centre, under construction in Elmina Business Park, Selangor, will address the rising demand for Google cloud capabilities, artificial intelligence (AI) innovations, and other digital services used daily by individuals and organisations in Malaysia.

Google’s investment is expected to generate an economic impact exceeding US$3.2 billion and create 26,500 jobs by 2030.

Source: Bernama

Google’s Malaysia data centre sets new standard for power, water usage efficiency

Prime Minister Datuk Seri Anwar Ibrahim has unveiled the National Cloud Policy, which emphasises four areas: public service innovation and efficiency; economic competitiveness and growth; fuelling economic expansion by enabling businesses; strengthening user trust and data security, and empower citizens through digital inclusivity.

He said the Madani government will boost public service innovation and efficiency, and by leveraging cloud technology, the government aims to modernise operations, foster citizen engagement, and streamline public service delivery.

“Secondly, we seek to promote economic competitiveness and growth, fuel economic expansion by enabling businesses — especially small and medium enterprises and startups — to harness cloud technology for innovation, operational efficiency, and access to global markets,” he said at Google’s groundbreaking ceremony for its US$2 billion (RM8.24 billion) data centre and cloud region in Malaysia today.

Anwar added that the government is committed to strengthening user trust and data security and will establish robust security frameworks and protocols to protect sensitive data and critical infrastructure in both public and private cloud environments.

“Fourth and final, we will empower citizens through digital inclusivity. Our approach will be citizen-centric and inclusive, utilising cloud technology to enhance the accessibility and efficiency of digital-first public services,” he said.

He noted that policy interventions are essential and the government needs Google’s input in attracting digital investments.

“We put (in place) the initiative, but we cannot deny the fact that these initiatives are introduced after a series of discussions with the industry, including and particularly so, Google.

“(Google’s) collaborative role (is) to give the necessary improvement based on your (Google’s) past experience in other countries,” Anwar said.

The government aims to position Malaysia as a hub for generative artificial intelligence (AI). Thus, AI and investments from tech partners will be critical in building a robust and secure digital infrastructure.

“To drive Malaysia towards AI leadership, the Madani government has launched the AI Talent Roadmap for Malaysia and the Malaysia Artificial Intelligence Consortium as a concrete pathway towards AI advancement,” he said.

The Google data centre, which is under construction in Elmina Business Park, Selangor, will address the rising demand for Google Cloud capabilities, AI innovations, and other digital services used daily by individuals and organisations in Malaysia.

Google’s investment is expected to generate over US$3.2 billion (RM13.1 billion) in economic impact and create 26,500 jobs by 2030.

Source: Bernama

PM unveils National Cloud Policy, focus on four key areas

Kluang will become Johor’s logistics hub following the development of several infrastructure projects such as the Gemas-Johor Bahru Electrified Double Track project (Gemas-JB EDTP), the PLUS highway expansion and federal road upgrading works which will improve the district’s connectivity.

Johor Menteri Besar Datuk Onn Hafiz Ghazi said this will simultaneously open up business and job opportunities for the community in Kluang and the surrounding areas.

“I am confident that it (the logistics hub) will give a new impetus to Kluang district and other areas in Johor,” he told the media at the Johor Menteri Besar’s official residence, Saujana, here today.

He said a 2.1 km bypass from Taman Muhibah to Layang will be built with a RM60 million allocation to overcome congestion in Kluang, easing traffic flow for 30,000 vehicles daily.

Onn Hafiz said the state government has been applying for allocations to build the bypass over the past two years and it is expected to be approved this year.

“This will be a ‘game changer’ to reduce congestion (in Kluang). Road users will no longer need to enter the city centre with the access of a shortcut,” he said.

At the same event, state public works, transport, infrastructure and communications committee chairman Mohamad Fazli Mohamad Salleh said Kluang received a RM122 million allocation for maintenance works including the Mahkota State Assembly.

He said the allocation comprised state road maintenance works of RM26 million, local authority road maintenance (RM32 million), Federal road maintenance (RM59 million) and traffic and street lights maintenance (RM2 million).

State health and environment committee chairman Ling Tian Soon said Kluang has received an allocation of RM305,000 for the health sector so far to help 61 clinic and hospital pantries in addition to three advanced mobile clinic programmes in Johor and a postal medicine scheme involving 1,1171 beneficiaries.

Present at the same event were committee chairmen for state housing and local government Datuk Mohd Jafni Md Shukor; agriculture, agro-based industry and rural development Datuk Zahari Sarip; public works, transport, infrastructure and communications Mohamad Fazli Mohamad Salleh; and unity, heritage and culture Raven Kumar Krishnasamy. 

Source: Bernama

Kluang to become Johor’s logistics hub

The government is dedicated to advancing the country’s digital transformation and digital economy as critical components in enhancing Malaysia’s industrial economic complexity, said Prime Minister Datuk Seri Anwar Ibrahim.

In a post on X, Anwar said it is the government’s objective to position Malaysia as a leading generative artificial intelligence (AI) hub, both regionally and globally, by fortifying its digital infrastructure through collaboration with investors and partners.

He said Amazon Web Services (AWS), an Amazon.com Inc. company, has been a steadfast partner in the nation’s digital transformation journey.

“The launch of the AWS Region, along with its 15-year investment plan, demonstrates AWS’s unwavering long-term commitment to Malaysia,” he added.

Anwar said AWS’ RM29.2 billion investment in the AWS (Malaysia) Region project is projected to contribute RM57.3 billion to Malaysia’s gross domestic product between 2024 and 2038.

The investment is expected to create over 3,500 jobs directly from new data centres, he said.

Source: Bernama

Malaysia eyes global AI hub status with AWS RM29.2 bln investment – Anwar

Malaysia’s gaming industry is positioned for an increase in foreign investment, especially from Japan, according to the Malaysia Digital Economy Corporation (MDEC).

MDEC said this was due to lower business costs, a skilled talent pool, a robust network of Malaysian studios, and strong government support.

Its head of digital transformation, Datuk Fadzli Abdul Wahit, said MDEC’s role is to attract these foreign investors to meet, interact, and collaborate with Malaysia’s best companies.

“We spoke with a lot of Japanese companies. They acknowledge that Malaysia’s talent pool, compared with other countries, is widely accepted because of the knowledge, skills and competencies within our gaming industry.

“We also have a strong network of Malaysian studios that investors can work with, supported by a comprehensive ecosystem that allows for the development of the gaming industry moving forward,” he told Bernama.

Fadzli said the government also offers support through the Malaysia Digital status, which include tax incentives for foreign knowledge workers and considerations related to the time zone.

“It might be a small thing, but having a time zone allowing for a standard development cycle in the gaming industry is also an advantage for the gaming industry in terms of foreign investments. For example, the time zone difference between Japan and Malaysia is just one hour,” he said.

Fadzli noted that the presence of foreign investments, including PlayStation Studios, EA (Electronic Arts), and Bandai Namco Studios, serves as a testament to why Japanese companies choose to invest in Malaysia’s gaming industry.

He said Malaysia’s gaming industry has experienced significant growth over the past decade, evidenced by the increasing number of studios being established and the development of various intellectual properties (IPs).

“We have seen strong growth over the last 10 years. Regarding the average growth rate over the past five years, the gaming industry in Malaysia has already seen a peak of between 8%-9% compound annual growth rate.

“The growth for the past five years has contributed to more than US$100 million being generated for Malaysia,” he added.

Regarding export growth, Fadzli said there has been a significant increase of around 32% in the export market between 2014 and 2022, reflecting the ability of companies to offer export services.

MDEC anticipates the local gaming industry to grow at least five times over the next three to five years, fuelled by creating new IPs, strengthening existing opportunities, diversifying market access, and encouraging transmedia to co-create IPs.

Source: Bernama

Malaysia’s gaming industry set to attract investments from Japan

Sarawak has the potential to become one of Malaysia’s economic catalysts in the future through its green energy projects that are capable of strong growth and able to attract foreign investment, said Prime Minister Datuk Seri Anwar Ibrahim.

Anwar, who is optimistic about Sarawak’s economic development in the future, said that with Miri now developing a 500MW Combined Cycle Gas Turbine (CCGT) power plant, it is now the focus of countries that want to invest in green technology.

“I congratulate the Sarawak state government for quickly ‘catching’ (the opportunity). If we have investment, Sarawak, now including Miri, has become an energy hub for our region.

“If any country wants to see where is the energy hub that can supply green energy, alternative energy, hydrogen green energy, they only look directly at Sarawak,” he said.

“Sarawak has the potential of strong economic power in the future. That is why I support the leadership’s (of Sarawak) wishes, so that the politics are stable and focused on this development,” he added.

Anwar was speaking during the opening ceremony of the Sarawakku Sayang Madani Rakyat Programme in Miri today.

Also present were Sarawak Premier Datuk Patinggi Tan Sri Abang Johari Tun Openg, Deputy Prime Minister Dato Sri Fadillah Yusof, Dewan Negara Speaker Datuk Awang Bemee Awang Ali Basah as well as other federal and state cabinet ministers.

“When I talk about energy, Sarawak is still mentioned and encouraged to become something that really works and succeeds,” Anwar said.

In a related development, he also lashed out at some political leaders who are desperate and ‘suffocating’, and always looking for ways to incite the people by creating hatred towards leaders and creating issues to undermine the country’s stability.

“When they see the economy growing, the ringgit getting stronger, unemployment levels decreasing, job opportunities increasing, inflation being more controlled, then their way out is to incite hatred between races and anxiety because of religious differences, religious beliefs. So, we must set an example that is good,” he said.

He acknowledged that there will still be problems, especially between race or religion and the state, but that problem can be solved through discussion, mutual trust and respect.

“That’s why politics sometimes in the peninsula, things like this, have reached an unfavourable ‘hot temperature’. Thank God because the majority of people still choose a better path,” he said.

Regarding the Malaysia Agreement 1963 (MA63), Anwar said that within a year and a half since becoming the Prime Minister, he had approved the 11 claims that had been promised and enshrined in the agreement.

“In one year and a half, we solved more than eleven matters and sometimes, it takes a while because it involved legislation, amendments such as the transfer of ownership of Bintulu Port to the Sarawak government,” he said.

Anwar also said that the federal government will upgrade several health clinics in Sarawak, especially in rural areas such as the Long Bemang Health Clinic; Tudan, Suai Bridge and refurbishing clinics in Mulu National Park, Long Loyang Health Clinic, Beluru and Long Miri.

Meanwhile, Anwar also distributed the Sumbangan Tunai Rahmah (STR) cash to several recipients here.

For STR in Sarawak, he said, the government received 28,944 applicants, with donations channelled through the bank.

For those who do not have a bank account, he said it was handed over in cash here, today, for the Miri division.

At the same event, he also distributed Sejati Madani Contribution to the communities of northern Sarawak. 

Source: The Borneo Post

Sarawak positioned as future economic catalyst with green energy focus, says PM Anwar

The government is seeking to widen the road at Port Klang to support the Westports 2 expansion, which is expected to contribute RM55 billion to the economy.

Prime Minister Datuk Seri Anwar Ibrahim said the road project is also meant to help reduce traffic accidents in the area.

“I will discuss with the Transport Ministry (MOT) on how we can expedite road widening efforts,” he said during the Westports 2 groundbreaking ceremony today.

Anwar officiated the groundbreaking ceremony for the Westports 2 Container Terminal Expansion, marking the commencement of development from CT10 to CT17.

This expansion aims to boost the country’s capacity to attract further foreign direct investment (FDI) and strengthen the logistics sector.

“This expansion strengthens Malaysia’s economic standing, improves the standard of living and reaffirms our position as a leading regional economy,” he added.

As of now, there are only nine container terminals in Westports.

Echoing the sentiments, Westports group MD and executive chairman Datuk Ruben Emir Gnanalingam remarked that Westports 2 is more than just an expansion.

It will increase container handling capacity from 14 million twenty-foot equivalent unit (TEU) to 28 million TEU with the development of eight new container terminals.

He also acknowledged the positive impact of increased FDI, driven by government policies, which has boosted trade and led to the construction of facilities like Daiso Industries Co Ltd’s largest global distribution centre near Westports.

“This project is a crucial step in ensuring Malaysia’s future as a global maritime and logistics hub,” he said.

The terminal expansion will focus on sustainability and innovation, incorporating eco-friendly practices to minimise environmental impact while remaining competitive.

Besides the integration of advanced technologies like automated guided vehicles and artificial intelligence (AI) systems, the company is also focusing on renewable energy (RE), with a 30 megawatts (MW) solar power plant under construction in Kedah, expected to operate by 2026 and reduce carbon emissions drastically.

The launch of the Selangor Environmental Conservation and Cultural Alliance (SECCA) further demonstrated Westports’ dedication to environmental conservation and collaboration with the federal and state governments.

Meanwhile, Transport Minister Anthony Loke lauded the collaboration between Westports and key regulatory bodies, such as the MOT, Unit Kerjasama Awam Swasta (UKAS) and the Selangor state government.

He elaborated on the strategic importance of Westports in enhancing Malaysia’s trade connectivity and logistics efficiency.

Westports was also recognised by the Malaysia Book of Records for having the longest linear berth, measuring 6,585m.

With this expansion, Westports could become one of the world’s top 10 ports, ensuring Malaysia’s continued leadership in global trade.

Source: The Malaysian Reserve

Westports 2 aims RM55b economic boost for country

Malaysian ports are set to drive trade and economic growth in the coming quarters, having demonstrated resilience despite disruptions caused by the Red Sea crisis.

As Malaysia continues to attract foreign direct investments (FDIs) from global technology giants, port operators are planning long-term expansions to reinforce the country’s status as a global maritime and logistics hub.

Agyl & Partners managing partner, Wan Agyl Wan Hassan, said that Port Klang (including Northport and Westport) and the Port of Tanjung Pelepas (PTP) have shown impressive resilience this year, despite challenges from the Red Sea crisis. 

Port Klang, the second largest port in Southeast Asia, advanced to 11th place in the 2023 rankings of the world’s top 100 busiest container ports, according to Lloyd’s List.

PTP, meanwhile, was the fifth most efficient container port in the world and secured the first place in the Southeast Asia region, according to the 2023 Container Port Performance Index (CPPI).

Wan Agyl said that these ports are well-positioned to play a key role in driving trade growth in 2024 and stand to benefit from the recovery of the global economy.

However, Wan Agyl cautioned that while Malaysia’s strategic location and its ports’ ability to manage increased traffic have provided an advantage during the crisis, this temporary surge could revert to its original routes, potentially slowing the current momentum.

He also noted that global supply chain disruptions are affecting major industries such as chemicals and automotive, while high shipping costs to Europe continue to challenge exporters, potentially impacting the competitiveness of Malaysian goods.

“While the ports are capitalising on the current situation, it’s crucial for Malaysia to remain proactive, preparing for potential shifts in global trade and ensuring that infrastructure and capacity keep pace with growing demands,” he told Business Times.

Fierce competition from regional ports

Malaysia’s ports face intense competition from Singapore, which boasts advanced technology, strong global partnerships, and a well-established reputation, making it challenging for Malaysia to narrow the gap.

Wan Agyl noted that Malaysia’s ports are also contending with rising competition from Vietnam and Indonesia. These countries are rapidly modernising their ports, offering lower labour costs, and upgrading infrastructure, which intensifies the competitive landscape.

He said that external risks, such as global economic slowdowns and the increasing focus on sustainability in shipping, add another layer of uncertainty.

To stay competitive, he said that Malaysia’s ports must focus on more than just expansion. 

“They need to invest in technology, improve operational efficiency, and develop a unique value proposition to attract global shipping lines and stay ahead of regional rivals.”

Wan Agyl added that infrastructure and investment plans like the New Industrial Master Plan 2030 offer long-term growth potential. 

However, delays in project implementation and rising operational costs could limit short-term gains.

“High inflation and reduced consumer spending could also slow down trade volumes, making it crucial for the ports to focus on improving efficiency, expanding capacity, and adapting to new global trade realities to stay competitive,” he added.

Port operators gearing up to tackle challenges through expansion

MMC Corp Bhd’s Johor-based subsidiary, PTP, is set to invest RM3 billion over the next five years to boost its capacity by an additional 3.5 million TEUs. 

Similarly, Penang Port has allocated RM2 billion to expand the North Butterworth Container Terminal, aiming to increase its quayside capacity to 4.1 million TEUs by 2050.

Beyond these expansions, Malaysia is also looking forward to new port developments, including projects at Carey Island in Selangor and Sanglang in Perlis.

Penang Port Sdn Bhd chief executive officer, Datuk Sasedharan Vasudevan, recently noted that container throughput growth at the port is expected to be slower this year due to the ongoing Red Sea crisis. 

The port’s TEU forecast has been adjusted from 1.55 million to 1.5 million, a 4.0 per cent decline, following the crisis’ escalation in April, which forced ships to reroute around Africa.

“We lost 50,000 to 60,000 containers because of this. We don’t think it’s going to go on forever because it’s not sustainable,” he said.

To counter the impact, Penang Port is focussing on more stable markets, such as the Bay of Bengal, and has introduced incentives to encourage transshipment activity. 

He added that a recovery is anticipated by next year once stability returns or excess capacity enters the northern region.

Meanwhile, Westports Holdings Bhd announced the launch of its Westports 2 container terminal expansion, which will add eight new terminals. 

Executive chairman and group managing director, Datuk Ruben Emir Gnanalingam Abdullah, said that the expansion will double the port’s container handling capacity from 14 million to 28 million TEUs.

Ruben emphasised that the Westports 2 project is essential not only to meet current demand but also to prepare for the expected growth in trade volume over the next decade. 

He noted that the expansion is projected to contribute RM55 billion to the Malaysian economy, based on an economic impact assessment report by PricewaterhouseCoopers (PwC) dated December 12, 2022.

Additionally, Ruben highlighted that Westports has contributed nearly RM4 billion to the government through corporate taxes and lease payments, a figure expected to increase over the next 30 years under the new Westports 2 agreement. 

The expansion will also include a new 222.58-hectare free zone, aimed at attracting foreign direct investment (FDI) and facilitating the development of regional and global distribution centres.

Source: NST

Malaysia’s ports well-positioned to drive expansion

The government believes that the Amazon Web Services (AWS) Asia Pacific (Malaysia) Region’s projected RM57.3 billion contribution to Malaysia’s gross domestic product (GDP) could be fast-tracked to 2032 from 2038, given its current pace of development, said Prime Minister Datuk Seri Anwar Ibrahim.

Speaking at the AWS Malaysia Region Launch Appreciation Dinner here today, he noted that the AWS, an Amazon.com Inc. company, has been a steadfast partner in the nation’s digital transformation journey.

He added that the launch of the AWS Asia Pacific (Malaysia) Region (AWS Region), with its 15-year investment plan, underscores the company’s unwavering long-term commitment.

Valued at RM29.2 billion, the AWS Region is anticipated to generate over 3,500 jobs and contribute RM57.3 billion to Malaysia’s GDP between 2024 and 2038.

In his speech, the Prime Minister emphasised the government’s commitment to digital transformation and positioning Malaysia as a regional hub for generative artificial intelligence (AI).

“With the rapid growth of cloud computing and digital services, the expanded foothold of AWS through the launch of the AWS Infrastructure Region in Malaysia sends a clear signal to businesses globally that Malaysia is fast becoming the premier regional destination for digital investments.

“Our policies on attracting digital investments are clear, with initiatives like the Digital Economy Blueprint aimed at transforming Malaysia into a high-income nation and regional leader in digitalisation,” he said.

Source: Bernama

AWS region’s RM57.3 billion GDP contribution could be fast-tracked to 2032- PM Anwar

THE Sin Hock Soon Group (SHSG) has marked yet another milestone in its 30 years in the logistics industry with the addition of Volvo’s latest low-emission truck into its fleet.

SHSG general manager Shawn Yew said the investment was not just about expanding the company’s capabilities but also about reinforcing its commitment to a more sustainable and efficient future.

He said Volvo’s new Euro 5 models were engineered for advanced performance and reliability while meeting stringent emission standards set by the European Union.

The trucks are equipped with AdBlue and Selective Catalytic Reduction technology to significantly reduce harmful emissions, making them both powerful and environmentally friendly.

Shawn said the partnership with Volvo (M) Sdn Bhd and Volvo UK underscored SHSG’s dedication to responsible business practices, safety and sustainability.

“By incorporating these trucks into our fleet, we are taking a crucial step towards reducing our carbon footprint, minimising our operation’s environmental impact and helping our customers navigate upcoming regulatory changes,” he said.

Shawn said SHSG had plans to further expand its fleet with over 100 additional eco-friendly low-emission vehicles.

Volvo Malaysia managing director Anthony O’Connell praised SHSG for its vision and foresight towards the country’s sustainable journey to achieve net-zero greenhouse gas emissions by 2050.

“At Volvo, our commitment to the Euro 5 standards is not just about meeting regulatory requirements, it is about making a meaningful impact that is critical to the health of our communities and the preservation of the environment.

“The journey towards sustainability is a collective effort that requires collaboration across the entire industry,” he said.

The handing over of the trucks at Volvo Malaysia, located in Penang’s Prai Free Industrial Zone, was also attended by SHSG managing director Tony Yew.

Founded in 1994, the family- helmed SHSG – with its dedication to innovative practices, customer-focused solutions and sustainable operations – has positioned itself as a major logistics provider across Malaysia, Singapore and Thailand.

Source: The Star

Driving sustainability in the logistics industry

Solarvest Holdings Bhd is still a “buy” despite marginal contribution from segments other than its engineering, procurement, construction and commissioning (EPCC) business and electricity generation from its plants under the government’s fourth phase of the Large Scale Solar initiative, analysts say.

Hong Leong Investment Bank (HLIB) Research said in a report contributions from those segments were expected to be lumpy in nature.

The research house said Solarvest’s runway for order book replenishment currently looks “robust” with a remaining Rm714mil of EPCC work under the Corporate Green Power Programme (CGPP) to be converted – leading to a new high in its unbilled EPCC order book of more than Rm1bil.

“Additionally, we see the company as a prime beneficiary of the upcoming Corporate Renewable Energy Supply Scheme (CRESS) programme due to its quality CGPP off-takers and strong business partners.”

The research house said on the whole, Solarvest’s financial year ending March 31, 2025 (FY25) looked to be a “back-loaded year” given the ramp-up period for CGPP projects and the positive seasonality effect in the fourth quarter.

“The company should also benefit from lower procurement costs due the ringgit strengthening but we anticipate effects filtering through slightly later,” it added.

The research house also noted that the CRESS programme had been formalised with the recent release of guidelines.

“CRESS allows renewable-energy developers to negotiate pricing with consumers with a market-based approach on a rolling basis.

“Conceptually, this can cater to strong demand for renewable energy from Malaysia’s huge data centre pipeline.”

HLIB Research said it was not making any change to its forecasts for the solar-energy group and was maintaining a “buy” call on the stock, with a target price of RM2.

The target price is driven by a price-earnings multiple of 25 times the company’s EPCC business and a discounted cash flow of its recurring income assets.

“We like the stock for its strong position within the growing domestic solar industry, regionalised operations and strong business partners,” the research house said, adding that the risks for the group included project execution, delays from political hiccups, raw-material prices and labour shortages.

Source: The Star

Renewable energy continues to strengthen Solarvest