Kuala lumpur: Budget 2026 outlines key initiatives that will further strengthen Malaysia’s digital ecosystem and accelerate the transformation into a digitally driven and innovation-led economy, said Digital Minister Gobind Singh Deo. He stated that the RM53 million allocation for the Malaysia Digital Acceleration Grant will catalyse the growth and adoption of emerging technologies such as blockchain, artificial intelligence (AI), and quantum computing.
According to BERNAMA News Agency, Gobind highlighted that these technologies are central to building an ecosystem that is future-ready and globally competitive. He emphasized that the initiative will empower more Malaysians and local businesses to embrace innovation and digital solutions, driving productivity and strengthening national competitiveness.
Gobind also noted the government’s continued commitment to AI development, which is reflected in the RM18.1 million allocation for the National AI Office (NAIO). This underscores the office’s expanding role in shaping Malaysia’s AI strategies and policies while fostering collaboration across ministries, government agencies, and the private sector.
Equally significant, he mentioned the RM30 million allocation to strengthen cybersecurity in the country. This measure focuses on enhancing digital trust, a cornerstone of the nation’s digital transformation. The budget also provides RM20 million to further develop the MyGOV Malaysia mobile application, supporting efforts to centralize and digitalize government services. This initiative aims to make public services more accessible, efficient, and cost-effective for the rakyat, ensuring that digital transformation brings tangible benefits to all Malaysians.
Gobind also pointed out the proposal to establish a Sovereign AI Cloud with a RM2 billion investment through the Malaysian Communications and Multimedia Commission (MCMC). This initiative will lay the foundation for Malaysia’s secure, sovereign AI infrastructure. Additionally, the budget allocates RM5.9 billion for research, development, commercialization, and innovation activities across ministries, demonstrating the government’s focus on driving high-value, knowledge-based growth amid rapid technological change.
He further mentioned an additional 50 percent tax deduction for micro, small, and medium-sized enterprises (MSMEs) undertaking AI and cybersecurity training courses accredited by the MyMahir National AI Council for Industry (NAICI), TalentCorp, and MyDIGITAL. This step is crucial to help businesses build digital capabilities and enhance productivity.
On Friday, Prime Minister Datuk Seri Anwar Ibrahim, who is also the Finance Minister, tabled Budget 2026 amounting to RM470 billion, of which RM419.2 billion is allocated for government expenditure. The budget, themed ‘Fourth MADANI Budget: The People’s Budget,’ is the first under the 13th Malaysia Plan (2026-2030).