Govt identifies RM1 billion potential investments in nine sectors under PEMANGKIN

Communications and Digital Minister Fahmi Fadzil said the sectors are finance, Islamic finance, trade, agriculture, tourism, content, services, health and cities.

He said that the government, via the Malaysia Digital Economy Corporation, will be allocating RM192.9 million for the 2023-2025 period to support new initiatives under PEMANGKIN, including three new digital grants.

Of the total allocation, RM143 million is for public investments, while RM45 million will be set aside for tech enablers and RM4.9 million for grants.

Under the new PEMANGKIN initiatives, the trade sector will get the biggest allocation at RM35 million, followed by agriculture (RM30 million), content (RM25 million), health (RM16 million), cities (RM16 million), tourism (RM10 million), services (RM7 million), finance (RM1.8 million) and Islamic finance (RM1.8 million).

During the unveiling of the new strategy today, Fahmi said the grants will be launched as early as May, adding that the initiatives for each of the sectors will be announced in phases.

"We greatly urge the private sector to work with the government to create a more cohesive, inclusive, and innovative tech ecosystem.

"There are plenty of opportunities for us to grow together, especially under Malaysia Digital and the rollout of various PEMANGKIN programmes," he said.

Nonetheless, he noted that there are many fundamental areas of digital transformation that need to be addressed in the journey towards a sustainable and dynamic digital economy.

Hence, he said the government -- via Malaysia Digital initiative announced last year -- is seeking to transform the nation's digital capabilities and boost the digital economy through the rollout of various PEMANGKIN programmes across the nine sectors.

Fahmi said programmes such as DE Rantau and Digital Trade under PEMANGKIN saw substantial achievements based on local reception, international recognition, and growing participation from stakeholders across industries.

"We are confident that PEMANGKIN will act as a catalyst to equip the nation's workforce with digital skills, spurring technological innovation and attracting foreign investors to set up their operations in Malaysia," he added.

He added that the digital economy has contributed 22.6 per cent to the country's gross domestic product, with a projected growth of 25.5 per cent, and is expected to create more than 500,000 jobs by 2025.