Malaysia's digital investments hit record RM163.6 billion in 2024
Media Statement
February 27, 2025 20:13 MYT
February 27, 2025 20:13 MYT
MDEC CEO Anuar Fariz Fadzil said as an agency under the Ministry of Digital, MDEC continues to work closely with MIDA and other government agencies to attract more strategic investments. Filepic by dagangnews
Digital investments in Malaysia hit a record RM163.6 billion in 2024, compared to RM46.8 billion in 2023, driven by a stable government and pro-business policies in reinforcing the country’s reputation as a regional tech hub.
Strong infrastructure and strategic public-private partnerships have strengthened investor confidence in Malaysia as a leading digital hub. A supportive regulatory framework and Malaysia’s push into AI and quantum computing further accelerated growth, attracting high-value global investments, said Malaysia Digital Economy Corporation (MDEC) in a statement today.
These latest findings from MDEC follow on the heels of the Malaysian Investment Development Authority (MIDA) announcing that Malaysia secured RM378.5 billion in approved investments last year — the highest in the nation’s history — marking a 14.9% year-on-year increase from the previous record of RM329.5 billion in 2023.
“As an agency under the Ministry of Digital, MDEC continues to work closely with MIDA and other government agencies to attract more strategic investments,” said MDEC CEO Anuar Fariz Fadzil.
“Malaysia’s dynamic investment landscape cultivates strong collaboration among government ministries and agencies, ensuring a coordinated effort to drive innovation, digital growth and long-term economic prosperity for the nation.”
Foreign investor confidence in Malaysia’s digital sector remains strong, with substantial top 5 highest FDI inflows countries from Singapore (RM57 billion), the United States (RM23 billion), China (RM12 billion), Australia (RM2.6 billion) and India (RM2 billion).
Meanwhile, domestic direct investments (DDI) continue to rise, with MDEC playing a pivotal role through strategic initiatives and programmes. The top 5 states by MD companies’ inflows were recorded in the Klang Valley (RM136 billion), Johor (RM22 billion), Penang (RM3 billion), Sabah (RM423 million) and Sarawak (RM280 million), reflecting a nationwide push for digitalisation and economic expansion beyond central regions.
Investments in data centres and cloud infrastructure accounted for 76.8% of total approved digital investments in 2024, a sharp rise from 55.5% in 2023.
The establishment of a dedicated Data Centre Task Force, spearheaded by MITI Minister Tengku Datuk Seri Zafrul Tengku Abdul Aziz and Digital Minister Gobind Singh Deo, is set to drive further growth while ensuring it aligns with long-term sustainability goals, balancing expansion with environmental responsibility.
“MDEC stands steadfast in sustaining this strong investment momentum and working closely with MIDA to achieve the targeted 5% investment growth in 2025,” concluded Anuar.