KUALA LUMPUR — In a significant move to enhance its digital infrastructure, Malaysia is set to develop a national cloud policy and a comprehensive artificial intelligence (AI) regulatory framework, announced Prime Minister Anwar Ibrahim on Tuesday.

According to Namibia Press Agency, the declaration came during the groundbreaking ceremony of Google's new $2 billion data center and cloud region in Malaysia. Prime Minister Anwar Ibrahim outlined the national cloud policy's focus on four pivotal areas: enhancing public service innovation and efficiency, boosting economic competitiveness and growth, strengthening data security and user trust, and promoting digital inclusivity among citizens.

"We aim to position Malaysia as a hub for generative AI, and investments from tech partners will be critical in building a robust and secure digital infrastructure," stated Anwar. He emphasized the government's commitment to making Malaysia a competitive player on the global AI stage by establishing the National AI Office to coordinate all AI-related initiatives.

The Malaysian government has laid out an ambitious agenda for the next 12 months, which includes completing the AI Technology Action Plan for 2026 to 2030 and establishing a regulatory framework to foster the adoption of ethical and sustainable AI technologies. The plan also involves accelerating AI adoption across key sectors in the country.

"By leveraging partnerships with industry leaders and strengthening collaboration among all stakeholders, Malaysia can realize these goals and establish its role as a leading AI-driven nation in ASEAN," Anwar added.

This initiative aligns with recent developments where Google Cloud announced its collaboration with Malaysian technology firm Dagang NeXchange to offer next-generation sovereign cloud solutions tailored for digital sovereignty requirements in regulated industries such as public services, healthcare, and energy.