FIFTH MADANI BUDGET DRIVES MALAYSIA'S DIGITAL TRANSFORMATION TOWARDS AN AI NATION
PUTRAJAYA, October 11, 2026 – The Fifth MADANI Budget, themed “Menggapai Di Langit, Mengakar Di Bumi” presented by Prime Minister YAB Dato’ Seri Anwar Ibrahim on October 9, 2026, reflects the MADANI Government’s bold commitment to driving the nation's digital transformation agenda toward positioning Malaysia as an AI Nation, built on an inclusive Malaysia Digital framework.
Through this budget, the Ministry of Digital receives dedicated focus to drive the national digital ecosystem, empower local technology talent, and build a future-ready workforce toward realizing the AI Nation aspiration by 2030.
In efforts to strengthen the ethical AI ecosystem, AI Malaysia Berhad will be reinforced by focusing on the development of highly skilled talent, the enhancement of digital infrastructure, and the creation of an efficient and secure AI governance ecosystem toward producing 200,000 national AI skilled talents.
To support the growth of the local business sector, Malaysia Digital Economy Corporation (MDEC) funds are being allocated to assist 4,000 Micro, Small, and Medium Enterprises (MSMEs) in adopting AI capabilities and automating their operations, alongside training and certifying 5,000 AI professionals.
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To expand the attraction of local and international talent, the Government has
announced the extension of the DE Rantau Pass, where existing DE Rantau
Nomad Pass holders who have reached the maximum two-year limit are now
eligible for an additional two years to continue living and working remotely in
Malaysia.
In addition, the pondok school digitalization agenda will be implemented through
a collaboration between JAKIM and MDEC to provide digital devices and skills
training to teachers and students in over 300 pondok schools nationwide, ensuring
inclusive digital readiness.
To strengthen human capital and youth capabilities, digital skills empowerment
initiatives are being expanded through an additional 100,000 free AI subscriptions,
covering popular AI applications including ChatGPT. Concurrently, the Rakyat
Digital Platform provides access to free digital courses, enabling the public to master
over 16,000 courses and Professional Certificates in partnership with Coursera.
The measures outlined under the Fifth MADANI Budget translate the philosophy of
“Menggapai Di Langit, Mengakar Di Bumi” by positioning Malaysia on the global
high-tech stage, while ensuring that no group is left behind from the digital
development tide.
In line with this, the Ministry of Digital welcomes the commitments outlined in this
budget and stands ready to mobilize all capabilities to accelerate the nation’s digital
transformation agenda, thereby propelling Malaysia to become a robust AI Nation by
2030.
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Issued
by:
Ministry of Digital.
