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AI Legislative Guide

Malaysia

(Asia Pacific) Firm Skrine

Contributors Charmayne Ong

Updated 04 Aug 2025
Has specific legislation, final regulations or other formal regulatory guidance addressing the use of AI in your jurisdiction been implemented (vs reliance on existing legislation around IP, cyber, data privacy, etc.)?

No.

There are currently no AI-specific laws, final regulations, or formal and mandatory regulatory guidance addressing the use of AI in Malaysia.

However, the Ministry of Science, Technology and Innovation has issued the National Guidelines on AI Governance and Ethics (“AIGE Guidelines"), which are intended as voluntary guidance whilst the government develops specific laws to regulate the use of AI. 

Please provide a short summary of the legislation/regulations/guidance and explain how legislators aim to strike the balance between innovation and regulation.

The AIGE Guidelines are aimed at three categories of stakeholders (i.e., end-users, policy makers, and developers/providers of AI technology), and consist of the following seven AI principles:

(i)    Fairness;
(ii)    Reliability, safety and control;
(iii)    Privacy and security;
(iv)    Inclusiveness;
(v)    Transparency;
(vi)    Accountability; and
(vii)    Pursuit of human benefit and happiness.

While the other principles focus on preventing the misuse and unethical application of AI, the principles of inclusiveness and the pursuit of human benefit and happiness, respectively, emphasise that AI should be designed and developed with consideration for the diverse needs and perspectives of all users throughout the process, and should prioritise applications that positively impact individuals and communities. 

That said, please note that compliance with the AIGE Guidelines is voluntary.  

Which agency regulates the use of AI in your jurisdiction?

There is no single agency tasked with regulating the use of AI in Malaysia. However:

  • The National AI Office (“NAIO”) was launched in December 2024 to accelerate AI adoption, foster innovation and ensure ethical development of AI in Malaysia. The NAIO’s official portal outlines 7 key deliverables:
    1. AI Technology Action Plan 2026-2030;
    2. AI Adoption Regulatory Framework;
    3. Acceleration of AI Technology Adaptation;
    4. AI Code of Ethics;
    5. AI Impact Study for Government;
    6. National AI Trend report; and
    7. Datasets related to AI technology.
      The NAIO is currently collecting public feedback on how Malaysia should approach the development and use of AI to aid in its development of the National AI Action Plan 2026-2030.
  • The Ministry of Science, Technology and Innovation is the government ministry typically tasked with implementing policy decisions relating to the use of new technologies such as AI. The Ministry was in charge of developing the AIGE Guidelines.
  • The Ministry of Communications is reportedly working on guidelines regarding the use of AI in the media and broadcasting industries.
  • The Ministry of Digital is currently developing a national AI regulatory framework, which is expected to be tabled in Malaysia’s parliament in the second half of 2026.
  • Certain industry-specific regulators and agencies may also regulate the use of AI, depending on the specific industry the entity is in. For example, banks that intend to adopt AI in their business operations must abide by industry-specific policy documents relating to the adoption of new technologies and will be regulated by the Central Bank of Malaysia.
  • Certain regulators may also regulate the use of AI depending on the specific data/information involved. For example, the Personal Data Protection Department will regulate any use of personal data in AI and is developing guidelines relating to the use of profiling and automated decision-making in relation to personal data, which is relevant to AI, and has issued a public consultation paper to seek public feedback and opinion.

AI Legislative Guide

Malaysia

(Asia Pacific) Firm Skrine

Contributors Charmayne Ong

Updated 04 Aug 2025