Malaysia Digital Economy Blueprint

August 2021

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Strategies and Action Plans

The Malaysia Digital Economy Blueprint, also known as MyDIGITAL, is a strategic plan launched by the Malaysian government to transform the country into a regionally leading digital economy. This blueprint is designed to leverage digital technology to enhance the country’s economic growth, improve public sector efficiency, and foster an inclusive digital society.

Vision and Objectives

The blueprint envisions Malaysia as a regional leader in the digital economy by 2030, achieving inclusive, responsible, and sustainable socioeconomic development. The main objectives include:

  1. Encouraging industry players to become creators, users, and adopters of innovative business models.
  2. Harnessing human capital to thrive in the digital economy.
  3. Nurturing an integrated ecosystem that allows society to adopt the digital economy.

Strategic Thrusts

The blueprint is structured around six strategic thrusts:

  1. Drive Digital Transformation in the Public Sector: This thrust aims to modernise the public sector by leveraging digital technologies, data, and digital intelligence. Initiatives include the introduction of Chief Digital Officers in ministries, enhancing the adoption of digital tools, and improving online government services.
  2. Boost Economic Competitiveness through Digitalisation: This thrust focuses on facilitating digital adoption across businesses, particularly small and medium enterprises (SMEs), and enhancing digital infrastructure. It also emphasises improving the regulatory environment to support innovative business models.
  3. Build Enabling Digital Infrastructure: This includes expanding broadband coverage, ensuring high-speed internet access across the country, and enhancing the use of cloud services in both the public and private sectors.
  4. Build Agile and Competent Digital Talent: The blueprint emphasises the need for a workforce equipped with digital skills. Initiatives include integrating digital skills into the education system, reskilling the current workforce, and promoting digital entrepreneurship.
  5. Create an Inclusive Digital Society: This thrust focuses on bridging the digital divide, ensuring that all Malaysians, including marginalised groups, have access to digital technologies and the skills needed to participate in the digital economy.
  6. Build Trusted, Secure, and Ethical Digital Environment: Ensuring data privacy, cybersecurity, and ethical use of digital technologies are central to this thrust. It includes enhancing the cybersecurity framework, protecting personal data, and promoting ethical digital practices.

Implementation Phases

The blueprint outlines three phases of implementation:

  • Phase 1 (2021-2022): Strengthening the foundation for digital adoption, including enhancing infrastructure and digital literacy.
  • Phase 2 (2023-2025): Driving inclusive digital transformation, with a focus on digital inclusivity across society and businesses.
  • Phase 3 (2026-2030): Positioning Malaysia as a regional leader in digital content and cybersecurity.

Governance Structure

The blueprint’s implementation is overseen by the National Digital Economy and 4IR Council, chaired by the Prime Minister. A strategic change management office (SCMO) has been established to drive changes on the ground, supported by a clear monitoring and evaluation mechanism to ensure the success of the initiatives.

Key Targets

By 2025, the blueprint aims for:

  • The digital economy to contribute 22.6% to Malaysia’s GDP.
  • The creation of 500,000 new jobs.
  • The adoption of eCommerce by 875,000 micro, small, and medium enterprises (MSMEs).
  • 100% of civil servants to possess digital literacy.
  • 100% of households to have internet access.
  • Attracting two unicorns (companies valued over USD 1 billion).

Challenges and Opportunities

The blueprint acknowledges the challenges posed by the digital divide, the need for a digital-first mindset, and the importance of trust and ethics in the digital economy. However, it also highlights the immense opportunities that digitalisation presents for economic growth, job creation, and improved public services.