Malaysia bags runner-up digital crown, still lagging on tech toys

Malaysia secured second place among Southeast Asian nations in the GSMA Digital Nations Index 2025, trailing only Singapore in regional digital preparedness. The nation earned an aggregate score exceeding 60 points from 100, placing it among the region's most digitally advanced countries alongside Thailand and the Philippines. Malaysia excelled in the People category with scores ranging from 76 to 100, demonstrating effective digital service expansion and workforce skill development.

The country showed moderate performance in Infrastructure, Innovation, and Security sectors, each scoring between 25 and 49 points. Malaysia advanced its digital transformation through the AI Nation Framework launch and Ryt Bank's introduction, which employs the ILMU language model for multilingual banking services. Investment data revealed RM29.47 billion in digital economy funding during the second quarter, while new cybersecurity legislation and data transfer guidelines strengthened regulatory frameworks.
 

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