KUALA LUMPUR: The Investment, Trade and Industry Ministry (MITI), through the efforts of the Digital Investment Office (DIO), has recorded approved foreign investments in digital-related projects worth RM127 billion between 2021 and March 2024.

Meanwhile, domestic investments accounted for RM34.9 billion of the total approved investments amounting to RM161.9 billion in digital-related projects that were approved under the National Committee on Investment during the period, the ministry said.

"The investments approved were mainly in the data centre, cloud computing, data hosting, big data analytics and artificial intelligence sectors," it said in a written reply posted on the Parliament website on Wednesday.

The ministry was responding to a query from Syed Ibrahim Syed Noh (PH-Ledang), who wanted to know benefits to the nation from foreign direct investment in the digital sector.

MITI replied that the investments secured in that sector will bring socioeconomic benefits, including the potential creation of 49,108 skilled and high-paying job opportunities such as data engineers, data scientists, big data analysts, cybersecurity engineers and information technology engineers.

It said the government stresses on more inclusive digital infrastructure investments at local and regional levels, availability of high-speed internet network, and technological solutions to generate low latency for data.

On the main economic spillover effect from these strategic digital investments, it cited acceleration of digital transformation for the micro, small and medium enterprises, including startups, which make up 97 per cent of the country's business establishments, contribute 48 per cent of jobs and 38 per cent to economic growth.

In addition, the investments facilitate in the reorganisation of industrial clusters and value chains powered by digital technology towards the creation of 3,000 smart factories by 2030, as outlined under the New Industrial Master Plan, as well as providing access to digital technology opportunities and usage and spurring industrial revolution in various economic sectors.

https://www.nst.com.my/news/nation/2024/07/1078122/rm127bil-foreign-investment-digital-related-projects-approved-2021-march