Malaysia is accelerating its transition to a low-carbon and digitally driven economy by channelling investments into green technologies and innovation.
At the National Economic Forum 2025, Minister Chang Lih Kang outlined the country's strategy to support sustainable growth through carbon management, hydrogen energy, green materials and circular economic models.
The government is also exploring advanced nuclear technologies such as Small Modular Reactors to support decarbonisation and enhance research, talent development and technology transfer.
A 17% increase in private R&D investment last year, mainly in clean energy and digital health, has helped build investor confidence. Authorities are now encouraging further growth through co-investment strategies, grants and collaborative innovation platforms.
Malaysia's National Biotechnology Policy is also supporting biopharmaceuticals and agricultural biotech, in line with sustainability and ESG objectives. The Malaysian government aims to create a resilient, inclusive and innovation-driven economy for the next phase of regional development.
