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Malaysia seeks to upgrade its FTAs to cover digitalisation

22 Jan 2025, 1:49 AM
Malaysia seeks to upgrade its FTAs to cover digitalisation

DAVOS, Jan 22 — Prime Minister Datuk Seri Anwar Ibrahim said digitalisation is a "missing component" in all of Malaysia's previous free trade agreements (FTAs).

Stressing that digital transformation is one of the priorities that Asean is aggressively embarking, he said Malaysia, which is currently looking at upgrading some of the existing FTAs, is also looking at digitalisation as part of the "upgrade".

“We have just signed last week with the United Arab Emirates, (and) the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) with the United Kingdom. And now, we want to have a fast track with the European Union through the Malaysia-EU Free Trade Agreement (Meufta).

"A very important component that was missing in all the previous FTAs is of course digitalisation," he told a media briefing at the World Economic Forum (WEF) 2025 here yesterday.

Anwar, who is also the Finance Minister, said that on the digital transformation within Asean, the artificial intelligence (AI) driven connectivity needs to take into consideration the various gaps between those in the urban centres with more connectivity to the less developed areas.

"Our commitment is to make sure that this sort of transmission (Asean Power Grid or APG) and also the transformation of digitalisation would cover all areas and angles. 

"If these two priorities are achieved, I think it would be a phenomenal feat for Asean as a region because as, as you know, it is relatively the most peaceful region in the world and the fastest growing economy. But we have not given emphasis to substantive economic or technological collaboration," he said.

When asked about unlocking Asean’s full potential, as the chairman for this year, Anwar said all member leaders must continue to craft the correct policies especially regarding the rapid advancement of new technology.

“As for the collaboration, as far as I'm concerned, it must (begin with) humility to acknowledge that these new technologies are challenging. We don't have all the answers, and therefore, the collaboration must begin with the key players, including companies, and the states.

At the ‘Country Strategy Dialogue’ session also held yesterday, Anwar also touched on the importance of using AI for healthcare within the country.

“I think it is grossly unjust...in my political philosophy, to deny the vast majority (of people) (access to) the best health facilities, and of course, the basic infrastructure in hospitals and AI plays a critical role in it,” he said.

Meanwhile, Digital Minister Gobind Singh Deo, who was also present during the session, emphasised that for AI to function effectively in the healthcare system, the necessary infrastructure must be in place.

“You have lots of data, a lot of them are still in analogue (form), and you have to think about how you can digitalise them as swiftly as possible. You need to have mechanisms that will allow that data to be shared.

“The moment you have AI facilities, it enables us to find solutions to the problems of the past, and that is the first step. Ultimately, it is about building ecosystems,” he noted.

— Bernama

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