LIMA: Emerging economies need a quantum leap in implementing digital transformation to remain competitive and resilient, Prime Minister Datuk Seri Anwar Ibrahim said.
Anwar said while artificial intelligence (AI) is a key driver of this transformation, Malaysia faces two major challenges in fully adopting the technology namely the digital divide and ethical issues surrounding its use.
"If you want to see emerging economies succeed, remain competitive and sustainable, a quantum leap needs to be implemented and AI holds the key to driving digital transformation,
"While Malaysia has successfully attracted significant investments in AI technology, the government recognises that several challenges must be addressed to ensure the smooth implementation of digital transformation," he said.
He added AI is essential for ensuring the competitiveness and sustainability of emerging economies, emphasising that a significant economic leap can only be achieved through major changes in policy and resource management.
Digital transformation, he said, requires more than just financial investment as it also involves structural changes in areas such as the workforce, infrastructure and the education ecosystem.
He made these remarks while speaking as one of the panellists at the APEC CEO Summit here today.
Other panellists included Microsoft's vice president of Data and AI, Zia Mansoor; Vobile Group chief executive officer Yangbin Wang; and Google's vice president of Government Affairs and Public Policy Karan Bathia.
APEC Business Advisory Council (ABAC) member from Canada Jan De Silva served as the moderator.
Titled "Opportunities and Challenges in the AI Revolution", the summit was part of the APEC Economic Leaders' Meeting (AELM) programme.
Present were Foreign Minister Datuk Seri Mohamad Hasan and Investment, Trade and Industry Minister Tengku Datuk Seri Zafrul Abdul Aziz.
During the session, Anwar also stressed the importance of comprehensive efforts in strengthening Malaysia's digital economy.
He also outlined Malaysia's proactive approach to attracting technology investments and preparing the country to face the needs of the rapidly growing digital economy.
Anwar said Malaysia had successfully attracted large investments in the technology sector from global companies such as Amazon Web Services, Google, Microsoft and Oracle, an effort that he said required major changes in public policy and resource management.
He also said Malaysia needs to accelerate various efforts to meet the needs of data center companies such as energy, water and skilled workers in the field.
"We need to move quickly, not only in infrastructure but also in updating the education curriculum at universities, colleges and schools to equip talent with skills relevant to the latest technological needs," he said.
He also stressed the importance of inclusive policies that prioritise collaboration with the tech sector to ensure that the country's innovation develops in line with human values and ethical principles.
He said being open to the views of experts and industry leaders from global tech companies is key to the success of the digitalisation effort.
Meanwhile, in the context of Asean, Anwar said as Malaysia assumes the chairmanship next year, it will open up opportunities to strengthen regional cooperation in the digital sector.
"Asean needs sustainable infrastructure to support the digital economy and AI, as some countries in the region lack resources.''
He outlined two main priorities for Asean cooperation under Malaysia's leadership, namely strengthening economic ties with major countries like China and creating a unified digital agenda for the entire Asean region.
"With their respective strengths, Asean countries can complement each other in developing a more effective and productive digital economy."