Malaysia’s Artificial Intelligence (AI) Governance Bill could be tabled in Parliament in Q3 2026 or Q1 2027 as the government moves to implement a framework for regulating the rapidly developing technology. The draft legislation had been completed after the Digital Ministry held workshops and consultations with stakeholders and is now being prepared for submission to the Cabinet.
“The draft has already been completed. Hopefully, it will be tabled in Parliament this quarter or, if not, in the first quarter of next year. For some of these matters, we look first at standards, then regulations and subsequently laws. The ability to formulate regulations is also important, given that AI technology is developing rapidly and new issues may arise at any time,”Gobind Singh Deo, Digital Minister of Malaysia reportedly said recently, as reported by The Star.
Gobind added, “Efforts to establish the enforcement structure are now being pursued concurrently with the process of bringing the Bill to the Cabinet. This integrated approach is important to ensure that governance and enforcement mechanisms are in place when the Bill is passed. The goal is to ensure technology is not just accessible, but actively adopted to deliver real economic benefits.”
The Malaysian government is taking a broader approach to AI governance that includes standards, regulations and legislation, with different issues to be addressed through the appropriate mechanism. The Digital Ministry is working with Sirim Berhad on MY-AI Standards, while some issues could be dealt with through regulations without the need for new laws.
The government is also advancing efforts to establish an effective enforcement mechanism through the formation of AI Malaysia, which is expected to play a key role in overseeing compliance with applicable laws and facilitating enforcement action in cases of non-compliance.
The move towards a comprehensive AI governance framework comes amid the rapid development and adoption of AI technologies, which continue to present emerging legal and regulatory challenges. As these developments outpace existing legislative frameworks, regulators may need to respond to new risks and issues through targeted regulatory measures before they could be formally addressed through legislation.