Malaysia Targets High-impact Green, Deep-tech Investments

KUALA LUMPUR, July 17 (Bernama) -- Malaysia is unlocking high-impact investments at the intersection of sustainability and digital transformation, a key priority under the MADANI government’s green growth agenda.

Science, Technology and Innovation Minister Chang Lih Kang said this was because innovation in carbon management, hydrogen energy, green materials and circular economy models is being actively advanced to accelerate the nation’s low-carbon transition.

As part of its long-term clean energy strategy, the government, he said, is also exploring advanced nuclear technologies, including Small Modular Reactors (SMRs), which offer potential not only for decarbonisation but also for driving high-value research and development (R&D), technology transfer and skilled talent development.

“In parallel, Malaysia is positioning itself as a regional hub for advanced materials, especially rare earth elements (REE), which are essential to green technologies, electric vehicles and digital industries,” he said at the National Economic Forum 2025 here today.

Chang further said the government is working to strengthen local capabilities across the entire value chain, from sustainable extraction to downstream high-tech applications, through strategic roadmaps such as the National Advanced Materials Technology Roadmap.

“With a 17 per cent increase in private-sector R&D investment recorded in 2024, particularly in clean energy and digital health, investor confidence is rising.

“To build on this momentum, efforts are being made to de-risk deep-tech investments through matching grants, co-investment models and collaborative public-private platforms that foster innovation and long-term growth,” said.

On the National Biotechnology Policy (DBN 2.0), Chang said Malaysia is committed to advancing biotechnology safely and responsibly by strengthening institutional readiness and regulatory frameworks, including addressing ethical issues such as cultured meat production in the upcoming National Biotechnology Ethics Guideline, to be launched in September 2025.

“Under DBN 2.0, the sector is driving growth in biopharmaceuticals, industrial and agricultural biotech, with ambitions to position Malaysia as a regional bio-based hub aligned with sustainability and ESG (Environmental, Social and Governance) goals.

“We are also exploring emerging fields like synthetic biology and precision fermentation to create high-value products and enhance our global competitiveness in the bioeconomy,” he said.

The forum, themed ‘Turning Strategy into Reality: Institutional Delivery, Economic Resilience and Investor Confidence’, aims to serve as a platform for robust dialogues and collaborative solutions to address the evolving challenges facing Malaysia amidst global economic realignment, technological disruption and sustainable growth.

It focused on positioning Malaysia strategically for the next phase of growth by cultivating a forward-thinking economic ecosystem driven by investment, innovation and inclusivity.

-- BERNAMA