Govt Needs To Empower Malaysian MSMEs With AI, Digital Tech – Gobind

KUALA LUMPUR, Oct 26 (Bernama) -- The Digital Ministry has acknowledged the importance of empowering micro, small, and medium-sized enterprises (MSMEs) to leverage artificial intelligence (AI) and digital technology.

Its minister, Gobind Singh Deo, said this encourages them to pivot towards new business models that optimise operations and enhance economic potential.

The government has initiated several programmes to support the adoption of digital technology, as the MSME sector represents nearly 97 per cent of businesses in Malaysia.

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"Firstly, we can incentivise companies to digitise, encouraging them to consider automating aspects of their operations to boost productivity.

"Engagement and awareness are also crucial. People need to understand that traditional methods may not yield the same benefits as modern approaches. Companies that embrace new technology will find themselves better positioned compared to those that do not," he said in response to participants at the Youth Economic Forum 2024 here, today.

Gobind said that his ministry maintains close contact with industry bodies and MSME associations.

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"It's essential for MSMEs to recognise that adaptation isn’t optional if they want to avoid being left behind.

"Once there’s awareness, we can focus on providing support to help them rebuild and redefine their businesses in line with technological advancements," he said.

However, Gobind also emphasised that developing talent is a crucial issue.

"Developing a talent pipeline in technology, especially in AI, is essential. The government is currently focusing on Technical and Vocational Education and Training (TVET) to prepare our youth for new market demands.

"In the digital sector, we have a similar initiative -- digital TVET or DVET. Our goal is for companies to train employees while they work, enabling them to gain degrees and advance in their careers," he added.

-- BERNAMA