Digital Global Business Services
Malaysia, Digital GBS Hub of ASEAN
Digital Global Business Services
Malaysia, Digital GBS Hub of ASEAN
Digital Global Business Services
Malaysia, Digital GBS Hub of ASEAN
Digital Global Business Services
Malaysia, Digital GBS Hub of ASEAN
Value Driven Global Business Services: the Malaysian Landscape
A Thriving Industry, Integral to Malaysia’s Digital Economy
- Source: GBS Malaysia Strategy Report
7
Total GBS industry market size in Malaysia achieved US$4.95 billion by end 2020 and expected to recover healthily with a 5-year CAGR growth of 6.2% to achieve US$ 6.7 billion by 2025, mainly driven by digital transformation, automation, cloud, data and analytics.
8
Malaysia's competitiveness in business continuity during the pandemic caused many GBS companies to relocate jobs to Malaysia.
1
Global Services is a priority area in 12th Malaysia Plan in Accelerating the Development of Strategic & High Impact Industries.
2
Global Services (GS), which comprise Principal Hubs, Global Business Services (GBS) and headquarter operations, is the main contributor of foreign direct investments (FDI) in the services sector in Malaysia. It is estimated to reach RM89 billion by 2025.
3
Global Business Services Industry has been an integral sector of Malaysia for the last 20 years, championed by Malaysia Digital Economy Corporation (MDEC) with close collaborations with various stakeholders.
4
Since the early 2000s, Malaysia emerged as a premier location for offshore and nearshore delivery with the right balance of cost, talent and political stability. As GBS is shifting focus from cost arbitrage to value-driven services, enabled by digitalization, Malaysia is doubling down on Digital GBS as a key promoted sector under Malaysia Digital.
5
Malaysia is ranked 3rd globally in the AT Kearney Offshore Location Attractiveness Index (now known as Kearney Global Services Location Index), a position still held today.
6
Malaysia is now home to nearly half of all analytics-based services in ASEAN.
Source: SSON
- Source: GBS Malaysia Strategy Report
7
Total GBS industry market size in Malaysia achieved US$4.95 billion by end 2020 and expected to recover healthily with a 5-year CAGR growth of 6.2% to achieve US$ 6.7 billion by 2025, mainly driven by digital transformation, automation, cloud, data and analytics.
8
Malaysia's competitiveness in business continuity during the pandemic caused many GBS companies to relocate jobs to Malaysia.
1
Global Services is a priority area in 12th Malaysia Plan in Accelerating the Development of Strategic & High Impact Industries.
2
Global Services (GS), which comprise Principal Hubs, Global Business Services (GBS) and headquarter operations, is the main contributor of foreign direct investments (FDI) in the services sector in Malaysia. It is estimated to reach RM89 billion by 2025.
3
Global Business Services Industry has been an integral sector of Malaysia for the last 20 years, championed by Malaysia Digital Economy Corporation (MDEC) with close collaborations with various stakeholders.
8
Malaysia's competitiveness in business continuity during the pandemic caused many GBS companies to relocate jobs to Malaysia.
1
Global Services is a priority area in 12th Malaysia Plan in Accelerating the Development of Strategic & High Impact Industries.
2
Global Services (GS), which comprise Principal Hubs, Global Business Services (GBS) and headquarter operations, is the main contributor of foreign direct investments (FDI) in the services sector in Malaysia. It is estimated to reach RM89 billion by 2025.
3
Global Business Services Industry has been an integral sector of Malaysia for the last 20 years, championed by Malaysia Digital Economy Corporation (MDEC) with close collaborations with various stakeholders.
4
Since the early 2000s, Malaysia emerged as a premier location for offshore and nearshore delivery with the right balance of cost, talent and political stability. As GBS is shifting focus from cost arbitrage to value-driven services, enabled by digitalization, Malaysia is doubling down on Digital GBS as a key promoted sector under Malaysia Digital.
5
Malaysia is ranked 3rd globally in the AT Kearney Offshore Location Attractiveness Index (now known as Kearney Global Services Location Index), a position still held today.
6
Malaysia is now home to nearly half of all analytics-based services in ASEAN.
Source: SSON
- Source: GBS Malaysia Strategy Report
7
Total GBS industry market size in Malaysia achieved US$4.95 billion by end 2020 and expected to recover healthily with a 5-year CAGR growth of 6.2% to achieve US$ 6.7 billion by 2025, mainly driven by digital transformation, automation, cloud, data and analytics.
8
Malaysia's competitiveness in business continuity during the pandemic caused many GBS companies to relocate jobs to Malaysia.
1
Global Services is a priority area in 12th Malaysia Plan in Accelerating the Development of Strategic & High Impact Industries.
Malaysia, Digital GBS Hub of ASEAN
Malaysia is a strategic destination for high value GBS due to its various strengths.

Talent
- Diverse, robust, multilingual, and future-ready talent.
- Number of graduates in 2020 was 5.36 million.
- Close to 70% of graduates were in the “skilled category”.
- 49% of the working population are below the age of 34.
- Introduction of Technical and Vocational Education and Training (TVET) and Private Higher Education Institutions (PHEI) to address the Fourth Industrial Revolution (IR4.0) and Digital skillsets.
- Various government-led digital talent development programmes (Premier Digital Tech Institutions, Global Online Workforce, #mydigitalmaker).
Talent
- Diverse, robust, multilingual, and future-ready talent.
- Number of graduates in 2020 was 5.36 million.
- Close to 70% of graduates were in the “skilled category”.
- 49% of the working population are below the age of 34.
- Introduction of Technical and Vocational Education and Training (TVET) and Private Higher Education Institutions (PHEI) to address the Fourth Industrial Revolution (IR4.0) and Digital skillsets.
- Various government-led digital talent development programmes (Premier Digital Tech Institutions, Global Online Workforce, #mydigitalmaker).


Public & Private Partnerships
- Collaboration seen between industry associations such as GBS Malaysia/PIKOM/Contact Center Association of Malaysia (CCAM) alongside government agencies place Malaysia favorably in the eyes of foreign investors.
- Collaboration between Telcos and Malaysian government show a joint effort towards achieving infrastructure and digital economy goals.
- Public and private work in tandem for state and industry development in view of a concerted effort in driving digital investments across Malaysia.
Public & Private Partnerships
- Collaboration seen between industry associations such as GBS Malaysia/PIKOM/Contact Center Association of Malaysia (CCAM) alongside government agencies place Malaysia favorably in the eyes of foreign investors.
- Collaboration between Telcos and Malaysian government show a joint effort towards achieving infrastructure and digital economy goals.
- Public and private work in tandem for state and industry development in view of a concerted effort in driving digital investments across Malaysia.


Digital Insfrastructure
- Introduction of various blueprints, plans and strategy documents to address the growing need as well as maturing of digital infrastructure and ecosystem in the country; MyDIGITAL, Jalinan Digital Negara (JENDELA), Industry4WRD, Malaysia Digital initiative, Twelfth Malaysia Plan (12MP).
- 89.6% access the internet; 98.2% utilize a mobile phone; 80% own a PC.
- Internet penetration stands at 90%; 5G rollout intended in 2022.
- eCommerce and digital adoption.
Digital Insfrastructure
- Introduction of various blueprints, plans and strategy documents to address the growing need as well as maturing of digital infrastructure and ecosystem in the country; MyDIGITAL, Jalinan Digital Negara (JENDELA), Industry4WRD, Malaysia Digital initiative, Twelfth Malaysia Plan (12MP).
- 89.6% access the internet; 98.2% utilize a mobile phone; 80% own a PC.
- Internet penetration stands at 90%; 5G rollout intended in 2022.
- eCommerce and digital adoption.


Government Support
- Federal and corridor/state level financial incentives offered. Customized incentives are available for strategic and impactful projects for Malaysia.
- Support bodies such as Malaysia Digital Economy Corporation (MDEC), Malaysian Investment Development Authority (MIDA), Talent Corp;
- Economic Corridors such as Iskandar Regional Development Authority (IRDA), Iskandar Investment Berhad (IIB), East Coast Economic Region Development Council (ECERDC), Northern Corridor Implementation Authority (NCIA), Sarawak Digital Economy Corporation (SDEC), Digital Penang and various investment promotion agencies (InvestKL, InvestSelangor, InvestPenang and others).
- Facilitation of high impact digital investments to increase the capacity and capabilities of Malaysia’s digital economy via the Digital Investment Office (DIO).
Government Support
- Federal and corridor/state level financial incentives offered. Customized incentives are available for strategic and impactful projects for Malaysia.
- Support bodies such as Malaysia Digital Economy Corporation (MDEC), Malaysian Investment Development Authority (MIDA), Talent Corp;
- Economic Corridors such as Iskandar Regional Development Authority (IRDA), Iskandar Investment Berhad (IIB), East Coast Economic Region Development Council (ECERDC), Northern Corridor Implementation Authority (NCIA), Sarawak Digital Economy Corporation (SDEC), Digital Penang and various investment promotion agencies (InvestKL, InvestSelangor, InvestPenang and others).
- Facilitation of high impact digital investments to increase the capacity and capabilities of Malaysia’s digital economy via the Digital Investment Office (DIO).

Government Support
- Federal and corridor/state level financial incentives offered. Customized incentives are available for strategic and impactful projects for Malaysia.
- Support bodies such as Malaysia Digital Economy Corporation (MDEC), Malaysian Investment Development Authority (MIDA), Talent Corp;
- Economic Corridors such as Iskandar Regional Development Authority (IRDA), Iskandar Investment Berhad (IIB), East Coast Economic Region Development Council (ECERDC), Northern Corridor Implementation Authority (NCIA), Sarawak Digital Economy Corporation (SDEC), Digital Penang and various investment promotion agencies (InvestKL, InvestSelangor, InvestPenang and others).
- Facilitation of high impact digital investments to increase the capacity and capabilities of Malaysia’s digital economy via the Digital Investment Office (DIO).
Government Support
- Federal and corridor/state level financial incentives offered. Customized incentives are available for strategic and impactful projects for Malaysia.
- Support bodies such as Malaysia Digital Economy Corporation (MDEC), Malaysian Investment Development Authority (MIDA), Talent Corp;
- Economic Corridors such as Iskandar Regional Development Authority (IRDA), Iskandar Investment Berhad (IIB), East Coast Economic Region Development Council (ECERDC), Northern Corridor Implementation Authority (NCIA), Sarawak Digital Economy Corporation (SDEC), Digital Penang and various investment promotion agencies (InvestKL, InvestSelangor, InvestPenang and others).
- Facilitation of high impact digital investments to increase the capacity and capabilities of Malaysia’s digital economy via the Digital Investment Office (DIO).
Talent
- Diverse, robust, multilingual, and future-ready talent.
- Number of graduates in 2020 was 5.36 million.
- Close to 70% of graduates were in the “skilled category”.
- 49% of the working population are below the age of 34.
- Introduction of Technical and Vocational Education and Training (TVET) and Private Higher Education Institutions (PHEI) to address the Fourth Industrial Revolution (IR4.0) and Digital skillsets.
- Various government-led digital talent development programmes (Premier Digital Tech Institutions, Global Online Workforce, #mydigitalmaker).
Talent
- Diverse, robust, multilingual, and future-ready talent.
- Number of graduates in 2020 was 5.36 million.
- Close to 70% of graduates were in the “skilled category”.
- 49% of the working population are below the age of 34.
- Introduction of Technical and Vocational Education and Training (TVET) and Private Higher Education Institutions (PHEI) to address the Fourth Industrial Revolution (IR4.0) and Digital skillsets.
- Various government-led digital talent development programmes (Premier Digital Tech Institutions, Global Online Workforce, #mydigitalmaker).
Public & Private Partnerships
- Collaboration seen between industry associations such as GBS Malaysia/PIKOM/Contact Center Association of Malaysia (CCAM) alongside government agencies place Malaysia favorably in the eyes of foreign investors.
- Collaboration between Telcos and Malaysian government show a joint effort towards achieving infrastructure and digital economy goals.
- Public and private work in tandem for state and industry development in view of a concerted effort in driving digital investments across Malaysia.
Public & Private Partnerships
- Collaboration seen between industry associations such as GBS Malaysia/PIKOM/Contact Center Association of Malaysia (CCAM) alongside government agencies place Malaysia favorably in the eyes of foreign investors.
- Collaboration between Telcos and Malaysian government show a joint effort towards achieving infrastructure and digital economy goals.
- Public and private work in tandem for state and industry development in view of a concerted effort in driving digital investments across Malaysia.
Digital Insfrastructure
- Introduction of various blueprints, plans and strategy documents to address the growing need as well as maturing of digital infrastructure and ecosystem in the country; MyDIGITAL, Jalinan Digital Negara (JENDELA), Industry4WRD, Malaysia Digital initiative, Twelfth Malaysia Plan (12MP).
- 89.6% access the internet; 98.2% utilize a mobile phone; 80% own a PC.
- Internet penetration stands at 90%; 5G rollout intended in 2022.
- eCommerce and digital adoption.
Digital Insfrastructure
- Introduction of various blueprints, plans and strategy documents to address the growing need as well as maturing of digital infrastructure and ecosystem in the country; MyDIGITAL, Jalinan Digital Negara (JENDELA), Industry4WRD, Malaysia Digital initiative, Twelfth Malaysia Plan (12MP).
- 89.6% access the internet; 98.2% utilize a mobile phone; 80% own a PC.
- Internet penetration stands at 90%; 5G rollout intended in 2022.
- eCommerce and digital adoption.
Government Support
- Federal and corridor/state level financial incentives offered. Customized incentives are available for strategic and impactful projects for Malaysia.
- Support bodies such as Malaysia Digital Economy Corporation (MDEC), Malaysian Investment Development Authority (MIDA), Talent Corp;
- Economic Corridors such as Iskandar Regional Development Authority (IRDA), Iskandar Investment Berhad (IIB), East Coast Economic Region Development Council (ECERDC), Northern Corridor Implementation Authority (NCIA), Sarawak Digital Economy Corporation (SDEC), Digital Penang and various investment promotion agencies (InvestKL, InvestSelangor, InvestPenang and others).
- Facilitation of high impact digital investments to increase the capacity and capabilities of Malaysia’s digital economy via the Digital Investment Office (DIO).
Government Support
- Federal and corridor/state level financial incentives offered. Customized incentives are available for strategic and impactful projects for Malaysia.
- Support bodies such as Malaysia Digital Economy Corporation (MDEC), Malaysian Investment Development Authority (MIDA), Talent Corp;
- Economic Corridors such as Iskandar Regional Development Authority (IRDA), Iskandar Investment Berhad (IIB), East Coast Economic Region Development Council (ECERDC), Northern Corridor Implementation Authority (NCIA), Sarawak Digital Economy Corporation (SDEC), Digital Penang and various investment promotion agencies (InvestKL, InvestSelangor, InvestPenang and others).
- Facilitation of high impact digital investments to increase the capacity and capabilities of Malaysia’s digital economy via the Digital Investment Office (DIO).
Talent
- Diverse, robust, multilingual, and future-ready talent.
- Number of graduates in 2020 was 5.36 million.
- Close to 70% of graduates were in the “skilled category”.
- 49% of the working population are below the age of 34.
- Introduction of Technical and Vocational Education and Training (TVET) and Private Higher Education Institutions (PHEI) to address the Fourth Industrial Revolution (IR4.0) and Digital skillsets.
- Various government-led digital talent development programmes (Premier Digital Tech Institutions, Global Online Workforce, #mydigitalmaker).
Talent
- Diverse, robust, multilingual, and future-ready talent.
- Number of graduates in 2020 was 5.36 million.
- Close to 70% of graduates were in the “skilled category”.
- 49% of the working population are below the age of 34.
- Introduction of Technical and Vocational Education and Training (TVET) and Private Higher Education Institutions (PHEI) to address the Fourth Industrial Revolution (IR4.0) and Digital skillsets.
- Various government-led digital talent development programmes (Premier Digital Tech Institutions, Global Online Workforce, #mydigitalmaker).
Malaysia's Position in Global Ranking
1st
INSEAD Global Talent Competitiveness Index 2021
(Global ranking in Upper Middle-Income Group)
2nd
IMD World Competitiveness Ranking 2022
(Ranking in ASEAN)
2nd
IMD Digital Competitiveness Ranking 2022
(Ranking in ASEAN)
3rd
WIPO Global Innovation Index 2022
(Global ranking in Upper-Middle Income category)
2nd
Digital Quality of Life Index 2022
(Ranking in ASEAN)
3rd
KEARNEY Global Services Location Index 2021
(Global ranking)
Register Your Interest
Company's contact person
Need more information?
What is it like to run a business in Malaysia? How to benefit from the solutions and the efficiency of our business culture? What are the opportunities in specific sectors? Who to partner up with?
Need more information?
What is it like to run a business in Malaysia? How to benefit from the solutions and the efficiency of our business culture? What are the opportunities in specific sectors? Who to partner up with?
Frequently Asked Questions
The objective of the DIO are among others, to create awareness on the digital investments in the country as well as to ensure the alignment and strengthen the coordination among all Investment Promotion Agencies (IPAs) in promoting and attracting digital tech investments in this fast-evolution segment.
The DIO is a critical step towards driving digital investments in Malaysia, consistent with MyDIGITAL and National Investment Aspirations.
- Application for digital investment projects can be submitted through this page
- Each application will be evaluated by DIO and decision shall be obtained within 25 working days from official submission by the company.
To contact:
Puan Rosedalina Ramlan
Director
Business Services and Regional Operations
Malaysian Investment Development Authority (MIDA)
Tel : +603-2267 3515
Email : [email protected]
OR
Ir. Wan Murdani Wan Mohamad
Director, Investment Facilitation Digital Investment Division
Malaysia Digital Economy Corporation (MDEC)
Tel: +603-83153233 / +603-83153159
Email: [email protected]