THE RM18bil allocation for the higher education sector, up from RM16.3bil in 2024, will drive research and development (R&D) to support Malaysia’s high-income nation aspirations, academics say.
Malaysian Association of Private Colleges and Universities president Datuk Parmjit Singh said this shows that the government recognises that private higher education institutions (IPTS) not only play a critical role in grooming talents but also in encouraging foreign investments, especially in new technology sectors.
“We are grateful that a special deduction for expenditures incurred by IPTS in developing programmes in emerging technology areas such as Digital Technologies, AI, IoT and Data Science.
“This initiative will motivate IPTS to continuously develop and introduce new programmes that align with global advancements in digital technologies, addressing the growing demand for highly skilled talent in Malaysia,” he added.
When tabling Budget 2025 yesterday, Prime Minister Datuk Seri Anwar Ibrahim also announced an allocation of RM635mil to upgrade infrastructure, replace outdated equipment and expand Internet access across all public higher education institutions (IPTA), and that AI education will be expanded to all research universities with funding increased to RM50mil, up from Budget 2024’s RM20mil.
Universiti Malaya (UM) vice-chancellor Prof Datuk Seri Dr Noor Azuan Abu Osman said the varsity will focus on using AI in the medical field to combat deadly diseases like cancer.
“As a research-intensive university, UM will explore the use of AI technology to detect cancer cells, recommend treatment plans, compare invasive and non-invasive options, identify local treatment facilities and specialists as well as post-treatment support,” he said.
Vice-Chancellors’ Council for Private Universities chairman Prof Mushtak Al-Atabi said the allocation in Budget 2025 for AI in higher education marks a pivotal advancement for Malaysia’s educational landscape and its overall economic and societal well-being.
“By prioritising AI education, Malaysia aims to boost its competitiveness and stimulate economic development,” he added.
He said the government’s RM600mil funding for R&D, coupled with a RM170mil allocation for the Malaysia Science Endowment to provide matching grants to private entities and industries, would enhance collaboration among academia, the private sector and government bodies.
“The continuation of the Malaysia Techlympics programme, supported by a RM10mil allocation to cultivate local expertise in robotics and AI technology, is another vital initiative that aligns with Malaysia’s ambitions for a technologically advanced future,” he said.
National Association of Private Educational Institutions president Assoc Prof Elajsolan Mohan said the increase in R&D funding could provide focus on addressing pressing national issues, such as healthcare, environmental sustainability and technology gaps.
“Such collaborations can also lead to practical applications of research findings, creating products and services that meet market demands and contribute to economic development,” he said.
